Quote from: HardForkComing on November 23, 2015, 08:43:17 AM

Quote from: tokeweed on November 23, 2015, 08:39:18 AM

Quote from: Huobi-USD on November 23, 2015, 08:29:53 AM

it's a reality that Blockchain is changing the way we interact with each other, nevertheless being more specify, what do you think are going to be the changes to the economic system with the blockchain emergence in a short term?

I can see a blockchain used by banks to issue currencies not needing a central bank. I guess we'll see what Hayek meant when he said that banks themselves should be free without government intervention.

You got it wrong. Banks are the ones who run the governments. The banks are the ones who caused 2008 crisis.

The banks and the state are in alliance. The terms are that both state and bank assets will be propped up by state power, one way or another, so both bankers and politicians can receive "free" power and wealth by issuing those assets (politicians by issuing public debt.) The state provides power, and the banks provide financial innovation. (Historically, the bank "deposit" was one of the classic innovations.) The central bank holds the alliance together by having power to make sure neither side endangers the alliance by issuing too many assets.

The victims of this alliance are everyone else.

Hayek's "totally free banking" is an idealized system where the state does absolutely nothing to prop up the value of bank assets. Taking away public support for banks removes a crucial pillar from the state-bank alliance, so, at least in Hayek's theory, the theft at the core of our society will disappear. (I use the words "idealized" and "theory" to indicate my belief that, absent a public awakening to this theft, systems like this will probably never be realized, or realized enough.)