The Token Economy

By -
Tokens are the new form of value transfer  without a central structure but rather a decentralized structure. With now more than 200 Tokens being traded on exchanges and more ICOs coming soon its a whole new economy coming to age.


In today's world, Developers can wake up a day, build a business case or problem that can be solved with the power of the block-chain or even without, write a white paper, run a marketing campaign, organize an ICO and then Raise over $30m and exchange about 30m tokens for investors to keep as value for the project being built.


Thats the new magic developers have today, and it has begun creating a new economy both in mind and also at hand. In the near future, we shall have digit wallets that will carry our different tokens for different uses from , Utility tokens to securities tokens and even fun tokens. We shall be paying for parking in tokens, paying for food , Gas , drinks, and so much more including Salaries.

Despite this underlying will be the Dollar(Fiat) value which will maintain the balance for exchanges to open to reach that perfectly tokenized community. This will lead to true carelessness, but not digitization of money, since money value will continued to be stored in the tokens.

Now the new challenge of the Fiat Money is , "How do we maintain value in the era of Crypto-currency and tokens". We shall have a new Forbes list in the future with Crypto Billionaires, but remember the word "Billionaires" will be based on the Dollar value of what ever tokens held by the person. The big question is what happens if the goal of Crypto is to undermine all fiat cash, then we a heading for a crash.


Another issue to think about, since crypto or tokens are developed and released in different quantities, what happens when tokens value surpasses the dollars on planet?? Will the billionaires and millionaires transfer all their wealth to  tokens or risk having worthless billions in Fiat money.

As we saw, the internet change the whole finance landscape, change the social and culture fabric of modern day humanity, the same is coming with the token economy. We are in very early days, its a force we can no longer stop. People have showed so much love for things that give that give them more control, as the internet did and now , the token world.

So what do we do to prepare for this economy?

We need more education on tokens, how to create them, use them, utilize their value and much more.  We need to create compliance startups that help us help us verify transactions with much more scrutiny. We need to place token desks in banks and investment vehicles. We need to open Interpol and local police token divisions to enforce some legal and orderly exchange protocols for tokens in the society.  We need startups to build utility  based tokens to enable a simple transition and rival the legacy companies. Governments need to set up token ministries and secretariats to manager and organize token exchanges. All central banks should start a one to one tokenization of their fiat money at hand and reduce on actual reserve cash deposits.  The list is endless, we can and need to do alot as we welcome this new economy.


There's more about tokens, which we shall be discussing next, looking at smart contracts, ICOs, exchanges as these will be the pillars of the token economy as Governments prepares to distribute power .

ITS A NEW TOKEN ERA, THE FIAT ERA IS IN DARK DAYS BUT WILL ALSO REMAIN THE BENCH MARK, SO LETS PLAN FOR THIS NEW ECONOMY TO BE WINNERS.



Disclaimer, I am Nyesigye Amon(Software engineer), a Block-chain Developer, and very excited about this industry and would live to know what your doing on the block-chain, I will also be willing to consult on the projects or even offer some free help where possible. Shoot me an Email at amonxnye@gmail.com or tweet me at @amon_nyesigye . Can't wait to hear from you.



Comments

Post a Comment

Popular posts from this blog

INTRODUCTION TO MACHINE LEARNING (ML)

By -
Image
credit:www.crowdanalytix.com Machine Learning (ML) has become a buzz word in 2016  and clearly means a lot in today’s technology. Looking at advancements from Google, Microsoft, Facebook, Amazon and other Companies to champion the use of this technology only tells you its importance. The downside is that for new engineers it’s hard to comprehend and those who have tempted to develop it have found it cumbersome. In simple terms, Machine Learning (ML) is a technology that allows the machine to learn how to do certain activities which couldn’t have been done with direct programing of the machine and will always change with future data. In most cases, these activities involve a lot of data, unidentified variables, non-linear repetitive (very dynamic repetitive activity) tasks and others. Let’s get an Example Imagine you had a website showing movies to users on the landing page, so for every user, a new recommendation is made. Programmatically, we can program a sy...
Read more

Future of Payment ..rather Web3

By -
 Today we live in a world connected almost 100% by the internet across cables and the sky. However, how it's utilized differs from society to society and this causes the perception of having a different internet.  However Crypto and Web 3.0 have proved that we share the same internet and thus have a chance to build at the same time a better future for our users on the internet regardless of financial capacity but rather the basic access to the internet.  The future of payments on the web is going to be crypto undoubtedly but how we interface with it will be the difference. Some will use it even without ever knowing, some crazy chains like ETH (etheruem) that have very expensive gas fees will have to redesign their chains to be more useful to allow this seamless use of the chain-like SOL( Solana) has done.  I envision a future where kids' birth certificates will carry crypto wallets attached and keys provided to them fully at a certain age through a smart contract. I ...
Read more

Building on the Blockchain by Nyesigye

By -
Image
Its 2018, the word Block-chain is everywhere and yet few understand how it works or can be able to use or build upon it. Even Google, Facebook are just trying to learn what it is, while Amazon, Microsoft and IBM have tried to make their own use cases , but still require so much to be able to understand it, as for Apple it just seems blank. Block-chain is the underlying technology powering the famous bitcoin , ethereum and other Cryptocurrency . But today am not doing education on what it is, i just want to help a developer just beginning or a business to enable them go from step zero to step one at-least. So Block-chain technology is primarily about immutability , the ability of data to stay for as long as accessible without the ability to delete, thus building the underlying principle of "Trust". For example understand a world, where people can lie or tell the truth, but there's a record on everything thus truth is not 99% but rather 100%. Although this chan...
Read more