Join 79,070 users and earn money for participation

What makes something a good currency?

9 124 boost
Avatar for kilrcola
Written by   21
1 year ago

I was watching a video on how CS:GO ruined skin trading by enabling a 7 day trade hold on skins. This led me up the path of what makes a good currency. Certainly not by enacting a slow process to trade.

What does the above video remind you of with Bitcoin BTC?

Now onto what makes a good currency..

Money has taken on many different types throughout millennia: grains, wheels, rare stones and even livestock.

  • Generally Accepted - Many people must accept the money as a settlement of debt. Without this the currency isn't as liquid. Many places all over the world are starting to accept cryptocurrency such as BCH. Check out map.bitcoin.com to see all the locations near you!

  • Longevity - Its quality or value does not deteriorate over time. This is why we do not tend to use food products as money.

  • Easily Divisible - If you divide the money in half, each half should be worth 50% of the whole. This is why we tend not to use diamonds or artwork as money. BCH is divisible down to the Satoshi which is 1/100,000,000 of a Bitcoin Cash.

  • Stable & Consistent Value - The value needs to not fluctuate substantially over time. Anything that devalues quickly isn't a great currency. You can argue that cryptocurrencies are volatile, which they can be, but they are still better than other worldwide currencies due to Hyperinflation, such as the Venezuelan bolívar. 🇻🇪

  • Easily Transportable - It is easy to move from one place to another. BCH is easily moved wallet to wallet via Electron Cash or any other trusted wallet.

  • Scarcity - It is difficult to acquire. There are only 21,000,000 Bitcoin Cash. Therefore it is artificially capped. Check out local.bitcoin.com to buy from other people and avoid KYC.

  • Easily Recognizable - It needs to be obvious what it is. Look out for [BCH] on your local exchange.

  • Malleability - Recombining smaller bits into a larger bit more practical for use elsewhere again.

This is one of the main reasons why I am a heavy proponent of Bitcoin Cash [BCH] over Bitcoin. No longer is Bitcoin [BTC] useful for fast transactions. It is no better for buying things online than if I were to use my credit card, which is exactly what the current banking system wants from BTC. Sure BTC is secure and permission-less, but that is meaningless unless it is fast also.

My BCH Address: bitcoincash:qqaqf4w696q2tcxscu27wrf830fdma7w7c6qjhhka7

7
$ 0.31
$ 0.10 from @georgedonnelly
$ 0.10 from @tula_s
$ 0.05 from @Cain
+ 2
Avatar for kilrcola
Written by   21
1 year ago
Enjoyed this article?  Earn Bitcoin Cash by sharing it! Explain
...and you will also help the author collect more tips.

Comments

I really prefer bitcoin cash than bitcoin

$ 0.00
1 year ago

Nice good job u havenjust written a nice article about currency

$ 0.00
1 year ago

It is very amazing article. You wrote many informative things in this article. I read this article just now and know many things.

$ 0.00
1 year ago

I think it's liquidity and stability, for using it in everyday life.

I'm quite confident about stablecoins for that point.

$ 0.00
1 year ago

Hey man this is a nice peice of article you have written about currency. It very infornative and knowledgeibls

$ 0.00
1 year ago

It is true I prefer BCH but some people still use Bitcoins. Oh well.

$ 0.00
1 year ago

For me a good currencies? A currency that you could use/spend in everyday life. Like for bread, for example. BCH is a good candidate!

$ 0.00
1 year ago

It is very amazing article. You wrote many informative things in this article. I read this article just now and know many things.

$ 0.00
1 year ago