Quote from: Wind_FURY on April 13, 2025, 04:35:28 PM

Quote from: Smartprofit on April 12, 2025, 07:29:51 PM

We all have a very poor understanding of what is really happening with the modern financial system.

For example, we do not know how the introduction of central bank digital currencies will affect Bitcoin. We do not even know whether the US has finally abandoned the idea of implementing an American digital dollar or not. We do not know whether Donald Trump's reforms will have a positive or negative effect on the US economy (or perhaps they will destroy it altogether).

CBDC?

That topic, in its current form is currently dead.

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What will happen to the US dollar and US government bonds? Will the US dollar be able to maintain the status of the world reserve currency or not?

I believe that because of the U.S. current economic and geo-political policies, they’re risking the U.S. Dollar’s status as THE main world reserve currency. Because the current administration wants to bring manufacturing back in their country and be “an exporter” of U.S. made goods, then like China, the U.S. probably needs to lower the value of their currency to be more competitive.

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Will the central banks of all countries include the first cryptocurrency in their gold and foreign exchange reserves or not?

They probably should?

¯\_(ツ)_/¯

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Will the money supply in the world increase or not?

Zoom out. YES it will. Cool

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Will we see low central bank interest rates (refinancing rates) or will they not be reduced?

Rate cuts + Q.E. will happen if the unemployment rate starts surging.

In my opinion, centralized stablecoins in their evolutionary development can turn into an analogue of CBDC.

In addition, in the event of a collapse of the modern financial system, a long recession, failures of Donald Trump's team in the future, the Democrats may come to power again and return to the idea of a digital dollar again. This will be especially likely if the digital yuan is successful.

I do not think that Donald Trump's team wants to weaken the role of the US dollar. Most likely, they want to sit on two chairs - they need a strong enough US dollar for other countries to buy their government bonds, on the other hand, they really want to develop production in the United States. But the most important thing they dream of is the weakening of China.

They will probably be quite happy with the transfer of most of the world's production to India and Vietnam (if these countries publicly refuse any cooperation with China).

I also think that all countries should include Bitcoin in their gold and foreign exchange reserves. However, many countries are now publicly voicing the opposite position.