The rise of the CBDC will benefit Bitcoin

According to Barry Silbert, the implementation of virtual currencies issued by central banks (CBDC) will attract the interest of institutional money for Bitcoin, so it will benefit greatly.

 The rise of the CBDC will benefit Bitcoin

The rise of virtual currencies

The founder of Grayscale Investments and Digital Currency Group (the blockchain venture capital firm), Barry Silbert, is optimistic about the future of Bitcoin and digital currencies. Silbert's claims were expressed in Grayscale's latest call from investors entitled "The state of digital currencies", in which he referred to the important role of Bitcoin in the change of classical finance, decentralized finance, stablecoins and digital currencies of central bank (CBDC).

CBDCs are virtual currencies issued and controlled by the central banks of each country. Essentially, CBDCs would represent the fiat money of each country in digital form. Despite the rapid growth in the exploration and development of several countries, none has officially launched a CBDC to date. China aims to be the pioneer in the implementation of its official digital currency, but countries such as the United States and Russia are also developing projects for their own digital currencies. According to Silbert, the implementation of digital currencies by central banks will favor Bitcoin because it will attract the attention of institutional funds.

Silbert explained: "So at one time in the future we could have 80 different CBDCs. And if that happens, it would trigger a tremendous amount of investment in financial system operators where essentially every financial institution would then have to be able to store and carry out secure transactions. of CBDC and, guess what, if they really build that infrastructure, that same infrastructure could be used for digital currencies not the central bank like Bitcoin."