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by humbledrone
4614 days ago
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I don't think the point of central banking is to move away from shiny things stored in vaults. I think the point of central banking is to consolidate macroeconomic power in the central bank, so as to e.g. promote growth of the nominal GDP by maintaining a so-called healthy rate of inflation. And, as I mentioned in a cousin comment, I think the whole definition of backing is just silly. Bitcoin is backed by trust in math and computation, but gold and the USD are backed by trust in people and government respectively. Gold is trusted since it's been in use for thousands of years and is widely used as a store of value. The USD is trusted because the US government has been relatively stable (and powerful) for a while now. |
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