All About Bitcoin, Ven And The End Of Currency- Part 2
Moving forward with more details. Where are the digital currencies positioned? How does it affect regulatory control?
Continued From The Previous Post
Digital currencies are changing what money can be by and large whereas widening the vistas of how the global society determines and trades value. Therefore the size of these economies is small but also growing fast with over 6.2million bitcoins in an economy worth almost $50 million. Thereby in Hub Culture, around 5 million Ven is circulating with a GDP equal to over $500,000 growing at 10x annually. This is where Ven plays inside the more closed rules of the current system where even the bitcoins with radical open nature are subject to value quandary to be traded with the assigned value. If in case it can be assigned a value, it can be interchanged with anything else of assigned value.
Enabling the exchange of all types of value, the internet helps us measure and publish these values whereas taken to its theoretical and logical conclusion, the internet along with all the content on it actual or representative, is eventually assigned a value. Once assigned, these values are essentially everything becoming money, and the currency itself ceasing to exist.
With embedded values attached to all things, the system represented on the Internet will turn the internet itself into a pervasive exchange as the idea of national currencies become not just obsolete but redundant as no more currency meaning the value of a like or a banana or a reputation will all effectively speak to national currencies in a kind of common mathematical language. All of these things will eventually be equally and instantly interchangeable. Whereas it is quite tough to say how quickly or how slowly this will happen, it is the single inevitable consequence of the second phase of the internet. Whereas the first phase was being the P2Pization of communications already well underway.
Is It Happening Faster Than You Think?
Happening faster than any of us can expect, the change is about simple numerical value, versus complex comms, where most of us are now basically connected with the ability for rapid and mass adoption of new ideas and system possible at a multiplying rate, especially if it offers a radical shift in value creation as fundamental as this. This is where we are teaching the internet to speak math via casual links.
While the need of the hour is to urgently think about how the blurring lines between currencies and everything else is sure to affect us, the relationships and the physical economies. To create and measure value, it is going through a change that has not been seen in over 600 years as since the emergence of the first systematic nationalized currencies, it is profoundly affecting the central vs. distributed control of value as well as the archetypes surrounding how we measure value as it snowballs toady but tomorrow it would be an avalanche to watch.
The belief that the world will end up with a single global currency or a single reserve currency, it is in the very near term a network of reserve currencies allowing humans to pick and choose new options for a trade where they are already there with those mentioned are just the first. It can be stated that in the long term these currencies along with everything else of value are measured and represented on a unified system that is probably the internet itself. Consequently, the result would be the end of currency with the emergence of singular value.
It can be said that the rise of Singular Value implying more efficient capital markets as well as the potential for ongoing GDP expansion, implying a hybrid of fixed asset values as well as the more efficient monetization of knowledge as the continual expansion. Leading to an expanding supply of value relative to hard assets, this combination is almost certainly subject to peak resource pressure in the coming period anyway. Whereas the tension between these two assets as well as their relative value will set the agenda for much going forward.
When it comes to bitcoins, there is much to be seen as what will be the consequences of losing control of the money supply to the internet and is there anything that helps it to be done as also avoiding the outcome? While the answer is a systemic rigidity of crushing proportion, governments choose the value of their money or can ease or tighten the supply at will. For one thing, those who start learning to speak this new common language will surely end up ahead of those who don’t whereas for the concept of a nation built on tax and central monetary authority, the internet could itself someday control our nation? And will it be benignly totalitarian which food for thought is?