[12997] in Cypherpunks
Re: Giving Value to Digital Cash
daemon@ATHENA.MIT.EDU (Eli Brandt)
Wed May 4 02:55:38 1994
To: cypherpunks list <cypherpunks@toad.com>
Date: Tue, 3 May 94 23:52:30 PDT
From: Eli Brandt <ebrandt@jarthur.cs.hmc.edu>
In-Reply-To: <199405040552.AA02485@xtropia>; from "anonymous@extropia.wimsey.com" at May 3, 94 10:52 pm
> Most major economies are using fiat money today, so it is clear that fiat
> money will work. But you could not create a new economy with fiat money.
How would fiat money work without somebody enforcing a fiat? I can't
see many of this crowd of anarchists and fellow-travelers being
willing to do that.
> The money has to start out having real-world value and convertibility.
> After it has been in circulation for a while, it can be "decoupled" from
> outside standards.
I think a "decoupled" currency would go the way of the Thorne, sooner
rather than later.
Eli ebrandt@hmc.edu
