Unlike cryptocurrencies, which are private, Central Bank Digital Currency (CBDC) will be issued and controlled by the central banks themselves. In many ways, it’s the same as banknotes, but it’s likely that every single transaction will be monitored for compliance.
On Friday 14th October, the IMF streamed a live video on YouTube called “Central Bank Digital Currencies for Financial Inclusion: Risks and Rewards.”
Speakers were Her Majesty Queen Máxima of the Netherlands, who’s also the UN Secretary-General’s Special Advocate for Inclusive Finance for Development. Kristalina Georgieva, Managing Director, IMF, and Bo Li, Deputy Managing Director, and Cecilia Skingsley the BIS Innovation Hub Director.
It was all about global financial inclusion, which they said has improved over the past ten years, but almost a quarter of the world’s adult population is still unbanked. It is hoped that central bank digital currencies would be affordable, widely accepted, and safe instruments, which would address some of the issues surrounding financial inclusion, among other things.
With 2619 views, the live stream went under the radar for many. Our buddy Tim Hinchliffe over at The Sociable kept an eye on what was going on. Tim posted a video of Bi Li, the Deputy Managing Director of the IMF, explaining how CDBSs can be programmed.
Governments & private sector can use #CBDCs to program smart contracts for target policies (e.g., Welfare Payments, UBI, Consumption Coupons, Food Stamps). CDBC can be programmed to determine what people can and cannot own. #IMF #CBDC pic.twitter.com/3pEykxc1Au
— Sikh For Truth (@SikhForTruth) October 15, 2022
The video got over 500K views, and the tweet thread got 222K impressions and 1722 retweets from people like @OffGuardian0, @_InThisTogether, and @Jennifer_Arcuri. If this doesn’t make news, I don’t know what will I told my colleagues at TruthTalk this is big.
According to Bi Li, a CBDC can improve financial inclusion by allowing government agencies and private sector players to program, to create smart contracts.
He said: “The smart contract would allow targeted policy functions, like welfare payments, consumption coupons, food stamps, etc. With CBDCs, we can precisely control what people can and can’t own. Also, what kind of use this money can be programmed for, like food only.” – Bi Li
Smart contracts are programs stored on a blockchain that run when predetermined conditions are met. Most of the time, they’re used to automate agreement execution, so everyone knows the outcome right away, without any intermediaries.
The key word he used was programmability.
“Introducing a #CBDC is not a universal solution. It has to come in a package with digital and financial literacy and identity, among other things. For that, public and private sectors have to work together.” Cecilia Skingsley, #BISInnovationHub Head #IMFMeetings #DigitalMoney pic.twitter.com/zYJSD9ir8Q
— Bank for International Settlements (@BIS_org) October 14, 2022
As a result of this potential programmability, government agencies can precisely target their support packages to the right people. CBDCs can’t solve every financial inclusion challenge, but they can work together with financial literacy and digital literacy. CBDC will have to work with other policies like digital identities and wallets.
This goes hand in glove with what the World Bank Group Report titled CBDC for Cross Border Payment described in November 2021.
“Digital identity verification is essential to the operation of CBDCs, particularly in cross-border transactions. Tradeable digital assets must be tied to a digital identity system, which in turn should be tied to an automatic KYC and AML/CFT verification system. This is a foundational step to the potential use of CBDCs, and emerging developments in regulatory and compliance technology may benefit central banks’ experiments in the digital currency space.”
After further analysing the live stream, I subsequently posted two further video clips regarding the transactional data that would be created for each CDBC use.
CBDC describes itself as an ecosystem, and the data it would produce would be very valuable to third parties and service providers. Using our day-to-day transaction data, they’re working on value-add services. Data capture, global society goals, and control are also part of it.
#IMF drops more CBDC info. Service providers can use transactional data to underwrite credit for social scoring. Using an example of how many coffees I drink every day, where I get coffee & if I use Uber. Financial service providers can use this data to give me a credit score. pic.twitter.com/RGxJilrw51
— Sikh For Truth (@SikhForTruth) October 16, 2022
When questioned on how this transactional data could be used, Bo Li explained:
“I can give you one example in China, those transaction data can be utilised by service providers in credit underwriting.”
Underwriting is the process by which the lender decides whether an applicant is creditworthy and should receive a loan.
“Those transaction data in terms of how many coffees I drink every day, where I buy coffee, do I use UBER every day and what kind of working hours I have. Those non-traditional data can be very useful for financial service providers to give me a credit score and based on that credit score the service providers can give me a credit line without any face-to-face due diligence.”
An international financial data heist has been perpetrated.
It’s like the Chinese model, but every country has the option to do it differently. There is limited privacy. Setting thresholds for anonymizing lower transaction values. AML – Anti-Money Laundering.
This live stream explained how central banks are working together. The IMF, World Bank, and BIS are also managing many central banks to do this. There’s still a long way to go. But it’s coming.
"Privacy and anonymity are tricky issues, but it's worth it to sacrifice a little privacy for security." – Cecilia Skingsley – BIS Innovation Hub Director pic.twitter.com/YaOxrtiA9W
— Sikh For Truth (@SikhForTruth) October 16, 2022
On the issue of CDBC data privacy, Cecilia Skingsley the BIS Innovation Hub Director explained:
“What we just heard from Bo about credit scoring was a very good example of how different countries will take different journeys to a ‘new world’ where they serve their societies in the digital space. We will all have different preferences and this preference on privacy or anonymity is tricky”.
She continued to say, “That its worth to give up a little bit of privacy to get security”.
We’ve heard that before, right?
Digitaal geld kan door overheden worden geprogrammeerd. Dit stelt overheden in staat te regeren over uw geld. pic.twitter.com/hGPf1KDht0
— Denachtzuster(s) (@Denachtzuster1) October 16, 2022
This sharing of transactional data was further emphasized by Her Majesty Queen Máxima of the Netherlands in her opening remarks. She said, “A good design of CDBC could give people more control of their transactional data and their ability to share it with a wider set of financial sector providers.”
And in a concept paper, India announced its plans for a digital rupee. Transactions with higher amounts may have to be disclosed mandatory, while smaller ones can stay anonymous, just like cash. We don’t know what that higher amount will be.
The RBI isn’t in favour of the e-rupee earning interest. It believes that if the e-rupee earns interest, users may withdraw funds from banks and convert them into digital form, affecting India’s financial and banking system.
New World Order: “We are on the brink of a dramatic change; we are about to abandon the traditional system of money and replace it with a new one, Digital Blockchain CBDC, which will give us greater clarity over every single transaction.” – Pippa Malmagren.#WGS2022 pic.twitter.com/XChgfs6MVF
— Sikh For Truth (@SikhForTruth) March 30, 2022
Earlier this year at the World Government Summit session aptly titled a ‘New World Order’, the economist Pippa Malmagren dropped the beans saying that:
“We are on the brink of a dramatic change; we are about to abandon the traditional system of money and replace it with a new one, Digital Blockchain CBDC, which will give us greater clarity over every single transaction.”
The downside to having a CDBC-only monetary system is that, like China, the global west can shut off your digital wallet if you protest or speak negatively about the global elites. As was the case recently in China. The authorities’ response to any civil disobedience can be swift and broad.
Globalists want centralized control and dominance structures where everything is tracked and surveilled rather than fragmented decentralised and private systems of digital money and identity. They’re not joking!
The parameters they set for digital currency will nudge your behaviour through social scoring, to control society and to control you.