A system that allows you to easily regulate the cryptocurrency market and influence it thanks to the classification given by their scalability.
I'm totally missing how you're calculating this scalability in your paper.
Since scalability is the major distinction that affects not only the usability of the cryptocurrency but
also the proof of work related to it, one could foresee:
A Table I for cryptocurrencies with a scalability of more than 2 minutes to be framed at the legislative
level as a safe haven similar to gold and a Table II with cryptocurrencies with a scalability of less than
2 minutes with an applicable legislation typical of classic financial instruments (shares, bonds , etc…).
What is this scalability of under or over two minutes?
it about coins that have blocktimes of over 2 minutes or under two minutes
over two minutes are too long to be useful for 'cash' purchases. so the proposal is to class cryptos that take 2mins+ to confirm as 'commodity' and class coins that confirm in under 2mins as 'cash'
basically bitcoin = digital gold
crap coin= digital cash
what the topic creator does not realise by calling bitcoin a commodity is that he is too foolishly trying to put bitcoin into a classification of a golds UTILITY class and not its INVESTMENT class
bitcoin and gold should be in an investment class of ASSET
commodities are materials used to create other products.
gold sits in 2 categories.
commodity. because it can be used to make jewellery and electronic parts..
asset. because its a medium of value transfer and holding
the topic creator has wrongly chosen to identify bitcoin as having the same utility as wheat/oil/gold. not realising that golds asset classification also exists.
anyway.. all he wants to do is try classifying different coins into different utilities.. even when he seems to not understand the difference between commodity vs asset
hint: edit PDF to say asset not commodity
It is impossible to give a one-to-one classification to a single product... It is much easier to define specific categories and base yourself on the only discriminant that unites all cryptocurrencies: the transaction speed.
For drugs it is the power of the psychotropic effect that classifies them as a "health product" (morphine) or as a drug (cocaine).
If you have a SURE classification system you can push programmers to build specific operating protocols so that a crypto is considered a commodity, money, bond, derivative.
If I want my crypto to be a commodity by law I will program it as Bitcoin. If I want it to be a bond by law I will program it as Ripple.
Yes ... it's only six pages but the Bitcoin white paper has 9 pages.
The blockchain works with the asymmetric signature. A system that has existed long before the whitepaper.
A simple solution to a simple technology is the best thing to have legal certainty and to allow the law to influence information technology and not vice versa.
I'm not saying that the parameters have to be what I say (more than two minutes, less than two minutes, only three tables etc ...) but that relying on a table system is the best way to be sure not to do the end that Ripple risked having with the SEC.
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