Post
Topic
Board Altcoin Discussion
Re: Monero Economy
by
Johnny Mnemonic
on 19/06/2014, 21:06:49 UTC
Separating transmission and storage creates a friction, an inefficiency and ill-liquidity in conversion, which I expect does more damage in aggregate than any improvements in distribution would be able to offset.  Most of the social value created by a currency is created by liquidity.  Any impairment of liquidity is catastrophic, if only because competing media will not suffer the same impairments, and hence will dominate.

As great as it sounds, a coin that "does it all" will neither be a great store of value nor a great exchange medium. Instead, it will be mediocre at both.