Why Robert Kennedy Jr. Thinks FedNow Will Ban Bitcoin
Robert Kennedy Jr., a US presidential candidate and environmental lawyer, has recently expressed his opposition to the Federal Reserve's plan to launch a digital payments system called FedNow. He claims that this is a covert attempt to ban and seize Bitcoin, the leading cryptocurrency by market cap.
FedNow is a service that will enable banks to offer instant payments to their customers, 24/7, 365 days a year. The Fed claims that this will enhance the efficiency, speed, and security of the US payment system. However, Kennedy Jr. is not convinced by this rationale.
He argues that FedNow is actually a precursor to a central bank digital currency (CBDC), which is a digital form of fiat money issued and controlled by the central bank. He warns that CBDCs could pose a threat to the privacy, freedom, and sovereignty of individuals and businesses who use cryptocurrencies like Bitcoin.
“The Fed will initially limit its CBDC to interbank transactions but we should not be blind to the obvious danger that this is the first step in banning and seizing bitcoin as the Treasury did with gold 90 years ago today in 1933,” he said in a tweet on April 7.
He also compared FedNow to China's digital yuan, which is already being tested in several cities and regions. He said that China's CBDC is designed to monitor and control every transaction and activity of its citizens, and that the US could follow suit with FedNow.
“Watch as governments, which never let a good crisis go to waste, use Covid-19 and the banking crisis to usher in a new wave of CBDCs as a safe haven from germ-laden paper currencies or as protection against bank runs,” he added.
How Bitcoin Supporters Reacted to Kennedy Jr.'s Statement
Kennedy Jr.'s statement has sparked mixed reactions from the Bitcoin community. Some praised him for his awareness and courage to speak out against the Fed's agenda. Others questioned his credibility and motives, given his controversial views on vaccines and climate change.
Some of the positive comments include:
- “Thank you for speaking up for Bitcoin. You have my vote.”
- “Finally, a presidential candidate who understands Bitcoin and its importance for freedom.”
- “You are one of the few politicians who get it. FedNow is a Trojan horse for CBDCs and surveillance.”
Some of the negative comments include:
- “You are spreading misinformation and fear-mongering. FedNow is not a CBDC and it will not ban Bitcoin.”
- “You are an anti-vaxxer and a climate denier. You have no credibility or authority to talk about Bitcoin.”
- “You are just using Bitcoin as a political tool to gain popularity. You don't care about its technology or vision.”
What You Need to Know About FedNow and CBDCs
If you are interested in learning more about FedNow and CBDCs, here are some key points you should know:
- FedNow is expected to launch in July 2023. It will compete with other private-sector payment services such as PayPal, Venmo, Zelle, and Square.
- FedNow is not a CBDC, but it could pave the way for one in the future. The Fed has not officially announced any plans to issue a CBDC, but it has been researching and experimenting with the idea.
- A CBDC is a digital version of a country's national currency that is issued and regulated by the central bank. It can be used as a medium of exchange, a unit of account, and a store of value.
- A CBDC could have some advantages over cash and traditional payment systems, such as lower costs, faster transactions, greater accessibility, and improved financial inclusion.
- A CBDC could also have some disadvantages over cash and cryptocurrencies, such as less privacy, more censorship, more centralization, and more inflation.
- Bitcoin is a decentralized cryptocurrency that operates on a peer-to-peer network of nodes and miners. It does not rely on any central authority or intermediary to validate transactions or issue new coins.
- Bitcoin has some advantages over cash and CBDCs, such as more privacy, more freedom, more security, and more scarcity.
- Bitcoin also has some disadvantages over cash and CBDCs, such as higher volatility, lower scalability, higher complexity, and higher energy consumption.
The Bottom Line
Robert Kennedy Jr., a US presidential candidate and environmental lawyer, has voiced his opposition to the Fed's plan to launch FedNow, a digital payments system that he believes will lead to the banning and seizing of Bitcoin. He has compared FedNow to China's digital yuan, which he claims is a tool for surveillance and control. He has also warned that FedNow could be a precursor to a CBDC, which could pose a threat to the privacy, freedom, and sovereignty of individuals and businesses who use cryptocurrencies like Bitcoin.
His statement has received mixed reactions from the Bitcoin community. Some have supported him for his awareness and courage, while others have criticized him for his misinformation and fear-mongering. Some have also questioned his credibility and motives, given his controversial views on vaccines and climate change.
FedNow and CBDCs are complex and evolving topics that have implications for the future of money and society. They have both advantages and disadvantages over cash and cryptocurrencies, depending on the perspective and preference of the user. It is important to educate oneself about these topics and make informed decisions based on facts and evidence.
What do you think about FedNow and CBDCs? Do you agree or disagree with Robert Kennedy Jr.'s statement? How do you think they will affect Bitcoin and other cryptocurrencies? Let us know in the comments below! 😊