Bank of Canada Finds the Central Bank's Digital Currencies Unsafe
By Tyler S – Cryptocurrency Investor
Canada's central bank, the Bank of Canada, recently released a study on the dangers and advantages of the Central Bank's Digital Currency (CBDC), says Coin Telegraph. An encrypted digital currency token-based introduced by the central bank, has been said to face specific security risks, the Bank of Canada wrote in its October 5 report. Many challenges reportedly emerge from the way deposits are aggregated and processed, how CBDC is used for purchases, and how multiple technologies such as e-wallets, crypto exchanges, and banks strive to build new customers.
Over the past year or so, conversations have taken place, and different governments have started to digitise their currencies in the form of a CBDC, as opposed to a crypto market investment, CBDC would work as a digital replacement for fiat currency. China has made a lot of news about its CBDC, the digital Yuan.
Europe has recently highlighted CBDC news as the European Central Bank showed interest in the form of a product. This is a huge step for cryptocurrency in an era where people are learning how to buy Bitcoin and buy altcoins, as this will give people easier access into cryptocurrency.