Re: (X:x)e$ 's other use

[Rich Graves <llurch@networking.stanford.edu>]

Digital cash, if people can be convinced to trust it, will be a wonderful 
thing because of its security, convenience, and anonymity features. I'm 
sorry, but I just don't buy this "corrupt currency" schtick.

On Fri, 22 Mar 1996, Gary Lee Jeffers wrote:

>    I believe that secret e$'s other use has been overlooked: That is,
> e$ would be a sound money replacement for the corrupt currency that
> every large state in the world currently pushes. Especially if e$
> can be redeemed in something of real value on demand.

But it can't.

Please define "something of real value." Please explain why it will 
always represent the same value to all people, and why it makes sense to 
pin your money to it rather than letting it float.

Money is a convenient fiction that makes civilization work reasonably well
most of the time. The value of money is always set by fiat and social
consensus. People who reminisce about "the gold standard" are talking
ahistorical nonsense. "The gold standard" was fiat money too. The price
and transportation of gold was controlled by governments. The move away
from "the gold standard" was a recognition of this fact, nothing more.

>    Note that the book DREAMS COME DUE made the distinction between money
> and currency. The author used the word money for real money and the word
> currency for false money. It may be the author's private distinction.

With all due respect, I think he should have kept it private.

-rich