TL; DR Failure

  • Myanmar to develop its CBDC
  • CBDC will reduce poverty in the country
  • Shadow Government Declares Tether Official Legal Tender

The idea of creating and developing a central bank digital currency has been around for a long time. While China has officially proposed the idea, there are still many countries that are going along with it. While some have already done so, others are just brainstorming how to create their CBDCs. Myanmar is one such country that plans to develop its digital currency soon.

CBDC will alleviate poverty in Myanmar

The military government currently in charge of Myanmar hopes the launch of digital currency will help the country. Major General Zaw Min Tun, leader of the armed forces, agrees, according to Bloomberg. While there are reasons for creating a digital currency, the military is skeptical of involving companies in Myanmar or doing development independently.

Dunn is also the head and spokesperson of the military group and the head of the media team. In addition to alleviating the country's poverty, the CBDC will be developed to help process the large number of payments. A recent report says Myanmar will grow by only 1 percent because of the problems plaguing the country.

Shadow Government Declares Tether as Legal Tender

The country suffered from problems similar to the military overtaking and the huge impact of the coronavirus pandemic. Notably, the initial estimate of the country's growth rate was only 30% higher than the current projection of no pandemic. However, it is unclear whether the organization wants the Central Bank of Myanmar to participate in the creation and if it is able to achieve its goals, they want it to happen.

Before the military overthrew the government, the Central Bank of Myanmar opposed digital assets, proposing a rule that could see asset holders imprisoned or fined. An executive at the bank mentioned that they are still studying these assets to understand their advantages and disadvantages in the long run. The shadow government announced earlier that it would make Tether its official legal tender. In addition, efforts are underway to overthrow the military in the national government.