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What a whole lot of nonsense. Blockchains operate on the basis of one dollar one vote. There's nothing egalitarian (not to mention democratic) about this. A
by lottin 4y ago
What a whole lot of nonsense. Blockchains operate on the basis of one dollar one vote. There's nothing egalitarian (not to mention democratic) about this. A central bank, on the other hand, is a public institution with a public mandate.
By the way, currency debasement is not an economic term. The only people who use it are conspiracy theorists and crackpots, as far as I know.
- m00dy 4y ago> public institution with a public mandate Fed’s Powell begging people to quit their jobs atm. So, it this the public mandate you are talking about?
- JumpCrisscross 4y ago> Powell begging people to quit their jobs Out of curiosity, where did you read this?
- SamReidHughes 4y agoProbably meant to say begging for people to get laid off (the economy to cool down).
- corv 4y agoYou're so close to an ad hominem that I can hardly be persuaded to reply but your confusion has taken the better of me. Proof of stake blockchains operate on the basis of more dollars = more votes, for this to be true for proof of work blockchains one would first need to spend that capital for mining equipment. It is very egalitarian since everyone can participate on an equal footing, everyone can run a node and get a complete copy of all transactions and verify correctness. It is challenging and expensive to get the same kind of insight into the stock market. The European Central Bank has arguably failed its mandate of keeping price stability within the eurozone when some countries have more than 20% inflation. Currency debasement is more commonly known related to coins but I'll leave the term as is
- FridgeSeal 4y ago> It is very egalitarian since everyone can participate on an equal footing, everyone can run a node and get a complete copy of all transactions and verify correctness I have friends that can pay rent but don’t have much left over. There are people in my city that live hand to mouth. I know plenty of people who are well off enough, but aren’t ever going to (or have the technical inclination, or sore cash to) run a node. > get a complete copy of all transactions and verify correctness I’m sure this is a real benefit for all the single parents struggling to feed and cloth their kid. The reality is, most people don’t have the resources (time, technical or monetary) to participate in “egalitarian” crypto currencies. Moreover, even if they all did, it still wouldn’t be egalitarian, because they’d still be out-purchased by those with capital. So we’re back to where we started, except with more e-waste, energy bills and more exaggerated hyper-capitalism.
- corv 4y agoWell exactly, had these single parents bought Bitcoin or Ethereum years ago they wouldn't be struggling now. One doesn't need to run a node to use the system but it is accessible to everyone, just as the code is there to be scrutinized publicly. The entire point was to reform currency where economic policy is more predictable and the currency less susceptible to kleptocracy. Interestingly enough the inflation rate of both Bitcoin and Ethereum is now lower than that of major world currencies. So while volatility still needs to trend lower for day to day usage, the case for a store of value has already been established in the past decade and anyone can see the price history and number of wallets increasing exponentially.