Bitcoin Forum

PBOC official Yao Yudong calls for a new Bretton Woods agreement in the latest issue of China Securities Journal. He calls for expanded use of SDRs, says the gold standard failed already and Bitcoins can act as an show the desire for an anchor for a new monetary system because they are mathematically limited. Bitcoins is in quotes so he may be referencing crypto-currency generally, or specifically Bitcoin. He doesn't call for adding Bitcoin into the SDR basket.

Here is the Bitcoin passage:

    In multivariate sovereign monetary system, it is necessary for the international currency issuing country's currency to be properly bound to create an enabling management of global liquidity "anchor." However, faced with the dilemma, on the one hand, return to the "gold standard" is not feasible, the collapse of the Bretton Woods system has proved this point; the other hand, human society so far, in addition to gold and other precious metals can not find sufficient available outside the letter "anchor." In the international financial crisis, "Bitcoin" In the generation algorithm, it has been restricted in mathematics bitcoin within the next 100 years the largest stock of money is 21 million, thus forming the "anchor" recently popular. "Bitcoin" can prove to the international monetary States "anchor" desire. The current international monetary system problems inherent in addition to the "Triffin Dilemma", but its core defect is not credible "anchor." Keynes' global central bank plan "and Lin (2012) proposed the" paper gold "is still relatively far away.

nice.

man, was that hard to read.

2) Using baseline SDR growth target as "anchor"

In a multi-sovereign-currency-system, it's necessary to have certain restraint on the currency issuance of the nation who issue international currency(s), this is to establish an "anchor" for manageable global liquidity.

However, this represents a dilemma. On one hand, going back to Gold Standard is not practical, the collapse of Brenton Woods  systems proved it; on the other hand, up until now, human societies have yet found a credible "anchor" outside precious metals.

After the global financial crisis, Bitcoin in its creation algorithm established the upper limit of 21 million in the next 100 years, thus created an "anchor", and becoming popular recently. Bitcoin can prove the desire for "anchor" by nations globally.

Besides Triffin Dilemma, among internal problems of current global financial system the core defect is it doesn't have a credible "anchor". Keyne's "Global Central Bank" and Lin Yifu's (2012) "Paper Gold" plans are still seen as remote.

2) Using baseline SDR growth target as "anchor"

In a multi-sovereign-currency-system, it's necessary to have certain restraint on the currency issuance of the nation who issue international currency(s), this is to establish an "anchor" for manageable global liquidity.

However, this represents a dilemma. On one hand, going back to Gold Standard is not practical, the collapse of Brenton Woods  systems proved it; on the other hand, up until now, human societies have yet found a credible "anchor" outside precious metals.

After the global financial crisis, Bitcoin in its creation algorithm established the upper limit of 21 million in the next 100 years, thus created an "anchor", and becoming popular recently. Bitcoin can prove the desire for "anchor" by nations globally.

Besides Triffin Dilemma, among internal problems of current global financial system the core defect is it doesn't have a credible "anchor". Keyne's "Global Central Bank" and Lin Yifu's (2012) "Paper Gold" plans are still seen as remote.

So first state media endorses it, and then central bank proposes it as a new global currency? I no longer have doubts that China will be the first to adopt Bitcoin on a wide scale.