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Australians are already testing a CBDC. Surprising nobody, contemplating the authoritarian approach that the federal government dealt with the lockdowns. The jury remains to be out on Central Bank Digital Currencies, whereas some authorities see them as problematic and vulnerable to abuse, others are operating a pilot program. The Reserve Bank of Australia, which is the nation’s Central Bank, labored along side the Digital Finance Cooperative Research Centre to provide this whitepaper detailing the entire challenge. 

In it, we study that “the pilot CBDC will be called the eAUD” and that “the eAUD will be a liability of the RBA and denominated in Australian dollars.” The Australian Central Bank admits that it has been engaged on the problem “over the past few years” they usually goal to find out whether or not or not a Central Bank Digital Currency is true for Australia with this pilot program. 

The Reserve Bank of Australia additionally confirms one thing everybody suspected however nobody knew for positive. That is:

“Central banks globally are actively exploring the potential role, benefits, risks, and other implications of CBDC. This has involved the publication of discussion papers, public consultations, and the development of proofs of concept and CBDC pilots involving real financial transactions.”

It’s confirmed, governments in all places are testing surveillance cash.

Everything We Know About The Australian CBDC

First of all, the pilot challenge is already operating and it’ll proceed for half of the following yr:

“The project commenced in July 2022 and is expected to be completed around the middle of 2023. The project intends to test a general-purpose pilot CBDC issued as a liability of the RBA for use in real-world, pilot implementations of services offered by Australian industry participants.”

The Australian Central Bank is looking for solutions to those three questions:

• “What, if any, are the emerging business models and use cases that a CBDC would support, that are not effectively supported by existing payments and settlement infrastructures in Australia?”
• “What might be the potential economic benefits of issuing a CBDC in Australia?”
• “What operational, technology, policy and regulatory issues might need to be addressed in the operation of a CBDC in Australia?”

It’s vital to additionally discover that “the CBDC pilot project has a domestic focus in terms of participants and use cases.”

ETH value chart for 09/27/2022 on OkCoin | Source: ETH/USD on TradingView.com

The CBDC Pilot Project Runs Over Ethereum

Add a brand new use case to Ethereum’s CV. The extraordinarily centralized Australia CBDC pilot leveraged its know-how to have a working mannequin with no additional price.

“The DFCRC will develop and install the eAUD platform as a private, permissioned Ethereum (Quorum) implementation. The eAUD ledger will operate as a centralised platform, under the management and oversight of the RBA.”

However, there’s no assure that the Reserve Bank of Australia will proceed utilizing the platform if the Central Bank Digital Currency challenge takes off. The Central Bank solely used Ethereum as a result of it was handy.

“The project is not evaluating the technology most suited to operating a CBDC. The CBDC pilot platform to be implemented is designed to be adequate for the use cases selected but is not intended to reflect the kind of technology that might be used to implement a CBDC, if a decision was ever made to do so.”

To end this off, it’s price remembering the phrases of Matthew Mezinskis. The founding father of Porkopolis Economics told the Oslo Freedom Forum a number of months in the past:

“They like to be there to protect the bankers. So they know that if you drain deposits from the banks, and it only goes into a central bank’s CBDC currency, it can’t get loaned upon, it can’t get lent out. Then that’s a problem for the banking system. So they’re trying to figure that out right now. The common solution is that there will be limits, maybe $1000 equivalent for every CBDC account. They’re trying to figure these things out.”

A pilot program looks like an ample solution to determine these issues out. 

The surveillance cash are coming.

Featured Image: RBA and DFCRC logos, screenshot from the .pdf| Charts by TradingView