WHAT ARE THE 5 PILLARS OF OPEN BLOCKCHAIN, OR CRYPTOCURRENCY?
1. Open -
Anyone can develop or fork the code.
2. Borderless - No national boundaries. Global.
3. Neutral -
Does not favor any one individual or entity over another. Does not allow power or control to centralize.
4. Censorship Resistance -
Transactions cannot be censored.
5. Public -
- Not private applications to be used by corporations, government, or military. Open applications that anyone can use without permission.
These pillars may seem unrealistic to apply to money and applications. But, we already have a working example: the internet. It may have started out as a military application but once it was released to the public and anyone could build on the internet, you see the result we have today.
Why are cryptocurrencies important? They will provide a global money that is open and free to use without permission or censorship. It will allow for an equal playing field of access to financial services that the majority of the world does not have access to.
With the current global economic climate, we will see failure of central and local banks, as well as national currencies such as the dollar, euro, peso, yuan, ruble. Any government issues currency can be and is being inflated.
Inflation
Inflating the money supply is theft. It steals the purchasing power of the currency when you create more currency. This is why prices of goods and services always rise. This also creates a problem with wages. No matter how much any employee raises your wages and earnings, it will never out-pace the new supply of currency created. As long as the governments and central banks have the power to create new money out of thin air to service their debt and spending, the average citizen will pay the ultimate price of inflation. You have more currency chasing the same amount of goods or services created, thus the prices will always rise.
What can be used to fight the results of inflation?
The answer is hard money.
WHAT IS HARD MONEY?
Functions
- Medium of Exchange - Widely accepted method of payment.
- Unit of Account - Ability to measure value over time.
- Store of Value - Retains value over time.
Characteristics
- Durability - Difficult to Destroy.
- Portability - Easy Ability to Transport.
- Divisibility - Ability to Break Value Into Smaller Units.
- Fungibility - Uniform. No Preference.
- Scarcity - Limited Supply.
Previous Hard Money
Gold and Silver have universally met the requirements of hard money. This is why it was commonly used as money throughout history. Eventually it was deemed easier to back paper currency with the precious metals to make the value more portable. However that began the cycle of fractional reserve banking, which the bank can create more currency than the value of gold they store. Eventually most nations disconnected from the gold backing entirely and the currency became pure fiat. The only value of fiat is the promised backing of the government and their military power to enforce its acceptance. The US dollar is the dominant world reserve currency and many nations currencies have value by their backing of the US Dollar. This has led to the global chaos we see in the financial world today, backed by geo-political turmoil and even military involvement.
Bitcoin solves many of the issues that gold can not. Gold and precious metals will always store value and be used as a physical money. However, just as bitcoin can never be physical, gold can never be digital. We live in a digital world, with cross border and global payments. The internet has created a global economy, and now it has created a global currency.
But, bitcoin is not the only cryptocurrency fighting to be the currency of the internet. There are many other options that are competing for the right to be money. There are also many other cryptocurrencies that have use cases besides money. The utility of their token is for use in applications and financial services. We will introduce you to this world of decentralized money and applications and give you the necessary tools to be part of this ecosystem.
You are witnessing the single greatest invention to man-kind since the creation of the internet. You are going to participate in the internet of money. The internet of applications.
Just like we had to learn to use the internet, we must learn this new world of finance. It will expand as rapidly as the internet. And, just like the early adopters of the internet had an advantage and reward, you too can reap the benefits of learning, using, and investing in the blockchain and crypto-currency space.
However, like with any new technology, there are dangers and risk. This does not undermine the value of cryptocurrency. It’s just part of the growth cycle. When learning any new technology, anyone is capable of making an honest mistake that can cost them. Anyone can also be susceptible to falling victim to scammers and bad actors in the space that prey on new users and try to take advantage of their low level of knowledge, only to trick, deceive, rob, and steal from them.
Our goal is to guide you through this new world. To give you the knowledge and tools to make wise choices and benefit from the growth of this space. It’s an exciting time to be alive. This changed everything, but most people just don’t know it yet.
I challenge you to do more than just invest. It’s not just about investing pesos to win more pesos. Pesos are a dying tool. Now you will learn a new skill set to use the new tools that will benefits every citizen globally, both financially and with the ultimate freedom to participate in an open market without permission.
In colaboration with @hive.consultant
cool🤓
Siiiiiii!
Great job Omer!
Thanks mate , team work!
thas so nice :)
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