Beyond just cryptocurrencies, digital money has changed how we live

In simple terms, digital money can be defined as a form of currency that uses computer networks to make payments. Breathless media coverage of the future potential of cryptocurrencies such as Bitcoin has made digital money a hot topic.

One of the main differences between digital money and physical currency, such as cash, is that digital money lacks any identifying features that make it unique. If you take a glance at any bank notes you might have sitting in your wallet or purse, you will quickly notice that each note has a serial number — a unique string of letters and numbers that marks the uniqueness of that bill.

But as we know, digital objects, such as songs or images, are easily reproducible infinitely on the internet. What prevents us from reproducing the digital money in our bank accounts so easily?

Most of us have been using digital money all along. It is not the digital nature of cryptocurrencies that differentiate them from digital money, but rather how they ensure the ownership of digital property that mark them as transformational.

The problems of digital money and who owns it are likely to increase in complexity, with far-reaching implications in everyday life. The Counter Currency Laboratory, a new initiative based in the Department of Anthropology at the University of Victoria, was established to explore these questions. Our research there documents the present and future of money, and its effects on how we live.