Cyber Coins Can Replace All Currency Forms

Cyber currency is a form of money that is based on a cybernetic journalling system. Most current forms of currency are no longer based on something like a rare and valuable metal (gold or silver), but the trust that the national economy underlying the currency is solid and reliable. We need to have the confidence that when we exchange money for goods and vice versa, the money will represent a stable standard. This enables a fair exchange process.

In a cyber currency, the trust is established not by a national economy or a reserve of some rare metal, but instead on a journal of transactions that is both public and tamper proof. It is the confidence in the integrity of the journal that provides the trust in a fair exchange. The integrity is supplied by mathematically proven algorithms and a degree of required computation to create journal entries. Coin miners race to reach the solution of the computation and are rewarded for being first with a small amount of the currency. This ensures both that it is difficult to tamper with the process and that the computation result is constantly being confirmed.

This same journalling process can also be used for many other purposes that require public trust, such as: bank statements, sales records, property transactions, medical records, licences and certificates, and more.

As the trust level with cyber currencies increases, it will become possible for all existing currencies to either be replaced by cyber coins or perhaps simply morph into a new cyber form of the legacy currency.

SEE ALSO:
Using Blockchains for More Than Money
Bitcoin Virtual Money

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