License to print money... BitCoin?

March 18th, 2015 at 8:44:58 PM permalink
Pacomartin
Member since: Oct 24, 2012
Threads: 1068
Posts: 12569
Quote: Fleastiff
Bitcoin, victim of volatility and security lapses, re-establishes itself by finally getting a Central Bank.


Well, the technology behind bitcoin is getting more use. For some people bitcoin was the ability to move large amounts of money clandestinely and to anywhere in the world (or conversely the ability to cash in at different places around the world clandestinely).

To other people it was shelter from arbitrary decisions made by central banks. But in it's place was an extremely volatile marketplace.

To a third group the volatility was the draw. It was like gambling.


The first two groups of people are being catered to in the future.


Ecuador craves the stability of the US dollar, which it has unilaterally been using for 15 years, but the purchase and distribution of the banknotes costs the government a fortune. It would much rather back up a digital currency with US treasury notes, but instead of banknotes, it wants it's people to tap smart phones together. While theoretically they could distribute more Ecuadorian digital dollars than it has treasury notes, I don't think that is their goal.


Cayman islands dollars are fixed at KYD$1=US$1.20 unlike Bahamian dollars which are fixed at parity, I assume that Cayman islands uses the odd exchange rate so that the local dollars are not entirely replaced by US dollars. But they are a very small wealthy island, and I suspect that they see no need to go to a digital currency.
March 26th, 2015 at 3:16:01 AM permalink
Fleastiff
Member since: Oct 27, 2012
Threads: 62
Posts: 7831
UK declares broad public policy of allowing unrestricted Bit Coin startups in the hope that a well regulated, opt-in society will develop.
March 26th, 2015 at 8:11:03 AM permalink
petroglyph
Member since: Aug 3, 2014
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http://www.britannica.com/EBchecked/topic/245850/Greshams-law

Gresham's Law of economics, bad money drives out good
The last official act of any government is to loot the treasury. GW
March 26th, 2015 at 10:24:13 AM permalink
Fleastiff
Member since: Oct 27, 2012
Threads: 62
Posts: 7831
Quote: petroglyph
http://www.britannica.com/EBchecked/topic/245850/Greshams-law
Gresham's Law of economics, bad money drives out good

An Economist: a person so devoid of reason and common sense that he thinks there is such a thing as "bad money" or that a consumer with a dollar in his hand is thinking about the next dollar.
Think of The Alabama Song from the Rise and Fall of the City of Mahoggony. The opera is often presented in German, Spanish, Portugese, Hebrew, but the Alabama Song is always song in English as young ladies in the audience stand and undo a few buttons and hike skirts.

https://www.youtube.com/watch?v=dIlmRIncwIg


Tech Dirt: https://www.techdirt.com/articles/20150323/06185230403/uk-positioning-itself-as-bitcoins-best-friend.shtml
March 26th, 2015 at 12:18:24 PM permalink
Pacomartin
Member since: Oct 24, 2012
Threads: 1068
Posts: 12569
Quote: Fleastiff
Think of The Alabama Song from the Rise and Fall of the City of Mahoggony.


I haven't thought about that Opera for years. We heard the 1979 performance at the Metropolitan Opera on simulcast (a technique popular in the mid 1970's and early 1980's when television had no stereo capability). The aging Lotte Lenya (who was in her 80's) passed the baton to Teresa Stratas as the interpreter of her deceased husband, Kurt Weill's work.



I remember at the time how ironic it was too watch the women in furs arriving at the Met to watch such a scathing satire about the evils of capitalism.
March 27th, 2015 at 12:45:34 PM permalink
petroglyph
Member since: Aug 3, 2014
Threads: 25
Posts: 6227
No fiat currency has ever lasted as long as the US $.



http://www.economicreason.com/usdollarcollapse/world-reserve-currencies-what-happened-during-previous-periods-of-transition/
The last official act of any government is to loot the treasury. GW
March 27th, 2015 at 7:02:45 PM permalink
petroglyph
Member since: Aug 3, 2014
Threads: 25
Posts: 6227
Yellen says cash is not a store of value:

http://www.zerohedge.com/news/2015-03-27/santelli-stunned-janet-yellen-admits-cash-not-store-value?page=1
The last official act of any government is to loot the treasury. GW
March 27th, 2015 at 9:07:36 PM permalink
Pacomartin
Member since: Oct 24, 2012
Threads: 1068
Posts: 12569
Quote: petroglyph
Yellen says cash is not a store of value:


Well she said it is "not a very convenient store of value", but given negative interest rates it is valuable.
March 29th, 2015 at 3:26:32 AM permalink
Pacomartin
Member since: Oct 24, 2012
Threads: 1068
Posts: 12569
Welcome to Sweden - the most cash-free society on the planet

As I said earlier, the Swedes are the only country to be reducing their cash supply, primarily by reducing the number of 1000 krona=US$116 banknotes. But Swedes are releasing a new series of banknotes this year, and introducing the 200 krona banknote. The 1000 krona banknote is not being eliminated. There is no word if they are going to reduce the total currency amount of 8.8€ billions




The Better than Cash alliance is being funded by Bill and Melinda Gates, along with more obvious sponsors like Visa, MasterCard and CitiBank.
March 29th, 2015 at 10:53:28 AM permalink
petroglyph
Member since: Aug 3, 2014
Threads: 25
Posts: 6227
http://news.yahoo.com/beijing-says-denmark-applies-join-china-backed-aiib-070428757--sector.html

Rats leaving a sinking ship.
The last official act of any government is to loot the treasury. GW