10. The second significance of Satoshi Nakamoto winning the Nobel Prize
Leave a comment / Author: Zhu Weisha / January 24, 2023
10.1 Satoshi Nakamoto pioneered cryptoeconomics
10.2 Solve financial problems with cryptography and other technologies
10.3 Solve the problem of automatic currency issuance with economic means
10.4 The achievements of cryptoeconomics in the Bitcoin system
10.5 Features of the Bitcoin system that cannot be fully summarized by cryptoeconomics
10.6 He opened Pandora's box
10.2 Solve financial problems with cryptography and other technologies
The following explanation corresponds to the first sentence of the definition of cryptoeconomics: Cryptoeconomics is the use of modern technologies such as cryptography to solve economic problems. The financial problem here refers to currency issuance, especially Bitcoin issuance.
Bitcoin uses cryptographic technology and a distributed consensus method to issue asset-based currencies fairly. All this does not require artificial credit endorsement. Note: Bitcoin is not an air coin but an asset coin. Even in the "air" stage when Bitcoin has no price, mining Bitcoin has costs. Cost is necessary for value conversion. It is a completely wrong perception to say that Bitcoin is a virtual currency. People who have this idea do not understand the difference between the evaluation criteria of asset value and use value. We will introduce this in detail later.
10.2.1 The problem of excessive issuance of legal currency
The issuance method of Bitcoin is a major innovation in the history of currency. The emergence of Bitcoin began to end the viciousness of issuing virtual currency without assets in the electronic age. Although legal currency is not completely virtual, it is also based on very few assets and is mainly issued by credit. The degree of "virtual" currency in different countries is different. The central bank regulates the economy through the legal currency mechanism in order to maintain economic development. Practice has proved that the central bank cannot reasonably regulate the money supply by mathematical means, and all monetary theories cannot guarantee the regulatory effect. All theories generated around the issuance of credit currency are invalid, and almost become the source of all economic crises.
https://chainless.hk/zh-hans/2023/01/24/10-%e4%b8%ad%e6%9c%ac%e8%81%aa%e8%8e%b7%e8%af%ba%e8%b4%9d%e5%b0%94%e5%a5%96%e7%9a%84%e6%84%8f%e4%b9%89 /
Leave a comment / Author: Zhu Weisha / January 24, 2023
10.1 Satoshi Nakamoto pioneered cryptoeconomics
10.2 Solve financial problems with cryptography and other technologies
10.3 Solve the problem of automatic currency issuance with economic means
10.4 The achievements of cryptoeconomics in the Bitcoin system
10.5 Features of the Bitcoin system that cannot be fully summarized by cryptoeconomics
10.6 He opened Pandora's box
10.2 Solve financial problems with cryptography and other technologies
The following explanation corresponds to the first sentence of the definition of cryptoeconomics: Cryptoeconomics is the use of modern technologies such as cryptography to solve economic problems. The financial problem here refers to currency issuance, especially Bitcoin issuance.
Bitcoin uses cryptographic technology and a distributed consensus method to issue asset-based currencies fairly. All this does not require artificial credit endorsement. Note: Bitcoin is not an air coin but an asset coin. Even in the "air" stage when Bitcoin has no price, mining Bitcoin has costs. Cost is necessary for value conversion. It is a completely wrong perception to say that Bitcoin is a virtual currency. People who have this idea do not understand the difference between the evaluation criteria of asset value and use value. We will introduce this in detail later.
10.2.1 The problem of excessive issuance of legal currency
The issuance method of Bitcoin is a major innovation in the history of currency. The emergence of Bitcoin began to end the viciousness of issuing virtual currency without assets in the electronic age. Although legal currency is not completely virtual, it is also based on very few assets and is mainly issued by credit. The degree of "virtual" currency in different countries is different. The central bank regulates the economy through the legal currency mechanism in order to maintain economic development. Practice has proved that the central bank cannot reasonably regulate the money supply by mathematical means, and all monetary theories cannot guarantee the regulatory effect. All theories generated around the issuance of credit currency are invalid, and almost become the source of all economic crises.
https://chainless.hk/zh-hans/2023/01/24/10-%e4%b8%ad%e6%9c%ac%e8%81%aa%e8%8e%b7%e8%af%ba%e8%b4%9d%e5%b0%94%e5%a5%96%e7%9a%84%e6%84%8f%e4%b9%89 /