CENTRAL BANK DIGITAL CURRENCIES CAN'T COMPETE WITH BITCOIN??????

The emergence of central bank digital currencies (CBDCs) has attracted widespread interest, aroused enthusiasm among central bankers, aroused the curiosity of the financial media mainstream and spurred heated debates within the Bitcoin community. Among cryptocurrency enthusiasts, opinions on CBDCs vary widely, from viewing them as powerful tools of government surveillance and control to viewing them as desperate attempts by traditional fiat systems to maintain their relevance. In this essay, we will explore 's claim that CBDCs are unlikely to see widespread adoption, while bitcoin is poised to become the dominant digital currency. Three main factors support this argument: Bitcoin's open and permissionless nature, first-mover advantage, and user-centric monetary policy.
OPEN, PERMISSION-FREE ARCHITECTURE
Bitcoin operates on an open, permissionless framework, allowing anyone to participate in the network and contribute to its development.This openness fosters a vibrant community of developers, miners, and users, driving innovation at a rapid pace. In contrast, CBDC is a closed system under government control. Lacking the open source nature of promoting community development, CBDCs resemble government intranets, such as those used by entities such as the US Department of Veterans Affairs or the UK's NHS, which are Design for specific user groups and goals.The limited and centralized nature of CBDC internal networks hinders their ability to innovate at the speed of an open system like Bitcoin.
OPERATOR BENEFITS
Bitcoin not only pioneered the concept of digital currency but has also seen significant adoption and growth in the real world. From a financialization perspective, Bitcoin has achieved important milestones, including its recent adoption as legal tender in El Salvador. It benefits from a thriving organic economy, a deep and liquid trading market and the growth of a mature global derivatives market. On a technical level, Bitcoin runs tens of thousands of distributed nodes following the
ledger, supported by a globally distributed network of miners and mining rigs operating in virtually every jurisdiction on the planet. pure.In contrast, most CBDC projects are still in their infancy, with many still in the alpha or early research and development stages.
On September 25 this year, Christine Lagarde, head of the European Central Bank, pointed out that there are still at least two years left before the implementation of the digital euro. China, previously considered a pioneer in central bank digital currency technology, is still in the testing phase, largely focused on establishing rudimentary use cases with close ally. By comparison, Bitcoin and the broader ecosystem of cryptocurrencies have amassed 14 years of productive operations and
years of organic growth. For those who may not have followed Bitcoin's developments closely, CBDCs may seem reasonable at first glance.However, upon closer inspection, it becomes clear that Bitcoin's first mover advantage gives it a significant head start in terms of network effects, adoption, and technological maturity.
USER-ORIENTED MONETARY POLICY Bitcoin's monetary policy is specifically user-focused. It sets a fixed limit of 21 million coins and uses a performance-based minting process – Bitcoin mining. This approach is revolutionary because it introduces constant supply, a feature that government monetary policy did not provide in the past. Central banks are unlikely to adopt a user-centered model because the power to control the money supply is invaluable, both politically and economically. This means that Bitcoin not only represents an attractive alternative, similar to gold in the past, but also represents a scientific advance over previous monetary frameworks.CONCLUSION: INTRODUCING BITCOIN In summary, it is quite plausible to predict that Bitcoin will overcome bureaucratic technical experimentation as the leading open and permissionless value network. The same core principle that has inherited government intranets – the ability to act quickly, constantly innovate, and operate on a global scale – is the driving force that is enabling Bitcoin to become a global standard for digital value. Bitcoin's exceptional flexibility, innovative spirit, global reach and 's significant advantage make it a formidable competitor. Contrary to the prevailing opinion of government authorities about the inevitability of the introduction of a CBDC, a more logical view might be skepticism about the general feasibility of a CBDC.