Qwedcxza1 (OP)
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April 28, 2013, 10:06:37 PM |
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Ok. I think that not many people have realised what is going to happen.
One day in the not so distant future, somebody in the Bank of England (or USA) is going to notice the bitcoin transactions happening online and in person and they are going to realise something that everybody else seems to be missing.
Crypto currency will work just as well for the pound note or the dollar or for any other cash. Crypto currencies and decentralisation are not mutually dependent! Crypto currencies and inflationary centralised currencies will work just fine. The banks and governments will realise that if they issue digital pound notes and dollars secured by cryptography it will have huge advantages for them and virtually no disadvantages. They won't have to keep manufacturing silly little tokens, cash transactions will be simpler, it will be easier for them to keep track of cash transactions, reduce tax avoidance, makes robberies and counterfeiting difficult or impossible, invalidate stolen cash through the central servers. Also it will be quite simple to implement it transitionally. In fact bitcoin will be quite useful in introducing everybody to the concept. Everybody will be scanning QR codes with their phones and nobody even has to do any maths to work out change.
This will happen! Cash fiat currency will become a crypto currency.
When it does happen the problem of exchanging fiat for deflationary decentralised currencies will not be such a problem. And hopefully we will already have built the solution to centralised exchanges:
A p2p incremental exchange!
I want to exchange my LTC or BTC for digital fiat.
I register and deposit the increment of, say, 1BTC,with the exchange. I put in my bid or offer to exchange my BTC with LTC.
Bids and offers are matched, p2p, and the exchange begins between our multi currency wallets. The exchange happens in increments of 1BTC (or equivalent in LTC).
The exchange happens directly between the client wallet software. 1BTC is transferred one way then the equivalent in LTC is transferred in the other direction. This continues, 1 BTC (or LTC equivalent) at a time, until the exchange is complete. This is automated by the wallet software. If either client stops the transaction the server holds the increment amount to even up the transaction.
The increment value can be raised. Transactions happen client to client and the exchange only has to hold the increment amount.
All that is left is to build open source client and server software. A multi currency wallet with ability for incremental p2p transactions and open source exchange software. When fiat currency becomes a crypto currency it can easily be integrated.
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Elwar
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Viva Ut Vivas
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April 28, 2013, 10:11:17 PM |
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I believe Canada was working on something like this.
This actually benefits Bitcoin because it would make conversion between the two currencies much easier, allowing people to move out of their inflationary government currencies and into Bitcoin.
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First seastead company actually selling sea homes: Ocean Builders https://ocean.builders Of course we accept bitcoin. |
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nobbynobbynoob
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April 28, 2013, 10:34:10 PM |
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I believe Canada was working on something like this.
MintChip. And it doesn't seem too bad - until you realize Bitcoin was galaxies ahead of their case.  |
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Qwedcxza1 (OP)
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April 29, 2013, 12:01:18 AM |
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in the Bank of England (or USA)
...or Canada Ok, sorry, you know what I mean |
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coastermonger
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April 29, 2013, 12:32:51 AM |
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This seems like too huge of a technical leap. I'm not counting on world banks completely switching their fiat systems to a homegrown cryptocurrency anytime soon. Some traditions are just too well engrained. Even Canada's mintchip wouldn't be a total replacement for their fiat, it's meant to be more complementary.
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Bitrated user: Rees.
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Anon136
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April 29, 2013, 12:46:40 AM |
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This seems like too huge of a technical leap. I'm not counting on world banks completely switching their fiat systems to a homegrown cryptocurrency anytime soon. Some traditions are just too well engrained. Even Canada's mintchip wouldn't be a total replacement for their fiat, it's meant to be more complementary.
na he isnt talking about a home grown currency. He is talking about a top down crypto. |
Rep Thread: https://bitcointalk.org/index.php?topic=381041If one can not confer upon another a right which he does not himself first possess, by what means does the state derive the right to engage in behaviors from which the public is prohibited? |
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franky1
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April 29, 2013, 01:10:45 AM |
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1. canadian mintchip never took off, its old 2012 news now.
2. speaking with my bank, after training them about bitcoin. they actually like bitcoin and dont care about it, as the pound coin remains in UK hands. it would be a bit different if i told my bank i was posting UK bank notes in an envelope addressed to a foreign country. but as long as 1 guy in the UK is buying bitcoins and another guy in the UK is selling bitcoins. the pound coin stays in england, it just changes bank accounts. and that is what they love.
3. centralised exchanges have a problem of it only requiring 1500 bitcoins (~£$225,000) to make a bitcoin price drop or rise by over 10% in one shot. which then makes everyone else panic because everyone is looking at the exact same price point.
having 20-100(or more) different locations to view their own price points that are not sheeps of the mtgox price avoids panic periods.
what needs to be made is a new way of judging value. and here is one i propose.
get the number of miners per day and divide that by the amount of bitcoins produced per day.. and call that an average income value per miner.
then use commodity prices and reasonable costs of a daily food/rent/electric/vehicle expenditure to tally against this average income.
this would produce a more stable and fair value of bitcoin
EG imagine the average income was 0.3BTC a day per miner. and the average expenditure per household was $£50 that would value bitcoin at just over £$150.
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I DO NOT TRADE OR ACT AS ESCROW ON THIS FORUM EVER.
Please do your own research & respect what is written here as both opinion & information gleaned from experience. many people replying with insults but no on-topic content substance, automatically are 'facepalmed' and yawned at
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Qwedcxza1 (OP)
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April 29, 2013, 07:27:30 AM |
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This seems like too huge of a technical leap. I'm not counting on world banks completely switching their fiat systems to a homegrown cryptocurrency anytime soon. Some traditions are just too well engrained. Even Canada's mintchip wouldn't be a total replacement for their fiat, it's meant to be more complementary.
na he isnt talking about a home grown currency. He is talking about a top down crypto. Yes, I'm just talking about a digital dollar that is exactly equivalent in value to the physical dollar but is transferred between wallets in the same way as bit coins. It's not a huge technical leap at all. The banks would just start issuing a few digital dollars and people who were used to using bitcoin and other digital currencies would adopt this. It wouldn't mean getting rid of the physical coins. It would be a gradual transition but as soon as the first digital dollars appear the fiat/bitcoin exchange problem wouldn't be a problem. |
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