Sunday, June 5, 2011

Private Forms of Currency: The Bitcoin

One of the hallmarks of the future will be currency uncertainty. Whether that takes the form of inflation, deflation, devaluation, revaluation or a combination of these is unclear.

However, people are experimenting with new forms of currency (and they aren't state issued/fiat).

Take the example of Bitcoin
.This is an e-commerce currency that is privately created and supposedly designed to guard against the shenanigans that befall fiat currency (inflation, etc...).

As this article points out, freeware Linux was thought to be unworkable as well.

1 comment:

Anonymous said...

Sounds complicated, but a great idea if it works: "We propose a solution to the double-spending problem using a peer-to-peer network. The network timestamps transactions by hashing them into an ongoing chain of hash-based proof-of- work, forming a record that cannot be changed without redoing the proof-of-work. The longest chain not only serves as proof of the sequence of events witnessed, but proof that it came from the largest pool of CPU power." -Guy