• The U.K. Tax Reform Council has launched a campaign against the Bank of England’s plan to introduce a central bank digital currency (CBDC).
• This raises concern about individual privacy and potential intrusive taxation changes.
• Bitcoin already offers advantages such as greater financial inclusion, reduced costs for businesses and consumers, and increased security.
UK Think Tank Challenges CBDC Launch
The United Kingdom Tax Reform Council has recently launched a campaign against the Bank of England’s plans to implement a central bank digital currency (CBDC). The nonprofit organization is concerned that such a move would infringe upon individual privacy and lead to intrusive changes within the taxation system. The advisory board includes monetary economist John Chown, co-founder of the Institute for Fiscal Studies, on its advisory board.
Increased Government Surveillance Feared
The think tank shares similar concerns to the U.K.’s Bitcoin community, who have voiced their critiques of CBDCs in the past. Jordan Walker, co-founder of the U.K.’s Bitcoin Collective, further stated that introducing CBDCs could “hand over more control of our money to the government and central bank” which could cause significant problems due to their close ties with politics. Furthermore, it was suggested by economists working with the council that rolling out CBDCs could lead to an increase in government surveillance and cyberattacks on monetary systems across Britain.
Advantages Already Offered By Bitcoin
CBDCs claim they offer greater financial inclusion, reduced costs for businesses and consumers, as well as increased security; however these same benefits are already offered by Bitcoin – El Salvador recently banked swathes of its population through introducing a Bitcoin law while also providing those living in authoritarian regimes with an alternative form of finance away from government control.
Recruitment For CBDC Roles Ongoing
The Treasury Department and Bank of England have been recruiting for roles related to CBDC development since early 2021 – citing a “need” for such infrastructure but failing to mention any drawbacks or risks associated with rolling out this new technology across Britain’s banking systems..
Tax Reform Council Campaign Continues
The Tax Reform Council is continuing its efforts towards raising awareness regarding these issues whilst also aiming towards protecting citizens’ rights when it comes down to their data privacy – especially given recent news surrounding Cambridge Analytica’s abuse of individuals’ data worldwide during political campaigns..