Mike Novogratz, referring to Brian Brooks’ article, “America Could Lead the Transition to a Digital Currency Reserve”, said that China might be racing against the US to create its own crypto-Renminbi [RMB] and hence become the global reserve currency.
Coinbase’s CLO, Brian Brooks, recently opined about how the US is not keeping up with cryptocurrencies when it could become be developing a transnational currency that would help it become a leader in dire times like today when the inflation is sky-rocketing.
Brooks mentioned how the US currency has dominated the global markets as it supported and led the internet revolution which birthed major industry players like Facebook, e-bay leading to the creation of jobs and hence improving the economy.
The article published in New York Times stated:
“The greenback’s share of global central-bank reserves has declined in nine of the past 10 quarters… The slide is hardly new: It began a decade ago when European leaders attempted to replace the dollar with a euro-based “basket” of currencies as the common global reserve.”
Brooks went on to talk about how the underlying technology, blockchain that makes the cryptocurrencies tick, could be the golden goose that the US needs to propel it to the top.
Countries like Malta, Switzerland, Singapore, China, and Japan are trying to get ahead of the world to become the leaders by adoption and riding the wave of digital assets.
Mike Novogratz, aka the Bitcoin guru, tweeted on how the US needs to get ahead in adopting and developing cryptocurrencies.
“This is an important point. If China creates a crypto RMB that could become the payment of choice in lots of the developing world. If I was President Xi, and in a Cold War with the USA, I would be racing to do just that.”
However, Novogratz’s opinion attracted some people who disagreed with the idea a state-issued cryptocurrency.
A user Davon Mezcal commented:
“If its a state issued crypto, its suffers from the same issues of centralization that plague fiat currently. Aside from a means to outlaw cryptos, this cant really change the fact that a regime without sound money will eventually fail.”
Another user, Notmy Realname replied:
“DIGITAL rmb. People need to understand it would NOT be a “crypto” and you need to not help mislead people.”
Master Control Program commented:
“Are we winning behind the curtains ? This would be sad if other countries create better monetary environments because of regulatory stifling here in the states. If you can’t change/control something then slow it down. Motto here in the states.”