What impact will virtual currency have on real monetary system
however, once it is legally linked with fiat money, it means that fiat money has the obligation to convert virtual money into fiat money. This is very dangerous
because there is no limit to the issuance of virtual currency, once there is a legal link, it is equivalent to the unlimited issuance of legal currency
although QQ coin seems to have the function of currency and can buy a lot of things on QQ, in the final analysis, it is all virtual things, and its essence is commodity.
recently, the four ministries and commissions jointly issued a notice, requiring local authorities to supervise online game service providers to carry out business activities in accordance with the law, to prevent providing convenient conditions for online gambling activities, and online game service providers shall not charge or use "virtual currency" and other means to collect commissions related to game winning or losing in disguised form; In order to set up games such as using game points to win or lose, guessing and so on, it is necessary to set the number of game points winning or losing per game and per day for users. It is not allowed to provide game points trading, exchange or "virtual currency" or other services to exchange cash or property in disguised form. It is not allowed to provide game points transfer services such as giving or transferring between users
it is reported that Tencent no longer provides the service of game currency or game points in disguised form to exchange cash and property. If netizens want game currency, they can give it as a gift when they buy props. For some paid games, they charge a fixed "game matching fee" to avoid virtual currency gambling in disguised form
bitcoin is a consensus network, contributing to a new payment system and a fully digital currency. It is the first decentralized peer-to-peer payment network, which is controlled by its users without a central management organization or middleman. From the user's point of view, bitcoin is much like Internet cash. Bitcoin can also be regarded as the most outstanding three style bookkeeping system.
2. If the two-way circulation becomes bigger, it will impact the real market
The impact of e-money:
1. As e-money appears on the Internet in a virtual form, users can change the conversion between cash and savings, current and fixed at any time through their own instructions. Therefore, e to the decrease of e-money, the advantages of money supply with clear connotation and extension will be lost
2. The impact of e-money on base money. Base money is a special monetary level in which the central bank implements the legal provision system to control deposit expansion and money creation. With the continuous improvement and maturity of e-money, when e-cash can become a new form of cash currency and join the ranks of base currency, it may make the base currency virtual. The development of e-money will rece the cash in circulation. At the same time, if e-money replaces bank deposits, because the laws of various countries have not yet stipulated that e-money should pay reserves, it will rece the deposit reserves of commercial banks and the base money
3. Make the main body of money supply bigger. Under the condition that electronic money does not need reserve and market access, many financial organizations and even enterprises have joined in the issuance of electronic money. From the functions and characteristics of e-money, the occurrence and subject of e-money, we can see that after entering the era of e-money, the issuing right of money will tend to be decentralizedextended data:
the impact of e-money on money demand is mainly reflected in the fact that e-money partially replaces cash in circulation, accelerates the speed of money circulation, and thus reces the demand for money. In addition, e-money has the function of credit creation, which also makes the demand for money in an unstable state, leading to the fluctuation of interest rate, which in turn leads to the instability of money demand. As the fluctuation of money demand increases, interest rate will be reced as the transmission mechanism of monetary policy