Praise the Steem!
Much praise. Very wow. Not to put Steem on the pedestal, but it may work out.
I see cryptoeconomic state machines as superconductors to channel our human Will into Value. The reason why I never used the word "currency" when referring to crypto earlier is to lead to a point that I want to make.
There's a reason why fiat money is called currency as well. Do you know why? I'll put it in electrical terms:-
Current (I) = Root of (Power (P) / Resistance(R))
*probably not why but anyway -
You can view Power(P) as the human Will. The value is unknowa-changable. We are infinite beings in our Imagination but finite in Morale. So that leaves us with Resistance(R) being in charge of Current(I). Currency is quite like Resistance. Money, or the fiat that we're used to is indeed Resistance.
Fiatcurrency is Resistance in so many forms:-
- Extremely finite compared to the 100% future-guaranteed renewable energy technologies that power the blockchains. If fiat is backed by gold, it's limited. If it's not backed by anything, then we are dealing with market Confidence. Confidence is extremely finite too.
- Administrating transfers without the blockchain is dealing with plenty of Resistance in central banks, and all the layers of middlemen that adds fat to the Resistance.
- Values related to fiatcurrencies are stuck in huge silos. Countries may be too large to command only one fiatcurrency for all. Different subcultures, different values. One fiat to rule them all introduces plenty of Resistance. Just like you can't expect an XL sized shirt fit an L sized dude. Expect plenty of Resistance.
Cryptocurrencies aren't the 100% infinite kind of deal as well, but it's pretty close. It will become more superconductive as time goes on as Resistance goes down. Self-organization by decentralization. Until then, enjoy the ride.. Steemit may prove to augment the social aspects of cryptocurrencies in general. Writing in here improves the valuation of my stakes in other cryptos as well.. all good.
Praise the Steem!
----kevinwong/[email protected]