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I agree with your assertion, however: > that permission can be revoked instantly, silently, and invisibly at any time This can happen with cash too, as 99% of

I agree with your assertion, however: > that permission can be revoked instantly, silently, and invisibly at any time This can happen with cash too, as 99% of Indians found out to their utter dismay on 8 November 2016!! [1]. Granted that this is a Black Swan event [2] and the revocation was done publicly. However, as someone who lived through this and experienced it first hand, I stopped trusting cash from that day onwards. I carry just enough with me to get by for couple of days. I don't know of any other single event that sent shockwave through 1300+ million humans literally overnight. [1] https://en.wikipedia.org/wiki/2016_Indian_banknote_demonetisation https://en.wikipedia.org/wiki/2016_Indian_banknote_demonetis... [2] I sincerely hope so. Though it's been carried out a few times in India, thankfully not within the same generation.

CPLX 8y ago
Yss but that’s an entirely different dynamic, as they can’t single you out personally in that scenario, they have to cause massive social disruption and — crucially — loss of their own credibility.
cesarb 8y ago
> However, as someone who lived through this and experienced it first hand, I stopped trusting cash from that day onwards. I carry just enough with me to get by for couple of days. I suppose you leave the rest in a bank account. That won't help if all bank accounts are frozen, as I lived through in the early 90s here in Brazil (we called it "Confisco da Poupança", see https://pt.wikipedia.org/wiki/Plano_Collor#Medidas_do_Plano_Collor_I https://pt.wikipedia.org/wiki/Plano_Collor#Medidas_do_Plano_...).
- yholio 8y ago
  A country willing to destroy it's hard currency would have absolutely no problem seizing the bank accounts of it's citizens. So these types of events are not really arguments for or against cash, it's all dumb luck if you get to keep one or the other. In stable countries with a functional rule of law however, bank credit is seriously inferior to cash for all purposes except convenience and security.

CPLX 8y ago

Yss but that’s an entirely different dynamic, as they can’t single you out personally in that scenario, they have to cause massive social disruption and — crucially — loss of their own credibility.

cesarb 8y ago

> However, as someone who lived through this and experienced it first hand, I stopped trusting cash from that day onwards. I carry just enough with me to get by for couple of days. I suppose you leave the rest in a bank account. That won't help if all bank accounts are frozen, as I lived through in the early 90s here in Brazil (we called it "Confisco da Poupança", see https://pt.wikipedia.org/wiki/Plano_Collor#Medidas_do_Plano_Collor_I https://pt.wikipedia.org/wiki/Plano_Collor#Medidas_do_Plano_...).

yholio 8y ago
A country willing to destroy it's hard currency would have absolutely no problem seizing the bank accounts of it's citizens. So these types of events are not really arguments for or against cash, it's all dumb luck if you get to keep one or the other. In stable countries with a functional rule of law however, bank credit is seriously inferior to cash for all purposes except convenience and security.