I have been warning people about crypto currencies for a long time. Why? Because no one can ever tell me what the intrinsic value of crypto currencies are. All BS. Tulip bulbs. The answer really is a series of national currencies. Fiat but not issued by a central bank. Not a promissory note payable by the government, secured by its “right” to tax the people. Rather a form of share in the value of the nation. A unit of exchange that would be deemed by law to be legal tender.
What this does not address are international exchange rates and the multiplier effect of commercial banks lending. This would require some form of agreement between the sovereign and the banks as to how money is created and put into the banking system. I suspect that would be some form of purchase agreement between the government and the banks.
As to exchange rates, this is where some form of commodity could be useful to smooth out exchange rates but honestly by itself is not the answer.
Too complicated for this forum. Regardless, crypto currencies created by independent parties is not the answer. It has zero transparency. Nothing of substance underlying the intrinsic value, and it reduces, not increases, our privacy and security from tyrannical governments.
I have been warning people about crypto currencies for a long time. Why? Because no one can ever tell me what the intrinsic value of crypto currencies are. All BS. Tulip bulbs. The answer really is a series of national currencies. Fiat but not issued by a central bank. Not a promissory note payable by the government, secured by its “right” to tax the people. Rather a form of share in the value of the nation. A unit of exchange that would be deemed by law to be legal tender.
What this does not address are international exchange rates and the multiplier effect of commercial banks lending. This would require some form of agreement between the sovereign and the banks as to how money is created and put into the banking system. I suspect that would be some form of purchase agreement between the government and the banks.
As to exchange rates, this is where some form of commodity could be useful to smooth out exchange rates but honestly by itself is not the answer.
Too complicated for this forum. Regardless, crypto currencies created by independent parties is not the answer. It has zero transparency. Nothing of substance underlying the intrinsic value, and it reduces, not increases, our privacy and security from tyrannical governments.