02-05-2021, 01:01 AM
There are a lot of thinking / movement about:
- Abandoning fiat currency and moved back to gold/resource backed security
- Changing / introducing new 'authority' bodies which govern the issuance / de-issuance of currency.
Which actually not necessarily inline with the background on why some people created digital currency, specifically bitcoin or ethereum.
- Bitcoin is based on 'shared distributed ledger' where blockchain is the enabling technology.
- Shared distributed ledger was invented with avoidance of central authority as goal, that's why the 'validator' (read:miner) are distributed yet shared the same ledger.
- Bitcoin is a 'fiat' money it's value is not pegged / backed by any gold/resource. Pegging the currency to something requires centralized authority in the first place.
- Bitcoin respect participant's privacy, it's not mandatory for wallet/account holder to reveal it's true / legal identity.
There has been an effort of some parties to release digital currency yet with 'centralized authority' in mind, for example Facebook's Libra, which didn't fly nor being widely accepted.
Currency is not a black/white issue as those with political intention try to framed it as such. (My system is good, other systems are evil).
There are pros and cons of each approach as I've highlighted above between No-centralized authority model like Bitcoin and Centralized Authority model like country/government backed currencies.
On personal level, one key takeaway is a realization that currency is not 'wealth' let alone a metric to measure one's well being.
And with the availability of blockchain technology, you can also start your own digital currency if you wish so, with any model that you choose.
If you want to be 'rich in currency' then you can create your own currency.
Whether 'your currency' will be accepted by others is of course a totally different story.
As of January 2021 there are over 5,000 digital currencies...with varying degree of acceptance.
- Abandoning fiat currency and moved back to gold/resource backed security
- Changing / introducing new 'authority' bodies which govern the issuance / de-issuance of currency.
Which actually not necessarily inline with the background on why some people created digital currency, specifically bitcoin or ethereum.
- Bitcoin is based on 'shared distributed ledger' where blockchain is the enabling technology.
- Shared distributed ledger was invented with avoidance of central authority as goal, that's why the 'validator' (read:miner) are distributed yet shared the same ledger.
- Bitcoin is a 'fiat' money it's value is not pegged / backed by any gold/resource. Pegging the currency to something requires centralized authority in the first place.
- Bitcoin respect participant's privacy, it's not mandatory for wallet/account holder to reveal it's true / legal identity.
There has been an effort of some parties to release digital currency yet with 'centralized authority' in mind, for example Facebook's Libra, which didn't fly nor being widely accepted.
Currency is not a black/white issue as those with political intention try to framed it as such. (My system is good, other systems are evil).
There are pros and cons of each approach as I've highlighted above between No-centralized authority model like Bitcoin and Centralized Authority model like country/government backed currencies.
On personal level, one key takeaway is a realization that currency is not 'wealth' let alone a metric to measure one's well being.
And with the availability of blockchain technology, you can also start your own digital currency if you wish so, with any model that you choose.
If you want to be 'rich in currency' then you can create your own currency.
Whether 'your currency' will be accepted by others is of course a totally different story.
As of January 2021 there are over 5,000 digital currencies...with varying degree of acceptance.