Decentralization, Cryptocurrency, and the Future of Money

We know, however, that paper money revolutionized the banking system and changed the face of finance forever. It’s not an exaggeration to say that modern society would not have been possible without the financial system that cash created.

“Digital currency is any currency that’s available exclusively in electronic form. Electronic versions of currency already dominate most countries’ financial systems. What differentiates digital currency from the electronic currency that’s already in Americans’ bank accounts is that digital currency never takes physical form.

“You can go to an ATM right now and easily transform the electronic record of your currency holdings into physical dollars. Digital currency, however, never leaves a computer network, and it is exchanged exclusively via digital means.

“There are three main varieties of digital currency: cryptocurrency, stablecoins and central bank digital currency, known as CBDCs.”

“The confusion is also potentially damaging to the Bitcoin narrative.

“Why? Because it misrepresents the intentions of the army of cryptographers that had been working on a decentralized electronic cash solution for decades. It diminishes the bigger picture.

“Satoshi was not reacting to an event, just as those on whose shoulders he stood weren’t planning for a specific circumstance. They were all trying to solve the fundamental issue of financial sovereignty.”

To be clear, this is a fictional white paper that forms the basis for the lore of Cryptopia the game. It predicts that the world is due for an economic collapse due to its reliance on fiat currency, and so proposes a new society in Cryptopia.

This is how the game itself mirrors the real world, and becomes a model for the decentralized future. Think of it as a proof of concept that it’s possible to create a society based on the blockchain.

“The TOS supply is capped at 10 billion and released over time as quest rewards. Players are incentivized to reinvest their earnings in businesses and character advancement, potentially leading to a growth in demand.”

Of this 10 billion, the largest part is reserved for the game, with 40% (4 billion TOS) waiting to be unlocked in the game and claimed by the players.

Tokenomics is what separates Cryptopia and other blockchain games from traditional ones. Gamers have become used to spending a lot of money on games – whether it’s the actual game, in-game items like skins, expansions, and so on – without owning their characters or any of these items.

“Banks have been slow to respond. In part, it’s an example of the innovator’s dilemma, the term coined by Clayton Christensen: incumbents earning big profits from traditional processes find it hard to innovate in ways that disrupt their status quo.”

“But major lenders are realising the blockchain, despite its teething problems, can improve on legacy banking systems and processes. The benefits include near-instant and free settlement of transactions.”

Cryptopia is a vision for the brave new world. Proof that the revolution will not be televised, but played online.

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