Modern Economical Nonsense — The Money Problem

xuanling11
Coinmonks
Published in
4 min readMay 2, 2022

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Photo by Alexander Popov on Unsplash

There is a problem with your money 💵!

😒 Don’t think so? Hear me out here.

💳 Visa

Credit was introduced in the 1950s.

Everyone thought credit cards would replace money, but they didn’t.

The benefits from credit cards were tremendous.

For users 👤, credit cards take less room, no need to exchange currencies when going abroad, and there is a faster transaction speed and defer payments if you want to.

For authorities 👮, credit cards are traceable and easy to fight for unlawful money activities.

The credit card was cutting-edge technology at the time, but they did not replace cash.

Then a virtual version of the credit card system was introduced: electronic payment system technology.

You can now make payments through a smartphone 📱. That almost makes it accessible to everyone who only owns a smartphone. You do not even need a bank account to pay through your phone.

Cash, on the other hand, makes a transaction anonymous.

Credit cards and cash have co-existed since.

₿ Digital Cash

When you combine a credit card and cash, you get digital cash. Bitcoin is the first effective form of digital cash.

Bitcoin is short for business in the technology of currency on investment, and no one can destroy 😁.

Simply Bitcoin was created against a conflict of interest from the central bank’s monetary system, or an insurance policy in case of the fall of the central bank.

💪 Power of Money

To become money, such replacement has to become very powerful. It has the purchasing power to acquire something, transfer power to dedicate someone, and create power to the reserve of value.

In traditional, a currency of the money is a debt that is a liability asset. For example, when you hold a dollar bill, the central bank owes you that dollar of value.

Bitcoin changes that fundamental idea. When you own a Bitcoin, no one is liable to pay off Bitcoin.

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