Posts

Is crypto fixing the error with money?

avatar of @behiver
25
@behiver
·
·
0 views
·
2 min read

Financial crises are dooming the entire world periodically so it is normal for analysts to think there is something wrong with money and the traditional systems of managing them. And we see powerful opinions on this and one is offered by Elon Musk himself.

I think the cryptocurrency thing is an interesting approach to reducing the error in the database that is called money. The government effectively has editing privileges on the money database and they use those editing privileges to make more money whenever they want. This increases the error in the database that is money.

What I understand from his statement is that the current financial monetary system can be easily and likely abused by governments due to their centralized rights and freedom of doing so, while decentralized systems with a cryptographic component simply enforce that doesn't happen. Or at least it tries to. After all, I believe it is that you either trust the code or you trust your government of doing the right thing, but history has proven over and over that the last option cannot serve the people and be objective.

With the current dump on crypto, we still see that money has a real effect on the cryptocurrencies value as at the moment one cannot live without the other. But I foresee that this will change in the future and the money effect on crypto will have a lower effect as one will replace the other. Humanity started to trust the decentralized systems more than the people governing them. We are on a clear path to moving from a traditional and centralized monetary system to one decentralized and where people cannot act individually and affect others without transparency and a clear voting (DAO) system in place. For me, crypto is the real currency and money simply is a reference to it which will become obsolete at some point in one form or the other.

Posted Using LeoFinance Beta