Quote from: chodpaba on June 25, 2011, 03:25:45 PM

I would say go build it. It could be an interesting experiment.

Only, I think I do understand the criticism posed by AntiVigilante. Which is the criticism of globalized markets in general. Say you could peg hannesnaudecoin to the Dollar, then commodities priced in the Dollar but sold in Jakarta might be placed out of the reach of people there because of some seemingly irrelevant event in U.S. markets. This could be true even for commodities produced in Jakarta. Which, is a rather perverse but common effect of global markets. The strength of having a global currency that is not so 'pegged' is that it can have any value whatever for those you wish to trade in it, and so be as responsive as it needs to be to serve local markets. It is only by virtue of being trained to value things in Dollars that we also try to value Bitcoin in Dollars. Which is something that I think will change over time.

There are also those who think it is a good idea to try and peg Bitcoin to gold, which I suppose is also something you could try and do with hannesnaudecoin, making it a kind of gold certificate effectively. But this is how paper currencies started, which leads inevitably to fractionalization. In other words, the peg does not really hold. It sounds nice in theory, but the theory depends on human psychology which does not really work the way you imagine.

That's only the half of it. But yes that's the thing that throws my bat signal to plaid.

But more importantly Bitcoins can several exchange rates at the same time. Hell we could have it reference 8 currencies at once using octonions (complex numbers to the 8th dimension). We could even use a logarithmic scale. All we would have to do is require that the amount of time a trade would required to process in be based on logarithms.

Not only does Bitcoin avoid the global fixation it dances entirely at the other end of the street. And I for one cannot fathom what value there would be in a currency that doesn't serve everyone as necessary.

AntiVigilante

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