Making CBDCs harmless
Other than using cash, gold, silver and crypto
Back to at least Aristotle some 2,500 years ago, it has been recognised that sound money is supposed to have certain characteristics. Such characteristics include that the money should be saleable, durable, divisible, portable, and fungible. Given such ancient wisdom, it is hard to imagine any more inferior money than CBDCs.
Nevertheless, CBDCs are coming and there is not much we can do about it.
Or is there?
Let me show you how a simple, time-tested yet grossly overlooked solution is about to make CBDCs harmless. And how you can be part of this solution.
The solution is called “clearing” in financial lingo.
What is clearing?
Clearing allows us to settle what we all owe each other simply by paying the net balances. If you are supposed to pay $10 and get paid $8, you simply pay $2. If you are supposed to pay $8 and get paid $10, you simply get paid $2. There is no need to pay the $10 and the $8. We have all probably done this many times on a small scale before with our mates and thought nothing of it.
The big banks have been using clearing between themselves for hundreds of years, and it is used by the stock exchanges too. In fact, trillions of dollars are cleared every single day around the world throughout the banking system, although most people aren’t aware of it at all.
How does clearing help with CBDCs?
By clearing the payments between us, only the net payments will show in the bank accounts, i.e. only the $2 transaction shows, rather than the $10 and the $8 transactions in the example above. This means that there is no way for the CBDC operator to be able to decipher what the $10 and $8 payments were for. In fact, the amounts are not even known, as the $2 net could just as well come from a difference between $11 and $9 or $765 and $763.
CBDCs might be inferior but they can become relatively harmless when we use clearing. Boom, problem gone!
And here is the most amazing part - we have already built this clearing solution and we are getting ready to launch. We have initially focused on B2B (business-to-business) payments and will be adding B2C (business-to-consumer) payments as soon as we can.
What can you do?
You can help in several ways.
Firstly, we are about to start an equity crowdfunding campaign in May 2023 to boost our reach ahead of the launch. Equity crowdfunding means that you have an opportunity to become an owner of the solution alongside other investors. You are welcome to contribute anything between $500 and $10,000 as a retail investor and there is no upper limit as a wholesale investor. You can use your SMSF as well.
Secondly, you could help spread the word amongst people that share your concerns about CBDCs. We are certainly looking for some high-level supporters and airtime in alternative media, so any such help would be gold.
Thirdly, you can of course use this solution once we open our doors later this year. This would be incredibly important for the prospects of making CBDCs harmless.
We sincerely hope that as many everyday people as possible will seize this opportunity to help minimise the harm of CBDCs before it is too late.
To express your support, stay up to date and watch a video introduction, go to www.clearitt.com and please drop us your name and email.
Thank you!
Dr Richard CB Johnsson, a.k.a. Dr Paxian
