Cryptocurrencies like Bitcoin (BTC) and Ether (ETH) will co-exist “for a while” with more restrictive digital currencies like China’s digital yuan, Binance CEO Changpeng Zhao said in a Bloomberg interview on Monday.
According to Zhao, some of the key features of cryptocurrencies like Bitcoin (BTC) — freedom of use and limited supply — won’t be offered by CBDCs. “At the end of the day, those are core properties that users care about,” he stated.
Zhao said that the differences between the two types of digital assets could make central bank-issued currencies unattractive to people in the crypto industry. “Most central-bank digital currencies are going to have a lot of control attached to them,” he noted.
Unlike a fiat currency like the United States dollar, the world’s biggest cryptocurrency, Bitcoin, has a limited supply, meaning that there won’t ever be more than 21 million bitcoins in the world. Many crypto proponents have been pointing out money printing-fueled inflation, suggesting that Bitcoin could emerge as