"China invented paper money and they will end it" – Brazil's far left praises digital yuan

Digital currencies, especially those issued by central banks, are praised for their "destructive nature". The praise comes from a post linked to one of Brazil's far-left parties. A recently published article claims that CBDCs like the Chinese digital yuan can revolutionize global finance and government policy. Vermelho, an information portal linked to the Communist Party of Brazil, with America's "exorbitant privilege," the digital yuan disappears, points out that the People's Republic is the world's first major economy to create its own currency. The left exit argues that state-issued digital currencies are different from today's "electronic money" because they do not require the intervention of commercial banks. The central bank will fulfill this role itself, unlike "private" cryptocurrencies such as bitcoin, where no authority can control transactions or control their circulation. Central bank digital currencies (CBDCs) will provide an immediate relationship between the institution that regulates the monetary policy and the public. Vermelho notes that governments can transfer money directly to their citizens in the form of emergency aid, as during the Covid crisis, or as part of normal minimum income programs. The article also points out that the main impact of these currencies may actually be geopolitical, and explains that the digital yuan could put an end to the "exorbitant privilege" of the United States and the global domination of the dollar. The site points out that approximately 88% of international financial transactions, both in trade and investment, are currently in US currency. According to IMF data, the same is true for 93% of Chinese imports and 95% of exports. Warning: Govcoins May Be Panoptic According to Red's website, most international transactions are currently going through the US banking system at some point, and the global financial sector is estimated at $ 350 per person.

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