Banks can already freeze accounts, within legal bounds. Hard cash is the main issue, but not the issue people assume. Most white collar workers don't use hard cash. The real reason is taxation, many small businesses only accept cash or pay in cash -- meaning they report less revenue which is ultimately less tax revenue and also illegal. I'm not promoting CBDC, but calling Occam's Razor here, as someone who is certified in cryptocurrency fraud/compliance and speaks at conferences on it. Cash creates a smokescreen on financial activity, particularly for sticking it at the tax man. Cryptocurrency is rife with illegal transactions from terrorism to money laundering, etc. CBDC kills two birds with one stone, force increased transparency of financial activity so businesses/individuals report accurately (for taxation) and also make existing cryptocurrencies worthless.
Banks can already freeze accounts, within legal bounds. Hard cash is the main issue, but not the issue people assume. Most white collar workers don't use hard cash. The real reason is taxation, many small businesses only accept cash or pay in cash -- meaning they report less revenue which is ultimately less tax revenue and also illegal. I'm not promoting CBDC, but calling Occam's Razor here, as someone who is certified in cryptocurrency fraud/compliance and speaks at conferences on it. Cash creates a smokescreen on financial activity, particularly for sticking it at the tax man. Cryptocurrency is rife with illegal transactions from terrorism to money laundering, etc. CBDC kills two birds with one stone, force increased transparency of financial activity so businesses/individuals report accurately (for taxation) and also make existing cryptocurrencies worthless.