I've been following the trend news of central banks creating their own digital currencies but a question have since then troubling my mind.
1. These new Central Bank coins are they going to be stable coins or not?
2. What will happen if they are not stable coins? If holding them will be profitable many will leave crypto space and focus on these new coins?
3. Maybe people will just use them as a plus since it's from the government?
4. Will regulations still come after this? I think other coins will be neglected and regulations will only be for coins from government?
1. Absolutely. Their values will likely be pegged to the fiat currency of the country that issues it, there is no way around it. Otherwise, they wouldn't issue the coin in the first place.
2. Firstly, they won't be anything but stablecoins. But if they were to be somehow unpegged from fiats it would still not be worthwhile to dabble in these coins because they provide no extra value.
3. Perhaps the mainstream, probably not actual crypto users.
4. Yes, absolutely. But it will likely be in the form of restrictions rather than regulations.