The Politics of Alternative Currencies

The aim of the chapter is to compare one private cryptocurrency (Bitcoin) with one<br/>public digital currency (Central Bank Digital Currency). It will highlight their main<br/>differences, compare their chance of success, and delve into their philosophical roots. The main conclusion of the chapter will be that private cryptocurrencies, such as Bitcoin, are unlikely to act as functioning currencies, rather than as mere speculative assets. Central Bank Digital Currencies, on the contrary, are more promising but face the risk to turn already powerful central banks into unaccountable bureaucratic behemoths with extended economic and political powers.