Crypto Central Banks

[sana54210]

Many bitcoin maximalists live in the fantasies of an idealistic theory of bitcoin as a world currency.
But apparently from the lack of education and less understanding of the general structure of the economy, they do not notice how other crypto-currencies become real world digital currencies, and not just means of accumulation and speculation.

Who told you that bitcoin was created to become a currency? It is for transactions still it may not be for your daily life. If bitcoin is for your day to day life then why it was designed by having gold in mind? So, come out of misconceptions before underestimating the level of education and awareness of bitcoin maximalists.

Crypto central banks will work in a way like it may use bitcoin as a reserve and may not use bitcoin as a momentary unit. At the same time this does not mean bitcoin is going to give room for altcoins to be used as a money because bitcoin-lightning kind of new innovation will do that job as may not be recorded into blockchain for every transaction but may hit blockchain once in a day as it may happen in very less value.

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[yhiaali3]

This talk carries a great deal of realism, yes it is true that it is difficult at the present time to adopt Bitcoin as a “united global currency” due to the great problems that the Bitcoin network suffers from in sending transactions, in increasing the size of the block and the large energy consumption in mining, which makes costs high, fees high and delay At the time of sending the transaction, it is not possible to complete a transaction to buy some widgets from the supermarket because this may take several hours and perhaps several days, there are of course many attempts to solve these problems such as the Bitcoin lightning network for example but these attempts are still futile as well.
Despite all this, I am optimistic about the future of Bitcoin and I believe that appropriate solutions will be found in the near future and I still have a strong belief that Bitcoin is the currency of the future.

[AndySt]

This talk carries a great deal of realism, yes it is true that it is difficult at the present time to adopt Bitcoin as a “united global currency” due to the great problems that the Bitcoin network suffers from in sending transactions, in increasing the size of the block and the large energy consumption in mining, which makes costs high, fees high and delay At the time of sending the transaction, it is not possible to complete a transaction to buy some widgets from the supermarket because this may take several hours and perhaps several days, there are of course many attempts to solve these problems such as the Bitcoin lightning network for example but these attempts are still futile as well.
Despite all this, I am optimistic about the future of Bitcoin and I believe that appropriate solutions will be found in the near future and I still have a strong belief that Bitcoin is the currency of the future.

I would not be so optimistic about bitcoin as the currency of the future, because there are many pitfalls that have hindered and will continue to hinder the functioning of bitcoin as a currency. I am benevolent and optimistic about the prospects of bitcoin itself in the future and I hope that nothing threatens this and I hope that the value and market prospects will only grow and improve. It's just that currencies are a rather delicate topic and states are unlikely to allow decentralization and chaos in this topic and will rather come up with their own version of an international centralized cryptocurrency.

[TheGreatPython]

Crypto central banks will work in a way like it may use bitcoin as a reserve and may not use bitcoin as a momentary unit. At the same time this does not mean bitcoin is going to give room for altcoins to be used as a money because bitcoin-lightning kind of new innovation will do that job as may not be recorded into blockchain for every transaction but may hit blockchain once in a day as it may happen in very less value.

Yeah, the reason why there is always an alternative is so that when some people decide they don’t like the real one, they can go for the alternative. But just know that alternatives can hardly be as good as the original. I do know that there are good altcoins, but a lot of them, from what I have noticed are centralized.

Just look at Bitcoin for example, there is no central point that controls it, it is completely decentralized and not being controlled by anyone, but most of these altcoins has a place of control. So that means that they are not fully decentralized, though they might claim to be that.

[jaysabi]

ETH and BNB are, unlike BTC, realy already used to pay for goods and services, and not only for goods and services in DeFi and NFT, but also in the real world.
And this happens due to the presence in them of the monetary policy inherent in the fiat currencies of the real world, which makes them convenient in terms of the speed of operations, commissions, accrued interest on the deposit ...

I'm about the furthest thing to a bitcoin maximalist, but I find it incredibly hard to believe that ETH or BNB have a higher utility for actual commerce in the real world.  In reality, no cryptocurrency is currently particularly useful as a currency because of the volatility that plagues them all, but of those extremely limited use cases where crypto is used for commerce, I have to believe the Bitcoin is the preferred medium of exchange, even though technologically it's far from ideal and there are many better mediums of transfer in the crypto space.

[wxa7115]

ETH and BNB are, unlike BTC, realy already used to pay for goods and services, and not only for goods and services in DeFi and NFT, but also in the real world.
And this happens due to the presence in them of the monetary policy inherent in the fiat currencies of the real world, which makes them convenient in terms of the speed of operations, commissions, accrued interest on the deposit ...

I'm about the furthest thing to a bitcoin maximalist, but I find it incredibly hard to believe that ETH or BNB have a higher utility for actual commerce in the real world.  In reality, no cryptocurrency is currently particularly useful as a currency because of the volatility that plagues them all, but of those extremely limited use cases where crypto is used for commerce, I have to believe the Bitcoin is the preferred medium of exchange, even though technologically it's far from ideal and there are many better mediums of transfer in the crypto space.

That is true, no one is denying that on-chain transactions are not really the best if you want to buy something which requires a fast confirmation, however thanks to El Salvador making bitcoin legal tender and the lightning network we will see how this turns out.

If the experiment is a success and people begin to use bitcoin all over the country as a currency then we could see other countries doing the same and bitcoin finally becoming what satoshi envisioned from the beginning, a currency.

[doomloop]

Well you’re right about altcoins, they have a faster transaction and are also cheaper when compared to what you have to pay for using Bitcoin. But that doesn’t mean that bitcoin is not a good option too. And of course we have all hoped for a solution to the problem that we have with Bitcoin, but none has arrived yet to serve as a final solution to issues like this. Even at that, there are still a lot of people that are making use of bitcoin for transaction, more than there are those who are using altcoins.

I hardly find anyone that is using altcoins for transactions where I am, it’s only Bitcoin that people are using. So that means Bitcoin still has an edge over other cryptocurrencies.

[aerashow]

Thank you all for the comments !
Without entering into a long debate, I will answer in essence.

Unlike many apparently theorists here, I actually pay for real goods / services quite often, just like my friends do it and NOBODY pays for coffee in BTC, but we pay in BNB and based on ETH tokens! Expensive fees and transaction time of 60 minutes does not allow using BTC as a real currency of payments, but a means of savings.

If someone knows which retail outlets in large quantities, and not singly, accept many daily payments in BTC, send a link to their wallet please, to see the massiveness of transactions, please, but I know that no one accepts BTC in large quantities, due to technical inconveniences

And now another good example is that even the relocation of miners from one country, China, has already made 50,000 transactions pending for more than 24 hours! Nobody will wait for payment for real goods / services for more than 24 hours sitting at the checkout!

But my post is not about the inconvenient technical characteristics of BTC for a real currency of mass payments, but about already implementation of monetary policy with real currencies, such as ETH and BNB, by analogy with the monetary policy of the Central Banks of the offline world.

[paxmao]

Dear guy, if you want standard monetary policies and tools that allow standard monetary policies why would you need anything like Ethereum, BNB or any crypto? You already have fiat and ordinary central banks for that. Bitcoin is for people who precisely do not want anything to do with what you call standard monetary policy, because that policy and system is based on inflation, monopoly money, banks that hold an undue influence in the economy and politicians who cannot think beyond their electoral period.

Why would you need to replicate that, it is already there.

Bitcoin is already a global currency and it is perfectly fine sharing the space with traditional fiat. It does not need to be officially recognised, because we ("we the people") have already decided to accept it.

Bitcoin is, as of now, not intended to pay for coffee. Nor are 500 euro bills. However it is perfect for mid-large transactions and carries less fees and is faster than international transfers, but, above all, is not controlled by any third entity in the process.

BNB is a private currency. ETH in inflationary. Please, hold as much as you want and buy as much coffee as you want with it. You have earned it.

[aerashow]

Dear guy, if you want standard monetary policies and tools that allow standard monetary policies why would you need anything like Ethereum, BNB or any crypto? You already have fiat and ordinary central banks for that. Bitcoin is for people who precisely do not want anything to do with what you call standard monetary policy, because that policy and system is based on inflation, monopoly money, banks that hold an undue influence in the economy and politicians who cannot think beyond their electoral period.

Why would you need to replicate that, it is already there.

Bitcoin is already a global currency and it is perfectly fine sharing the space with traditional fiat. It does not need to be officially recognised, because we ("we the people") have already decided to accept it.

Bitcoin is, as of now, not intended to pay for coffee. Nor are 500 euro bills. However it is perfect for mid-large transactions and carries less fees and is faster than international transfers, but, above all, is not controlled by any third entity in the process.

BNB is a private currency. ETH in inflationary. Please, hold as much as you want and buy as much coffee as you want with it. You have earned it.

Thanks for the answer, guy
1. I understand your idealistic views and share in the part that BTC is suitable for large transactions. But the mass economy is made up of billions of small transactions that require real cryptocurrencies with monetary policy and fast, cheap transactions, etc. At the same time, even large buyers are not always ready to wait for their turn in 50,000 transactions, and this is a big risk.
2. DeFi, as a real crypto economy, does not even use BTC (except for the wrapped) and this once again proves that BTC is not a currency, but a prototype of a currency and a store of value, and not daily payments.
3. What exactly are crypto currencies for and their difference from fiat currencies I think it will become clear to you if you study the principle of the blockchain, its openness of the database and the possibility of building DeFi, DEX, NFT and other systems on them.
4. I am not trying to downplay the importance of BTC in the formation and popularization of the crypto economy, but I am trying to look to the future and see the prospects for the currencies of a really massive crypto economy and their monetary policy. The use of such currencies does not contradict the use of BTC in some rare cases of large transactions and extreme libertarians

[wheelz1200]

Hello

My short things aboute Crypto Central Banks

Many bitcoin maximalists live in the fantasies of an idealistic theory of bitcoin as a world currency.
But apparently from the lack of education and less understanding of the general structure of the economy, they do not notice how other crypto-currencies become real world digital currencies, and not just means of accumulation and speculation. And it's not just about the technology of long and expensive BTC transactions, the lack of smart contracts, etc.

ETH and BNB are, unlike BTC, realy already used to pay for goods and services, and not only for goods and services in DeFi and NFT, but also in the real world.
And this happens due to the presence in them of the monetary policy inherent in the fiat currencies of the real world, which makes them convenient in terms of the speed of operations, commissions, accrued interest on the deposit ...

Establishing a Crypto Central Banks in the person of CZ or Vitalik (sometimes taking from account the DAO vote, but sometimes despite the misconceptions of mass miners), the price of the commission for the operation, the block speed (by updating the code in the ETH or, for example, limiting the 21 nodes in BNB), this is a standard function of managing economic processes.

The burning or add printing of coins is also a standard function of managing the money supply, and the % rate for staking is practically the same as the refinancing rate of the classical Central Bank, which stimulates the increase in staking deposits during the period of growth of the % staking rate, or vice when % less is stimulates  investing coins in the "means of production" of other projects, for example, on the Binance Launchpad.

The presence of such basic mechanisms for managing monetary policy as an increase or decrease in the money supply and the refinancing (staking) rate, in conjunction with other less popular mechanisms, in the real TOP currencies of crypto-economy, once again confirms the fallacy of the idealistic theory about Bitcoin as a single world currency (which is practically does not take part in the mechanisms of mass payment for goods / services), and retains the value of Bitcoin only as crypto-gold.

At the same time, thanks to the understanding of classical economic processes by CEO`s the market leaders ETH and BNB, using real monetary technologies, they become real world currencies, confirming that the Blockchain is just a new type of database that changes the world in the same way just like Internet, and is not the sacred graal of libertarians.
And Blockchain will change the world using the classic fiat rules of economics and only partially improving their technological application like new database

@aerashow

Just because you write a lot of things doesn't mean it's worth the 3 seconds you spent developing the thought process behind it.  Bitcoin can be used for tons of transactions.  I don't know where you live but I can't buy nothing with bnb before I would have to transfer it into btc first.  Passing this off as nothing more than a troll post.