The Financial System is vulnerable only to human adaptation in creating a replacement. The white paper attached below, Hacking The Financial System, describes how this may happen in the near future.
Money is the medium by which people store and exchange the value of physical objects – we call these object ‘tangibles’. Money does not articulate ‘intangible’ value very well, except as a proxy for the physical things that people make and exchange for money. The intangibles community is quick to point out that there is no currency that directly represents intangibles (hence the term ‘intangible’)….and, that there should be.
Actually, there is a currency of intangibles – it’s called “everything that happens inside a corporation”. The corporation converts intangibles into tangibles, which are then exchanged for money. As constraints in the global monetary system amplify – it is not surprising to see so much political reverence paid toward corporations for performing this essential conversion.
What if so-called ‘intangibles’ could be articulated in its own currency, without the over-reaching construct of a corporation? What if this new currency were fully convertible with the dollar, not unlike gold, oil, or Yen? Could markets become more efficient? How would such a currency impact financial institutions?
It’s a very simple idea, but with profound consequences. The following white paper begins to form a construct for a social currency based on how all currencies are formed. After reviewing this white paper, it is not a huge leap to argue that the next generations of Social Media tools may be forming the infrastructure upon which a fully convertible social currency could be established.
In addition, the reader may notice that it is not hard to see that fluctuations in the “tangibles” currency would have inversely proportional reaction in an “intangibles” social currency. In other words, they hedge each other. Whoever figures out how to introduce a fully convertible social currency to global production markets will undoubtedly release extraordinary wealth by any measure.
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