Digital currency

Digital Currency or cyber cash or digital money or electronic cash or E-Money is a form of money which could be sent and easily received without inclusion of the government agency or any financial institutions whatsoever.

Digital Currency is an online financial network that is completely open and it is interesting to note that unlike our traditional financial systems today in digital currency it functions without any Visa, PayPal or any regulators at all it lives and trades online.

Now when we take about digital or virtual currency we are mostly talking about cryptocurrency or CBDC.Now we will briefly take a look at this forms of digital currency

Well a CBDC is more or like a digitised version of domestic currency thats equal to physical cash or the federal reserve. They are a direct liability of the central bank and most likely token based where this token are being or will be represented on a blockchain established by the central bank unlike the public blockchain like bitcoin where the information recorded are accessible to all CBDC'S are private or permissioned blockchains accessed only by the central bank and the party it chooses.

Now we have basically two kinds of CBDC's and they are wholesale and retail CBDC; the wholesale CBDC which is used to facilitate payment between central banks and commercial banks or any entities that hold their account with central banks and the wholesale CBDC have to do more with the infrastructure of financial system and doesn't really affect us that is directly affect individuals. While the Retail CBDC is the one that can be used by businesses and individuals yes, it is more like holding a currency in our mobile wallet which is directly issued by the central bank

Cryptocurrency is totally a virtual or digital currency and completely decentralized unlike CBDC and only used through digital devices and on the internet like the CBDC. It is a form of digital currency which uses blockchain technology to store all transaction data of its users.

Cryptocurrency is not being controlled or backed up by any central authority like banks or government like the CBDC and absolutely no single entity can claim to have control over the direction of its price and Bitcoin was the first ever cryptocurrency.

Bitcoin was created by Satoshi Nakamoto in 2009 and has since set the model for the creation of other cryptocurrencies which was made to simply enable individuals transact seamlessly without reliance on any third party in a truly decentralized manner where users all complete and absolute control of their money, yes cryptocurrency was made to give us financial freedom and it uses cryptography to make a secure transaction

Well as a lover of decentralized finance ofcourse I would choose cryptocurrency over CBDC and the reason is not really that far-fetched yes CBDC may be digital currency but at the end of the day still possess the same flaws of the traditional money we know the reason behind the creation of cryptocurrency in the first place.

CBDC may be digital form of currency but still controlled by the banks and government which means they can seize control of our funds if the deem fit like we see today, it's just as usual and they can monitor our every transaction which goes against the very sense of financial freedom unlike cryptocurrency which is completely decentralized and secured free from hacks and where the individual owns or have full control of his asset, to me CBDC will be a mere mediocre and cheap imitation of cryptocurrency and blockchain technology made by the government for fear that cryptocurrency maybe widely accepted and grant all the financial independence they crave for which they don't have control over.

So for me which form of digital currency am I likely to trust, a currency owned and issued by the government centralised in every way or decentralized digital currency network like bitcoin, Well I will choose the later for obvious reasons.

The CBDC's proposed by the government to replace cryptocurrency is more like replacing a clearing house with a cartel, yes a cartel of the same market maker that has manipulated and compromised every market in history and doing that in a way that closes this from transparency which is not a recipe for efficiency, immutability, security and transparency indeed that is not a blockchain but a crap imitation made to still maintain control over how the masses transact and be able to still have or maintain control over our funds.

So ofcourse I am choosing cryptocurrency which is completely decentralized and runs on blockchain technology as my best form of digital currency.

It remains to be seen as whether the traditional financial system will still be in place for years to come or whether it will be replaced completely by cryptocurrency or by the CBDC's only the future can tell, I for one knows that with the way our world is going and how virtual everything is going I believe with absolute certainty that finance is going digital is only a matter of time before virtual currency completely take over the physical currency or traditional financial system in general that much is certain, but which will it be what form of digital currency will reign supreme over the years and gain wide acceptance will it be the government CBDC's a ploy by the government to still maintain control like always or cryptocurrency a decentralized network which aims to give power to the people?

Well I don't know but one thing I know for a fact even the government knows it that money and finance is going digital that's why they brought out CBDC in the first place it is the sad truth that stays them in the face. Well it's left for us what form of digital currency do we prefer is it one that will enslave us like we have always been a digital centralised currency or one that will liberate us and grant us the freedom and privacy with the security we crave for, well I know which I would choose.

Conclusion
Indeed money has kept envolving since the beginning of man and I believe we are finally at the peak of digital age where everyone and everything is heading virtually so I don't see why the golden and computer generation should continue to use paper money I believe soonest digital currency which completely eradicate physical form of money and gain wide acceptance world over, all crypto enthusiasts could only hope that cryptocurrency is that digital currency that replaces traditional form of money for all of our sake and the unbanked.