I suppose such problems can often be worked around with clever wording and so on. But even then, I believe a "gold standard" or similar thing is far more easy to deal with.
You can still have notes, but notes backed by gold. Anyway, we all know what that leads to of course, you get bankers with vaults, and eventually fiat as logical next step.
It is easy to simply put on the note "backed by 1gram 24k gold" or whatever.
Perhaps you remember the days of "personal cheques" ?
In these days you become "self-banker with a vaults"
I remember seeing it as a kid, and even then wondering how one can trust someone writing such a cheque. This is the case whether I say "1gram 24k gold" or not.
The free market is quite capable of revealing who to trust
and who to relegate to sweeping streets and collecting rubbish.
Eventually, credible groups will gain market share. Deja Vu
Then these groups will get power, all power corrupts, they will find ways to appear credible, while getting more and more sneaky. Then they invent something called "banks". Deja vu.
Grimm's tales and other ancient histories bear a reflection of what we see today.
The old tales and myths are coming to life with the admonitions of yore.
Words carry heavy forces.
Bad moments loom darkly for anyone using the word "bank", "loan", "interest", etc.
"I will make a bank for your deposits" may be enough to get someone crucified.
for a decade or more.
Many of us recognize the tales of vampires, demons, and exorcisms
were 'best effort' to pass forward knowledge about
unspeakably horrific entities that prey upon gullible populations
I guess my conclusion is that your model, even if amended over time and so on, I do not see that it is proven to work properly. And atm, govt money probably works best short term.
I agree, the model is not yet proven.
I am seeking a community to test it in.
Govt money will vanish when that moment comes.
There will be little warning and no time to prepare.
I suppose the system is meant only for small communities? Otherwise, most of the most important problems will likely mostly come in bigger communities (which will remain untested?).
The free market shall decide that, not me.
My goal was: find a way for a community to instantaneously create paper currency with no more than what people could promise.
Slowly, step by step they are likely going to fleece us all, but short term, their system is far more practical.
Their system increasingly looks like it will disappear in a big bang event.
I thought it would dwindle away but in Singapore cash is already gone.
Hm, the tide seems to go toward only electronic payment. Not "no way to pay". The masses I think will largely accept this, whether called CBDC or not. Are you sure enough people
Decades of work propping up technological failures for psychopaths who never learn has given insight into this new world order plan. Sudden outages and mischief will occur, regionally.
When they do there will be serious longings for good old cash,
which only mom&pop shops will be willing to trade.
The trouble at that point is there will be no cash to trade.
I had not thought of that. I suppose if abuse of CBDC gets sufficiently obvious people will indeed seek a way out.
will want your alternative to that system? I am aware of problems with electronic payments, but I use them almost exclusively. Most others seem totally uninterested in their problems.
