During a recent interview, former prime minister of Canada Stephen Harper said that he thinks Central Bank Digital Currencies [CBDC] are unavoidable and he sees Bitcoin as an alternative reserve currency to the United States Dollar. Harper’s comment came during an interview at the 2021 Vancouver Resource Investment Conference with Jay Martin of investment company Cambridge House.
Harper stated that although Euro, Chinese Yuan, and many other nationwide currencies are utilized as a reserve by many, however, their chances of replacing the US Dollar is rather slim as their rate are also quite vulnerable to changes. He went on to say that apart from gold, bitcoin potentially could be the net reserve currency. He stated,
It’s hard to see what the alternative is to the U.S. dollar as the world’s major reserve currency. Other than gold, Bitcoin, a whole basket of things […] I think you’ll see the variety of things that people utilize as reserves will expand, however the U.S. dollar will still be the bulk of it.
Harper Believes Central Bank Digital Currencies [CBDC] are Inevitable
Throughout the interview, the previous guide minister was likewise asked to share his ideas about the growing hype around Central Bank Digital Currencies [CBDC] Harper thinks CBDCs are inescapable provided the rate at which the monetary community is evolving and leaning more towards the Fintech side. He also noted that it would take a while before it goes mainstream as it would have to travel through rigorous regulative and monetary policies.
Harper’s comments about the CBDCs and their growing need are rather accurate as just recently the ECB chief has actually stated that a digital Euro is something they are looking into and preparing to introduce, however, it would take at least 5 years before it is readily available in the public domain.
China is currently leading the Central Bank Digital Currencies [CBDC] video game with it’s near launch-ready digital yuan. China started pursuing its CBDC as early as 2014 and presently, they are running a number of concurrent pilot programs in numerous cities to check brand-new use cases for the digital yuan.