One Paper Currency Is Officially Extinct
While the hyperinflationary episode technically peaked in Zimbabwe in 2008, its national fiat currency has finally reached its painful end. At the current rate, one US dollar will buy you 35 quadrillion Zimbabwean dollars - toilet paper is worth more. Zimbabwe was the first country in the 21st century to suffer hyperinflation, and it has never escaped. Bad governance, led by strongman dictator Robert Mugabe, and almost no economic activity and production doomed the country to one of the worst economies on planet earth. What Does This Look Like? “Bank accounts with balances of up to 175....
Related News
Today’s infrastructure cannot accommodate on a global level for the technology of tomorrow, says our expert Brandon Kostinuk of Vanbex. However, progressive policies supported by global economic players can rapidly change that. Lisa Cheng, Vanbex Group CEO, who has years of experience dealing with Bitcoin and blockchain technology, says: “To begin usurping traditional models of banking and finance we have to move society beyond our current understanding of currency and see that it exists today as digital value. Paper currency is on its way out and will be replaced entirely by digital....
The International Monetary Fund (IMF) has published a paper on virtual currencies in January 2016. The paper provides an exhaustive analysis of virtual currencies, covering everything from the basics, to legal and economic perspectives, and regulatory and policy changes among other topics. The paper distinguishes virtual currencies from other digital currencies by describing that “they differ from other digital currencies, such as e-money, which is a digital payment mechanism for (and denominated in) fiat currency. VCs, on the other hand, are not denominated in fiat currency and have their....
The boss of MasterCard in the UK and Ireland believes cash will be practically extinct in the next five years across Britain and Ireland and will seem as antediluvian as carrying a pouch full of gold. Speaking to Business Insider during Money2020 Europe in Copenhagen last week, Mark Barnett CEO of MasterCard UK and Ireland claimed cash in 30 years will seem as old fashioned as the horse and cart. Barnett says: "We're quite ahead of the rest of the world, because if you take the world as a whole it's still 85% cash. I think in five years time there'll be practically none. There will be....
As virtual currencies like bitcoin become more established, the exchange rate will be less affected by speculator perceptions, according to a staff working paper [PDF] on the value of virtual currencies written for the Bank of Canada by Wilko Bolt of the Netherlands Bank and Maarten R.C. van Oort of the Bank of Canada. Over time, excessive exchange rate volatility will not undermine virtual currency use. The 40-page paper’s aim is to determine what drives the value of virtual currencies like bitcoin, which the paper underlines as the mostwell-known virtual currency. Much of the paper....
Dr. Craig Dalzell recently authored a discussion paper titled ‘Scottish currency options post Brexit’. This paper was written for a Scottish Think Tank called Common Weal. In the paper Dr. Dalzell discusses the ramifications of a possible Scottish currency after Brexit. There have been calls for another Scottish referendum seeking independence from the United Kingdom, after the UK in its own referendum voted to leave the European Union. Just after the results of the Brexit referendum were made known, Scotland’s First Minister Nicola Sturgeon announced her intention of holding a second....