Re:Ethereum Proof of Stake FAQ
by edward_monahan on Sunday August 20, 2017 @12:33AM
(#15056967)
> A better question is -- why are there so many currencies to begin with? Why isn't there a single currency that everybody uses?
Groups of people live in bordered countries and like to have their own currencies for their own countries. There is, it's the United States Dollar. Why everyone uses USD, either directly or as a metric, is outside of the scope of this discussion.
Your argument about communities is where this all falls apart -- as I already stated, at some level you need the threat of violence to enforce the property rights necessary for any kind of personal wealth to flourish. Cryptocurrency doesn't solve this issue, or even approach it. It just creates a new virtual asset, backed by nothing and valued by faith, on top of an established system of community and law.
Groups of people live in bordered countries and like to have their own currencies for their own countries. There is, it's the United States Dollar. Why everyone uses USD, either directly or as a metric, is outside of the scope of this discussion.
Your argument about communities is where this all falls apart -- as I already stated, at some level you need the threat of violence to enforce the property rights necessary for any kind of personal wealth to flourish. Cryptocurrency doesn't solve this issue, or even approach it. It just creates a new virtual asset, backed by nothing and valued by faith, on top of an established system of community and law.