A current paper from the German Ministry of the Interior on the digital central bank euro proves all common (alleged) conspiracy theories: the digital euro will not be freely available to use. Central bank digital money (CBDC) will be programmable and earmarked.
Spend money on whatever you want? This will be a thing of the past with the European Central Bank’s digital euro. A current paper from the German Ministry of the Interior, which deals with the technical guidelines of the CBDC euro, is clear: the digital euro will be “programmable”. In German: The digital euro can be earmarked. Its owner will not be able to freely dispose of the eEuro, but will be programmed in such a way that it can only be spent on what is permitted.
And that is exactly what has been considered an evil “conspiracy theory” for years, because no one has the intention of earmarking money. The blueprint was created with the “payment card” for migrants and this taboo has already been broken, i.e. the first pilot has just been pushed through in Germany. The document from the Federal Office for Security and Information Technology makes this clear. Accordingly, what the payment card is only for migrants could become digital money for everyone. In the chapter “Higher-level functionality” on page 11, the Federal Office writes:
The requirements contained in this document concern the core system of the CBDC backend, which forms the technical backbone for the use of CBDC notes. When put into practice, the CBDC ecosystem can include additional functions and offer additional services on top of the core system as an additional application layer. This can, for example, support the automatic triggering of payments when predefined conditions are met (often referred to as programmability). or prohibit payments when a wallet issued only for certain purposes is used outside its permitted scope.
In addition, the central bank, in this case the ECB, should always have access to the “money” in the future – and thus be able to collect it. This is what it clearly says on page 10:
The central bank can revoke CBDC notes, e.g. B. as an instrument of monetary control. The revocation of CBDC notes is carried out by an authorized body, the Revocation Authority, which is controlled and operated by the Central Bank.
Even behind this small and inconspicuous description there is a big theory about CBDC: If the digital euro is not issued as desired “from above”, then it will be withdrawn again. “Saving” as we currently do is no longer possible. This perspective is not a “conspiracy theory”, but a possible scenario. This is clear. Furthermore, on page 12 the “use of different types of wallets” (meaning an app) is theorized: Each “wallet” would have “different functionality”. Here it is said in a rather dystopian way:
Depending on the amount of personal information they require, wallets may only allow:
Payments only with certain restrictions (e.g. amount of money stored, number of payments per day, amount of money per transaction or per day) or without such restrictions (other than general restrictions if the Central Bank deems it appropriate to impose them). This approach can result in (at least) two types of wallets: completely anonymous wallets, which require no personal information and are subject to restrictions, and personalized wallets, which are fully traceable but not subject to restrictions.
The paper speaks a clear language everywhere. Also that anonymous financial transactions will only be possible to a limited extent. On page 83, the question is whether anonymous payments will still be possible under CBDC: “Depends on the implementation. Can be provided up to a certain amount of money if the associated risk of fraud is accepted.»
The same functions that the German Interior Ministry is openly talking about for the digital euro have already been revealed for the Brazilian eReal. And such “programmability” is also planned in India – how Ernst Wolff currently reports. Norbert Häring mentions this on his blogthat just a few days after the publication of the German paper, the US Fed also published a similar paper.
If you would like to read the document yourself, you can download the entire thing Download 89-page document here.