The Digital Age, Cryptocurrencies

Submitted by nineofnine

WHY CRYPTOCURRENCY?

The question to ask, does it meet the criteria for currency value and worth? As it stands, the pillars of currency must have as principles, three intrinsic values

1. Function ….as a medium of exchange throughout the economic landscape.
2. Carries value and vault potential or Store of Value.
3. Possesses units of value.

The intrinsic value and medium of exchange must have the potential and attributes to endure time and space and must stand strong throughout economic activity. Its value and vault potential lies in the ability to facilitate quantifiable amounts in safe, accessible storage over extended periods of time and ability to trade and invest.  As far as unit of value/account is concerned, it must carry transactional ability to be applied to all areas of financial and economic sectors.

Where FIAT CURRENCIES capabilities carry the medium of exchange and units of value (1 & 3), it is devoid of STORE OF VALUE (SoV) (2), … because of its LOW stock to flow ratio. That is, the amount of money that is in circulation (stock) and (Flow) which eludes to the production of NEW or the future printing of its currency units. What this all means is, that fiat money can be easily printed at whims fancy and with that, comes a LOW stock of flow and LOW value or the creation of “easy money”.

On the other hand, CRYPTOCURRENCIES, having all characteristics and value attributes of “HARD MONEY” carries a HIGH VALUE.

Why… ?

1. It is a medium of exchange. It has the ability to be exchanged in secured peer to peer encrypted channels devoid of Governmental/Institutional regulation which might change to satisfy consumer trust. Monitored and transactionally balanced and recorded by Blockchains, a public validating ledger of records undertaken by those referred to as MINERS.

  1. CRYPTOCURRENCIES carries a high STOCK TO FLOW ratio as it cannot produce units as easily as Fiat currencies.. Its storage is facilitated outside normal channels in encrypted form. Access is through fortified gateways as some would determine “uncompromisable VAULTS”
  2. Built on the premise of building units-blocks to garner ONE unit of currency making it harder to produce, hence creating its HIGH VALUE and WORTH.
    The RARER the asset, the more “high-value” it carries.

MASS PRODUCTION of any currency ultimately devalues its worth. History showed that the ancient system that used seashells was replaced because of demands of the industrial age by MINTED METALS, then came GOLD to to back FIAT cash, now to CRYPTOCURRENCIES that is revolutionizing the financial and economic space. Large Corporate entities are now investing in Crypto and in their portfolios, even Governments are moving in similar direction incorporating “the new digital age”.

Gold has a high store of value but it flow side cannot exceed 2.6% of store, creating a “hardness” or supply, which really is due to hoarding supply and maintaining value.
“cash for gold exercise stores up the supply of gold”.

ENTER THE BITCON (leader in cryptocurrencies).
Bitcoin the “hardest” asset to secure to date presents real value per coin. As at August 2018 its worth stands $9000+ falling from a previous high of $16000.+ late 2017. Will it rebound?

Gold per standard unit (oz), $1200+. Cryptos’ inability to be mass produced creates a fixed supply, halving its ratio  ever four years unlike Gold.

As more and more “Stakeholders” of economies garner momentum on investments and startup enterprises, mutual funds, pension funds, 401ks, IRA markets and other large financial markets etc. becomes target sectors for advancement of Crupyo.

Crypto is set to take strong root and presence in economic affairs and its landscape. Of note: ICE (Intercontinental Exchange), which owns The NEW YORK STOCK EXCHANGE (NYSE) announced a planned launch of an open and regulated Global ecosystem platform for digital assets. Likewise Germany is on a similar note to establish a multilateral trading platform for cryptocurrencies.

WooCommerce, facilitators of one third of all e-Commerce stores has integrated an e-Payments plugin by Coinbase for an digital epayments cart/checkout.

IS THIS THE TIME TO SERIOUSLY CONSIDER CRYPTO?
Indices/indicators are looking positive for growth.  Note that any investment carries risks of lost or gain. http://newdigitaleconomies.com

97 comments

  • For the record, Investopedia is not new to me, constantly receives their news letters, at times I do reference it, The articles and definitions are written by persons like you and me.

    You said Cryptocurrencies are not currencies, You present a definition for legers and blockchains, where in that definition does it say that Cryptocurrencies is a LEDGER.

    Right in your face it states that the TECHNOLOGY is the underlying factor or “machinery” of Crypto

    TECHNOLOGY>BLOCKCHAINS/LEDGERS> CRYPTOS.

    Like

  • I was about to slam you for misquoting me, but I looked at what I posted. The two comments

    “John S15 hours ago
    Ordered a bed from Overstock; after 4 weeks it still hadn’t arrived; turns out it never even shipped. Now they want to run a cryptocurrency.”

    “Matthew2 days ago
    Smart move. Crypto currencies are not currencies. It’s a ledger system. A cool technology but not money. If I went down to the local Staples and bought an accounting ledger, wrote 20,000,000,000 as the starting balance and offered everyone a number for $1 a piece…..would you buy it? Even more so, from an “anonymous” person? That’s your bitcoin fools”

    were taken from an online site and were meant to display the feelings of some towards Overstock and its bitcoin plays.. I should have enclosed them in quotes, but the fact that they were preceded by names should have shown these statements were made by others. I think they were meant to show disgust by overstock bitcoin play.

    If believe that if you are willing to exchange seashells for some other things, then seashells can be considered a currency.

    Since cease and desist is seen as a threat (whatever that means), I will simply disengage. Have the last word,

    Like

  • THE DREADED CAPS TO MAKE A POINT THAT IS NOT BEING DEBATED…
    It was a poor post from top to bottom.

    Like

  • This is good,
    It shows how companies are investing in blockchain technology. Most are avoiding acquiring bitcoins.
    https://www.fool.com/investing/2017/12/28/bitcoin-investing-these-2-companies-are-investing.aspx

    Like

  • EACH ONE CAN TEACH ONE, we learn everyday. Its not about having the last word, yea yet you were ready to slam me. See, and I was accused of copying and pasting.

    Like

  • pieceuhderockyeahright

    @ nine of nine

    If you revert to my submission you will note dat de ole man admitted that I was a cockroach at a fowlcock party as it relates to yours and Theophilus and PLTs discussion.

    You will note scattered among my drivel the noun Rawdone which for a few will be understood

    And what I referred to was not only taxationbut moreso I was seeking to highlight the situations where government is proffering goods or services to the public.

    The flowchart that i submitted was to show a generic system wide process for all government departments collecting money from citizens.

    Readers were to see how the current system was flawed AND how Rawdone was imported for a specific purpose.

    Which would be to so obfuscate the collection mechanism at source that the Auditor General who consistently is having incidences of teifing would continue to be thusly assailed BUT THIS TIME VIA CODE

    I then indicated that none of our existing entities knew how to counter said electronic theft and thst this was another screwing that we were to await whether it was raw or well done.

    You however seem to misconstrue an observation as to the on going teifing that we will be subjected to at the hands of Chairman Mia Mao as an anti nine of nine comment.

    Once more I wil say that the process of the distributed register is a great idea since it makes virtual and inviolable the confirmation and replication processes associated with a transaction.

    It creates FOR ALL VIRTUAL TRANSACTIONS WHAT COMPUTER ASSOCIATES DID FOR ACCOUNTING WHEN THEY CREATED ACCPAC OVER 20 YEARS AGO – UNERASABLE DOUBLE ENTRY LEDGER ENTRIES!!!

    I again repeat that, unless the underlying commodity is of a particular type, Bitcoin is a sophisticated pyramid scheme.

    Like

  • Piece,
    Concerns noted.

    It would be a ghastly and a gross mistake, whether calculated or otherwise for this new Administration to move in such a direction and to frustrate or obfuscate the efforts of the Auditor General in his duties, noting that our current leader PM Mottley also chaired that body (PAC) under the last administration.. with difficulty, MORE reason to put things in place.

    That said, PM Mottley is also moving on Integrity Legislation, though at this time there are some serious allegations circulating on social media of some members of that Administration that are in leading rolls. A subject that must be addressed going forward, to convince the populace that the Integrity Legislation is not business usual.

    Looking again at your concerns as it pertains to CODE and “aledge intent”, the solution to this is very simple.

    The Auditor General is apt to receive all data (reports) to function, yes?… including all transactions
    (Foreign and Local Funding , Receivables, Payables/disbursements/Contracts, records, etc, from ALL ministries)
    CORRECT?
    The Administration (by admission) is moving forward to make Barbados a Digital Economy and by that, is meant to Computerize all systems, using “up to date” technology…. (hopefully so).

    For the Auditor General to be efficient in his capacity to monitor and report to the Administration and MORE IMPORTANTLY TO THE PEOPLE OF BARBADOS, His Office/Department MUST be fully integrated with an API network of sorts, connected to all Ministries’ computerization.

    What is an API?
    It is an APPLICATION PROGRAMMABLE INTERFACE, a computer software that acts as a “intermediatory”/monitor/data collector, of/between other softwares.

    In this wise, The AG can access operations data, make determinations and reports, independent of Ministries, not that these Ministries forfeit the responsibility of submitting their own reports, but that the AG can now establish checks and balances at his level, also to COMPARE with any Ministry report before submitting his report it to higher echelons.

    Using CODE. (good or bad)
    Code is public, The PROPERTIES of any coding can be accessed and interpreted.
    Obviously, The “back office” engineers/ technical staff would have to submit to the Integrity Legislation.
    Quite recently China executed 21 politicians for corruption in a public office.

    I believe, that our current PM will do what it takes to move the country forward, remember, future proves past and lots will be at stake to lose then (future)…… once the Integrity Legislation is proclaimed/ passed into Law. (now).

    On an item that you raised in the flowchart..

    ….”Peter/Paul > backoffice coding trick > $$$ skimmed > $$$ sent overseas as bitcoin…” > ( NEW WAY TO TIEF FROM GOVERNMENT)”…..

    HERE is where BLOCKCHAIN TECHNOLOGY comes in to validate entries of transactions at the BRA , baring in mind, that the AG also has a verification process at work (API).
    The combination of API and Blockchain with men of integrity should exhibit transparency in Government financial affairs.

    Now IF this system is breached or as you put it “coded” from start and bitcoins “sent” / purchased, the question to ask..
    How is it EVEN possible to undertake this, even if attempts to “code” or “skim” resulted in virtual cash?
    To pursue any Crypto, you need “legal currency”, virtual or hard / credit or debit card and an account on the trading platform, a crypto wallet,a PUBLIC KEY, a PRIVATE KEY and a passport password to officially allow any movement of bitcoin to or fro in any trade or exchange engagement that’s only done in peer to peer.

    The question is ..
    Which “Minister” would take “skimmed money” and be custodian of a Crypto account?
    THERE IS A VERIFICATION PROCESS TO HAVE A CRYPTO ACCOUNT. buy, sell exchange or trade.

    Like

  • One of the reasons for the big push by interest to using blockchain to support cryptocurrency is the growing distrust of the fiat monetary system.

    Like

  • David
    It has been long in the making, 99% of Central Banks around the world including Barbados are owned by one family, the Rothchilds, they control Governments and people financially. People and Governments are waking up to this reality and are seeking options.

    Clever manipulations, “forced contracts”, Interest rates, exorbitant fees and penalties are the major hijackers and embezzlers of peoples financial power, while Crypto has practically none.

    It will not come as a surprise when Banks start to scale-down operations here, in fact some has already closed branches.
    When you have to pay to withdraw or deposit your funds is a calculated ruse on the psyche. I am aghast that public outcry and pressure is not being weighted on these establishments.

    Blockchain features are applicable across all sectors with security concerns.

    Like

  • David..
    The site could do well to have the facility to upload stuff like images,charts, banners etc.

    Like

  • If you post a link ending in jpeg, png etc it should display.

    Like

  • @ David you mean like this?

    Like

  • ” Isaac is expected to become a hurricane tonight.”

    Looks like Dominica is in the projected path.

    Like

  • @ David,
    I have challenged myself to learn how crypto currency works.

    “Some of the limitations that cryptocurrencies presently face – such as the fact that one’s digital fortune can be erased by a computer crash, or that a virtual vault may be ransacked by a hacker – may be overcome in time through technological advances. What will be harder to surmount is the basic paradox that bedevils cryptocurrencies – the more popular they become, the more regulation and government scrutiny they are likely to attract, which erodes the fundamental premise for their existence.”

    https://www.investopedia.com/articles/forex/091013/future-cryptocurrency.asp

    Liked by 1 person

  • Hants,
    I know you addressed your question to David,..
    if i may..

    “….“Some of the limitations that cryptocurrencies presently face – such as the fact that one’s digital fortune can be erased by a computer crash”..

    If you are speaking to personal computer crash, you can recovery of your assets via your account, keys and passwords.

    If you are referring to the collapse of a Trading Platform, though some would say that it is impossible to recover assets might not be channelling the correct information.

    The system is built on Blockchain technology, which is a complex set of computerization and algorithms or record keeping creating ledgers/blocks that create asset tokens/coins.
    In order for a trade (buy, sell or exchange), the algorithms has to determine that the account can ACTUALLY accommodate such trade, it knows how much is held in the crypto wallet so that it can make the determination of allowing the trade.
    Not only that, the blockchain is manned by a cadre of “miners” across the globe, therefore if there’s a failure in the US, Miners in istanbul, London and Iceland etc still has that relevant data.

    THE PRIVATE KEY is your most valuable asset in the Crypto world and must be safely secured at all times.
    There’s a saying, “if it is not on the internet, it can’t be hacked”.

    As per Vaults…
    Some elites have their keys stored on dedicated servers in underground bunkers.
    A US Patent has just been secured to create offline /non internet security virtual facility to house Crypto data.

    Government regulation and scrutiny is a measure to protect MAJOR (fiat) FINANCIAL INSTITUTIONS and Constructs including Central Banks that hold the financial power, and deeper control over Governments.

    Like

  • Latest developing story:
    US base BITTREX has announce partnership with new cryptocurrency Trading Platform CRYPTOFACIL to accommodate start trading within the Caribbean and Latin America, giving the nationals of this territory to trade in over 200 cryptocurrencies, hoping to leverage Bittrex Trading Platforms experience and review process while offering a pre-registration period for interested traders.

    BITTREX is listed #25 in the Crypto Exchanges with 24/7 with Trading Volume USD $43 Mil.

    CRYPTOFACIL will be based in Uruguay.

    Like

  • Disruptive or Advancement?
    Cryptocuurency pegs to the USD.
    Winklevoss brothers founders of the Gemini Cryptocurrency Exchange have launched the GEMINI DOLLAR (GUSD), a Digital representation of the USD.
    Structured as an ERC-20 on the Ethereum blockchain. Mooting as a regulated and creditworthy stablecoin, under the watchful eye of the NEW YORK STATE DEPARTMENT OF FINANCIAL SERVICES (NYDFS) will be allowed to transmit and trade the Gemini Dollar on exchanges globally by depositing USD into their Gemini exchange accounts, converting it to tokens and trade using their Ethereum address, likewise withdrawals mare made via their Gemini Account.

    SHARESPOST in a recent survey of 3000+ accredited and retail investors state that they are determined to increase their investments in Cryptocurrencies over the next year, as education and commercial use of Cryptocurrencies are becoming less challenging and more widespread acceptance.

    CRYPTOCURRENCY MUTUAL FUND
    Bitcoin has launch a Bitcoin Mutual Fund in Canada.
    First Block Capital Inc. ( a crytocurrency and blockchain investment company) through its bitcoin Trust FBC Bitcoin Trust have recieved mutual fund status in Canada.
    Investors can now deposit funds in such accounts as a REGISTERED TAX FREE SAVINGS ACCOUNT(TSFA) and a REGISTERED RETIREMENT SAVINGS PLAN ACCOUNT (RRSP), available only (at this time) to
    accredited investors on the fund distribution network NEO CONNECT (ticker FBCBT) that allows daily payments, removing the 30 day redemption clause.

    Like

  • Piece Uh De Rock Yeah Right

    @ Brother Hants

    Trust you to find a specific png file to prove a point lololol, you could have found a png of a barbados Mickey Mouse dollar but noooooo you had to find one of heheheheheheh

    Like

  • Crypto Exchanges and related businesses in Mexico are now required to obtain a permit from the BANK OF MEXICO to regulate the fintech sector, TWART/avoid money laundering, promote financial stability and decide which currencies are listed on exchanges.
    They now have to provide a detail business plan explaining its operations, commissions, business model and know your customers (KYC) checks.
    Applications are done online. Mailing is accepted with a registered signature and a justifiable excuse.
    Successful applications will be given a an electronic payment fund account, allowing them to operate Cryptocurrencies

    World Economic Forum predicts a 1Trillion world trade in Blockchain technology in the SMEs sector but there’s a small bridge to cross where SMEs access to credit sometimes hamper business with suppliers who require upfront payment.. the potential for such trade and efficiency is hindered by this deficit. Blockchain can create an ecosystem whereby distributed Legers can reduce the deficit by global trade volumes, allowing specialize industries, sourcing and tracking, eliminate fraud and scaling of economies in a secure environment other that in paper/document processing that leads to delays, it is said that adopting Blockchain technology will inevitably raise Global GDP.

    Bitcoin/USD makes slight comeback for day traders but its bearish run is not yet over.

    Like

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