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Today: crypto is a much superior way of sending money across international borders – cheaper, faster, more “user-friendly” (not for everyone, but definitely for my user persona). More generally, crypto can do most things that a bank can do. It’s not the best at many of those things yet. But it’s evolving much faster than banks do. Here’s Yanis Varoufakis on disintermediation from banks: “ Today, you use digital money (phone apps or plastic cards) to buy a cup of coffee at your local Starbucks. But, to do so, you first need an account with a commercial bank. In other words, to grant you access to digital fiat money, the state forces you to fall into the embrace of the commercial banks. So, today, the state guarantees a monopoly over payments to commercial banks. And that is only one gift to the oligarchy. A second, even greater gift, is that only commercial banks are allowed to have an account with the central bank.” [https://the-crypto-syllabus.com/yanis-varoufakis-on-techno-f...] (He’s very critical of crypto in the rest of the interview - great read.) Even more generally, with smart contracts, the blockchain becomes a platform not only for finance and trade, but also law. Every country has laws written in their own language. Smart contracts are our laws, written in code. So, anything done by authorities which involves record-keeping is a candidate for disruption by the blockchain. The trouble is that many of the best use cases for crypto (land deeds, electric car charging, scientific publishing and citations) are public goods – beneficial for the society as a whole, but not profitable for any individual to build. Once we get over baseball cards and apes, it will be exciting to see public goods flourish on the blockchain. |