Have you ever wondered what the future of credit/debit cards will be once CBDCs (Central Bank Digital Currencies) go public? People will no longer need to use a plastic card to pay for goods and/or services, as everything will be done through a mobile (or desktop) app. This means people will directly interact with the central bank for deposits and/or withdrawals. No need for middlemen like Visa or Mastercard. At least, that's what I think it will happen.
Do you think credit/debit cards will still be a thing after the launch of CBDCs? If not, why? Will payment processors like PayPal, Visa, and Mastercard survive? Your input would be greatly appreciated. Thank you.
Do you think credit/debit cards will still be a thing after the launch of CBDCs? If not, why? Will payment processors like PayPal, Visa, and Mastercard survive? Your input would be greatly appreciated. Thank you.
It's a bit weird to jump to the conclusion that things like credit cards will become obsolete, but then I guess at a certain point - probably around the same time the CBDC's are mainstream - then we might have transitioned to only storing debit/credit card apps on our phones anyway. A digital currency does not somehow replace these payment processors, these payment processors can use any digital currency and would likely transform themselves into a trusted exchange. It's likely that hackers would be much more aggressive at targeting home computers in a society that had transitioned to a "digital wallet at home" type setup and most people would feel more comfortable storing their money with well positioned and skilled experts.