Sequence of digital currency generation

1. The digital development of money is an inevitable trend in the use of money, and it is also the internal demand of money when performing its monetary function

2. The digital development of money is an inevitable trend in the use of money, and it is also the internal demand of money in the performance of monetary functions.

3. The emergence of digital currency was born under the expectation of pursuing a more perfect social and economic transaction mode and Global trade facilitation. It was discovered in the process of using science and technology to graally explore this need. The history of digital currency should start with the creation of bitcoin
the creation of digital currency
the origin of digital currency can be traced back to the 1990s, and electronic gold is one of the best forms. E-gold came out in 1999. It is based on real precious metals. Another consistent digital currency service is LR. Founded in 2006, it is an online payment company in Central America. It allows users to convert U.S. dollars or euros into LR, and only 1% of the transaction cost can be exchanged freely. This kind of two-way service is used by some people to launder money, so it is inevitably shut down by the U.S. government under the charge of money laundering
then, a person named Nakamoto published an article called "bitcoin: a peer-to-peer e-cash system" in the cryptography forum, which gave birth to bitcoin. Compared with legal currency, bitcoin does not have a centralized discoverer, but is generated by the calculation of network nodes, and is composed of a series of complex codes generated by computers. Anyone can dig, buy and sell bitcoin, and it is an anonymous transaction and cannot be tampered with. As a result, it is surrounded by geeks of popular technology, pursuers of complete liberalism and speculators
digital currency can be divided into open mining cryptocurrency and issuing cryptocurrency. Digital currency is defined as an Internet-based currency or exchange medium, which is different from physical currency. Digital currency can realize instantaneous transaction and ownership transfer without borders
for reference.

4. Digital currency is a relatively large concept. However, what we usually say about digital currency generally refers to the encrypted digital currencies such as bitcoin, Ruitai coin and Laite coin
there is no essential difference between virtual currency and digital currency, but it is only called differently. Digital currency is generally called high-end, and professionals generally call it digital currency. Virtual currency is the most popular term, which is generally used by those who don't know much about it.

5. The core value of CBDC can be summarized as four points: first, the original purpose is to let the central bank better manage money creation and supply, enhance the effectiveness of monetary policy transmission mechanism and better deal with the business cycle. Second, the construction of payment and clearing infrastructure based on blockchain related technologies can rece costs and increase efficiency. Digital currency can greatly rece the cost of currency issuance, circulation, use and other links, and realize banknote free transactions, which is also in line with the current trend of rapid development of electronic payment. Third, it has given the central bank stronger control over the monetary system, such as KFC, anti money laundering, anti-terrorism financing, and some targeted policies. Before the launch of Libra, the central bank attached importance to CBDC mainly for the above three purposes. But now, the significance of CBDC in promoting the internationalization of RMB has become more important than ever. This is the fourth purpose of the central bank. Judging from the current progress of RMB internationalization, there are indeed many difficulties. One is the US led encirclement and interception, and the other is the turbulence in the stock and exchange markets. In order to break the encirclement led by the United States, realize the normal development of the stock exchange market and the foreign exchange market, and realize the internationalization of RMB, it is really a good way for the central bank to issue digital currency. On the 10th anniversary of RMB internationalization, RMB internationalization has made remarkable achievements. 13 international financial institutions around the world began to pay attention to China's bond market. In the tide of interest rate rection in developed countries, negative interest rate has become a conventional means, and China's bonds are very competitive in the world. As of the second quarter of 2019, 38 countries have signed currency swap agreements with China, with a total amount of 3.67 trillion yuan. The one belt, one road, which one belt, one road to push forward, is continuously creating demand for RMB internationalization, and the export of RMB has become an important means of "one belt and one road" internationalization of RMB. In addition, RMB is one of the most active currencies in the global foreign exchange market, and London has surpassed Hong Kong as the world's largest offshore RMB foreign exchange trading center. With the steady development of China's economy, RMB assets will continue to be favored by all countries in the world< One belt, one road or other friendly country, was also shared by the Central Bank of China when it issued the CBDC. It shared some of the mint rights with br />
CBDC. How to participate? Including the following two cases, let's take Kazakhstan as an example. The first is that Kazakhstan can issue RMB denominated Kazakh government bonds. The issuer is Kazakhstan, but the RMB denominated bonds are sovereign bonds for Kazakhstan, which can also be sold to the Central Bank of China in exchange for CBDC. The second is that Kazakhstan issues treasury bonds denominated in its own currency, which are issued by Kazakhstan and priced in its own currency. This method is the easiest for Kazakhstan, because this is their own national debt, which is sold to the Central Bank of China, which gives it CBDC. The similarities between the two lie in that they both sell treasury bonds to the Central Bank of China, but the issuers of treasury bonds are not the same, and the pricing currencies of treasury bonds are not the same, so the requirements for Kazakhstan are not the same. In theory, these ways can be used as a political tool to influence and regulate the relationship between the Chinese government and Kazakhstan<

4 digital currency will become the biggest magic weapon of RMB internationalization

China is now facing the biggest challenge, in terms of currency, in fact, the internationalization of RMB. The monetary settlement system based on US dollar has brought great problems to the decision-makers outside the US dollar. The best way to rece the status of US dollar is to replace us dollar with a global digital currency to end the dominant advantage of US dollar. The Chinese version of CBDC is likely to become the biggest magic weapon to promote the internationalization of RMB and end the hegemony of US dollar. The opportunity for RMB internationalization lies in the trend of de dollarization. Therefore, we need friendly countries other than US dollars to participate in China's digital currency. Taking the lead in the use of digital currency in block trading and financial settlement to bypass the restrictions on trading in US dollar will certainly realize the development of de dollarization and form a new currency trading system dominated by China and participated by many parties. So how to achieve it? In essence, it is to transfer benefits, so that non dollarized friendly countries can participate in the issuance process of CBDC, and even share the seigniorage of RMB. It is the most effective magic weapon to embody the spirit of democratization and benefit sharing of blockchain and bitcoin in the design of sovereign currency, which is also the most practical way to realize the internationalization of RMB.

6.

The minimum penalty for the crime of organizing and leading pyramid selling activities is criminal detention, and the maximum penalty is fixed-term imprisonment of more than five years. Generally, fixed-term imprisonment is not more than 20 years

Article 224-1 of the criminal law:

in the name of marketing goods, providing services and other business activities, organizations and leaders require participants to pay fees or purchase goods and services to obtain the qualification to join, and form a hierarchy according to a certain order, and directly or indirectly use the number of development personnel as the basis for remuneration or rebate, so as to lure and encourage the development of enterprises Those who force participants to continue to develop pyramid selling activities that others participate in, defraud property and disrupt economic and social order shall be sentenced to fixed-term imprisonment of not more than five years or criminal detention and shall also be fined; If the circumstances are serious, he shall be sentenced to fixed-term imprisonment of not less than five years and shall also be fined

MLM in criminal law is different from direct selling. MLM in criminal law is a kind of criminal behavior, and the starting point of criminal behavior is low, which can more severely crack down on criminal behavior and prevent the occurrence of criminal behavior. And legal direct marketing is not MLM, so it will not be punished

Further information:

MLM originated in the United States in the late stage of World War II, took shape in Japan after World War II, and developed in China

In foreign countries, MLM and direct marketing have the same meaning, that is to say, there is only the concept of MLM in foreign countries. The main concept of foreign MLM is to use the word-of-mouth generated by customers' use of procts as the driving force, and let customers help dealers to promote procts and share part of the profits, that is, customer communication sales. This is different from the domestic concept of MLM

however, in China's criminal law, pyramid selling (Chinese style pyramid selling) is a false company, a fictitious proct, and everything is empty. It just lets you pull your head and draw a small commission from the membership fee or franchise fee

or control personal freedom, confiscate property, so that you can't contact the outside world, learn those MLM training materials every day, so that you can learn how to cheat people, and then make a list, telephone or letter invitation, showdown, follow-up, until you pay the membership fee or franchise fee in various ways

Chinese MLM is built on the basis of mind control, that is to say, you can organize MLM spontaneously after brainwashing through their MLM training; Others will control your personal freedom, confiscate everything, and force you to accept these lies

7. This question actually leads to a topic worthy of discussion: how do we see the "use" of the existing digital currency? Or how do we divide our understanding of digital currency

this division of cognition not only helps us understand digital currency, but also guides our behavior in the process of investment. So I'm going to analyze this topic in two or three articles
from the perspective of cognition, I divide all digital currencies into the following three categories:

the first category is that their value and consensus have been strongly recognized, almost indisputable, and have been transmitted from within the circle to outside the circle. This kind of currency is the least in the whole field of digital currency
this kind of currency typically includes bitcoin and Taiwan dollar. Bitcoin is recognized as "digital gold" and has repeatedly shown the characteristics of "sea calming needle" when the external political and economic environment is unstable; The profit model of platform currency is clear, especially the top three platform currencies have solid cash flow and income relying on the exchange
when talking about this kind of currency, both their consensus and value are highly recognized in the instry, and ordinary people can understand it outside the instry
when we talk about bitcoin with ordinary people, as long as we tell them that gold goes up, bitcoin goes up; When talking about platform currency with ordinary people, just tell them that platform currency is equivalent to the stock of securities companies, and they will immediately understand what we are talking about
although some people outside the instry do not agree with some consensus (for example, some people still do not agree with the value of bitcoin), this does not prevent ordinary people from understanding what we are talking about
the second type is that consensus has been reached, but the actual use value is still being proved, or the so-called "use value" can not show us the actual effect for the time being. This kind of currency is slightly more than the first kind, but also very few in the whole field of digital currency
this kind of currency typically includes Ethereum, EOS and cross chain projects in the field of smart contract

take Ethereum and EOS for example, they are highly expected by the instry. We hope to see that their smart contract function can proce killer applications and bring higher efficiency and lower cost to our daily life
in the past two years, Ethereum has developed a highly concerned defi Ecology (defi, decentralized finance, often referred to as distributed finance or decentralized Finance) in the instry
however, does this ecology have a direct relationship with the life of ordinary people or bring direct benefits? In fact, it does not exist at all. It is still a "niche ecology" in a small circle, far away from our daily life
the ecosystem developed by EOS in the past two years is far from the areas where we expect to bring value into play, and even there are not many people in the instry who pay attention to it
the concept of cross chain project is very novel when it first came out, and it is also considered by the instry to have great potential demand. But after a period of discussion, some people began to question whether this demand really exists
the instry has a consensus, or even a high consensus, on these currencies, but their current value is not satisfactory. Therefore, even if they are recognized by the instry, it is difficult for this consensus to be transmitted outside the instry, not to mention that ordinary people can understand these consensus and values
so we can't talk with ordinary people about what "defi" and "cross chain" are and what's the use

the third category is the currency whose consensus is still in the process of forming. The design objectives and scenarios of this kind of currency may not be understood or recognized by the instry, or even there are great differences in understanding. Their value is even more difficult to judge. This kind of currency accounts for the vast majority of the current market.

8.

Many people think that bitcoin is the first digital cryptocurrency in the world, but it is not

In 1982, cryptographer and computer scientist David Chaum proposed a creative scheme blind signature: on a piece of paper, I choose a serial number that only you know, and then I sign it. Because I don't know the serial number, I can't it to another person. This idea forms the first real e-money scheme, which makes anonymous transaction possible

at present, China is experimenting with digital currency, which is legal currency with national credit as guarantee, just like paper money. In the environment of legal digital currency, it will be possible for the economic system to decide the money supply spontaneously and endogenously, issue and recover money automatically through preset and reliable program algorithm rules and on the premise of ensuring the stability of currency value. The role of the central bank may not only be the decision maker of money circulation, but also the designer of the rules of money circulation algorithm

in fact, digital currency is just a form of electronic payment to replace traditional paper money, and the specific application scenario is mobile wallet payment. Digital money is not a virtual currency that can be generated by underground mining and easy to form investment bubbles. Investment in bitcoin and other virtual currencies and electronic money is a Ponzi scheme in a strict sense. The ordinary people need to be careful to avoid leeks. p>