One of the most common questions I get lately is this:
“What if the government was to come up with their own blockchain-based digital currency?”
And my answer - much to the surprise of most - is usually something like this:
“I don’t think that’s ever going to happen, but if it did, here’s what you should do: Find a comfortable chair, lean back, pop a cold one, and enjoy the show!”.
I mean, can you imagine politicians from all people, having their irresponsible spending and their dubious finances getting recorded and immortalized in an open-source ledger?
What are they gonna do without that secretive clock that is sheilding all sorts of conniving schemes from getting out to the public?
Their word wouldn’t be enough. Their oath wouldn’t be enough. Because at the end of the day...
The Pentagon or whatever governmental agency can no longer come out and say: “Oh we don’t remember where we misplaced that 1.3 Trillions dollars…”
They could try and claim they lost the paper (again)... But the blockchain never forgets.
How do you think that would made them feel to lose that ability to constantly and mysteriously mis-place the very funds they are sworn to protect.
And more importantly, how long until such a currency would become universally known as: Corruption Coin.
Can you see the stress that such thing would put on politicians? Removing them from the very thing they seek the most? The one thing they are universally known for?
Hijacking the treasury on a routine basis while pointing the finger at other people?
Might as well put them on a lie-detector too, while you at it.
So no, I don’t think they’re foolish enough to compete in creating a digital currency on the blockchain.
This would be the exact anti-thesis of how they operate.
Just think to what happens to all the back-room deals, all the lobbying, all the mismanagement of funds and human resources… All of that is going to be public domain.
You see, this isn’t pointing at the emperor from a distance and remarking his lack of clothes…
This is walking him down the street, around the crowd, butt naked… All while having a big woman ringing the bell and shouting: Shame, shame, shame!
But let’s say for the sake of argument that they are foolish enough to compete with the rest of crypto-currencies and create some type of “Fed-coin” - or whatever they decide to call it - on the blockchain.
Let’s say they do it, then what would that mean? (Aside from it’s time to get the popcorn).
Jokes aside, the very first thing such a move from the Gov’t would do, is to immediately legitimize the rest of crypto-currencies.
All that built-in dogmatism, all that selective outrage, all those dog-whistle words would very quickly become ineffective.
The last shield protecting their monopoly would vanish, and for the first time they would lose the only advantage they have which would force them to compete.
And you know what happens historically when government services lose their enforced monopolies and have to prove their competence? They vanish.
Why? Because quite simply they cannot run businesses, they cannot generate profits, they never did. They are not qualified for these things.
They never were.
If they knew how to make money on their own, don’t you think they would’ve done it themselves?
Instead they get a job at the government, they keep raising people’s taxes, they keep raising the retirement age until after you die, and then when all fails… They get together in a room and script some new taxes out of thin air.
They don’t know how to build companies, or run business or create job openings… And everything they touch goes to crap.
Ironically, they’re always just tell others what to do.
Even their audience loath them.
Go around the globe and start asking people what they think of their rulers, their politicians and see what happens.
“Liars, corrupt, untrustworthy...” That’s all you’re going to hear.
Everyone has these gene-deep certainty that their politicians will unquestionably fail them. Maybe ten thousands years of bad experience have unconsciously taught us something.
Now, give people a choice and see what happens?
They want to create a digital currency on the blockchain?
Please, by all means. I cannot wait to see it!
How long do you think before they burn it to the ground with their usual incompetence?
How long do you think before they starting raising the fees dramatically to justify some bullshit story they previously made up.
And more importantly:
How long do you think it would take people to realize that just how fast their new currency is sinking and jump to a safer boat?
What will happen? Nobody knows, but I for one, I'm interested to watch a Game of Coins.
