You are probably hearing and reading more about digital currency and many people are worried. What exactly does that mean if the US adopts a digital currency. How does that impact me and my financial privacy? Let’s take a deeper look at what CBDC means for you, your family and your financial security.

Digital currency or CBDC (Central Bank Digital Currencies) is a possibility currently being researched and evaluated as an additional or alternative form of currency in the US.

CBDC is a digital version of the dollar backed by the Central Bank. A bit like cryptocurrencies such as Bitcoin, but with US government backing. CBDC’s can be used as an alternative form of payment just like physical currencies and are considered legal tender.

There are some benefits to CBDC including efficiency and lower transactions costs, increased access to financial services, facilitation of cross-border payments and other innovations. But with those potential benefits come MANY REAL concerns, including:

1. Loss of privacy to the individual. CBDC transactions, because they are digital, can be easily tracked and monitored, raising concerns about surveillance and privacy.
2. Possibility of financial censorship since government may, using digital currency tracking and access rights, exert control or censorship restricting individuals’ economic freedoms.
3. Allows Central Banks to exert more control over monetary policy, potentially leading to mismanagement.
4. Increased vulnerabilities from cyberattacks.

The US government is currently studying the options and implications for issuing CBDC in the future, so it might be a good time to examine how you can protect yourself, your family, and your financial future.

1. Diversify your portfolio. Diversification is a common technique to manage investment risk. Do you really feel safe right now having all your money in bank accounts or stocks? Precious metals are often used as a “safe haven” diversification strategy.
2. Maintain financial autonomy by maintaining physical control over your assets. When you buy physical gold and silver, that is easy to accomplish.
3. Up your privacy game by using tools to protect your online activities and financial transactions.
4. Educate yourself and prepare a plan to ease your concerns.

At VaultUS Gold, our team has been watching and studying the developments around CBDC and are fully prepared to help you understand its implications to your privacy and financial security and how to mitigate your concerns through an investment in precious metals.