Pro-CBDC Mark Carney takes helm as Canadian prime minister amid crypto skepticism

Mark Carney has emerged as Canada’s new Prime Minister, replacing Justin Trudeau after a decisive victory in the Liberal Party’s leadership race.

The announcement, made on March 9, confirmed Carney’s rise to power with an overwhelming 85.9% of the vote, defeating his closest rival, former Finance Minister Chrystia Freeland.

Carney’s appointment follows Trudeau’s resignation in January after nearly a decade in office. The former prime minister faced mounting pressure from within the party due to declining public support, fueled by rising living costs.

A seasoned figure in global finance, Carney previously served as the Governor of both the Bank of Canada and the Bank of England. His monetary policy and economic strategy background positions him as a leader focused on financial and technological reforms.

Carney’s crypto stance

Carney has been a vocal critic of Bitcoin and other cryptocurrencies, often questioning their long-term viability.

As Bank of England Governor, he dismissed Bitcoin as a reliable store of value, citing concerns about its fixed supply and potential deflationary economic impact.

He argued that:

“Far from being strengths, the fixed supply rules of cryptocurrencies such as Bitcoin are serious deficiencies. Fundamentally, they would impart a deflationary bias on the economy if such currencies were to be widely adopted.”

In another speech, Carney expressed skepticism about stablecoins, arguing that they concentrate too much power in the hands of major technology firms. Instead, he promoted central bank digital currencies (CBDCs) as a more secure and efficient alternative.

He stated:

“The potential superiority of CBDCs from a public interest perspective is reinforced by the undesirability of currency competition at heart of the system. Stablecoins have the potential to fragment the liquidity of the monetary system and to detract from the role of money as a coordination device.”

Despite his well-documented opposition to crypto, it remains unclear whether his stance will shift once he assumes office due to the global trend.

However, his past statements suggest that his administration may not favor digital assets.

Economic vision

Despite his pronounced crypto skepticism, Carney has laid out an ambitious economic plan to strengthen Canada’s position as a global leader in emerging technologies, including AI and digital innovation.

Carney envisions AI-driven healthcare, education, and infrastructure advancements, aiming to boost productivity and create high-paying jobs.

His strategy involves integrating AI across government services to enhance efficiency while attracting significant investments in emerging technologies. He sees AI as a key driver for economic growth and believes it will play a critical role in shaping Canada’s future.