Ripple (XRP) recently published how CBDCs can unleash the next wave of financial inclusion and innovation.

The problem with stimulus payment delivery during the CoVid-19 pandemic put forth the weakness in the US financial system.

In their FAQ expressed, the IRS previously expressed that physical checks might take 3 to 4 weeks to process and be mailed to you. However, the process has been going on for weeks, and many of them never got it.

Recipients were wondering why their stimulus check did not arrive.  Many were wondering what the problem was.  They did not know what to do.  Some payments went to the wrong bank.  There were issues related to direct deposit account information entered when they filed their 2020 takes.  The IRS had the wrong mailing address.  USPS delays prevented the checks from arriving.  Debt collectors were making the payment.  Some people landed up overlooking the envelope with their check or card. Some got scammed, and they lost the payment. There were a lot of problems.  The government clearly struggled to deliver CARES Act payments quickly to those in need.

Ripple expressed:  CBDCs have the power to transform stimulus payments and also enable unlimited fiscal policy options.

The CBDC platform’s structure makes it possible to deposit directly into digital wallets nearly instantly. Citizens had their accounts with the central bank, and the stimulus payments from the central bank can be delivered in seconds, assuming appropriate Know Your Customer (KYC) checks are in place at a national level.

By the indirect two-tier model, the commercial banks will be able to remain central to the financial system. Thus, stimulus via CBDCs will be faster than today’s model.

Irrespective of the CBDC platform structure, the potential fiscal policy options which the CBDCs unlock are also impressive. For example, these days, food stamps act as a target solution for food insecurity, which is particularly tailored CBDCs that can do the same in the digital sphere.  Therefore, CBDCs can be “tagged” for particular goods and services.

Community responses were like this:  Being able to monitor the flow of all financial transactions is one of the ultimate prizes for governments with the push from cash to digital. Sure, there will be privacy amongst citizens, but from “Big Brother,” I don’t think so.

I agree on the potential, but there are serious concerns around privacy if everyday people are using it for purchasing.  A lot of big brother monitoring, blackmailing, etc., is happening. That politician pays his bill with CBDC.

Come on, Ripple, you got all the powers. Why don’t you make SEC loose at once? Why stretching it too long.  Let’s see your real powers, and I am pretty sure once you will win.  XRP is going to the moon and beyond, and the price of 1 XRP =$15000 – $35000 each in a matter of days!