Digital trade coin: towards a more stable digital currency
We study the evolution of ideas related to creation of asset-backed currencies over the last 200 years and argue that recent developments related to distributed ledger technologies and blockchains give asset-backed currencies a new lease of life. We propose a practical mechanism combining novel tech...
| Main Authors: | , , |
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| Format: | Article |
| Language: | English |
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Royal Society Open Science
2021
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| Online Access: | https://hdl.handle.net/1721.1/130255 |
| _version_ | 1811076085086945280 |
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| author | Lipton, Alex Hardjono, Thomas Pentland, Alex |
| author_facet | Lipton, Alex Hardjono, Thomas Pentland, Alex |
| author_sort | Lipton, Alex |
| collection | MIT |
| description | We study the evolution of ideas related to creation of asset-backed currencies over the last 200 years and argue that recent developments related to distributed ledger technologies and blockchains give asset-backed currencies a new lease of life. We propose a practical mechanism combining novel technological breakthroughs with well-established hedging techniques for building an asset-backed transactional oriented cryptocurrency, which we call the digital trade coin (DTC). We show that in its mature state, the DTC can serve as a much-needed counterpoint to fiat reserve currencies of today. |
| first_indexed | 2024-09-23T10:15:56Z |
| format | Article |
| id | mit-1721.1/130255 |
| institution | Massachusetts Institute of Technology |
| language | English |
| last_indexed | 2024-09-23T10:15:56Z |
| publishDate | 2021 |
| publisher | Royal Society Open Science |
| record_format | dspace |
| spelling | mit-1721.1/1302552021-03-30T03:28:16Z Digital trade coin: towards a more stable digital currency Lipton, Alex Hardjono, Thomas Pentland, Alex We study the evolution of ideas related to creation of asset-backed currencies over the last 200 years and argue that recent developments related to distributed ledger technologies and blockchains give asset-backed currencies a new lease of life. We propose a practical mechanism combining novel technological breakthroughs with well-established hedging techniques for building an asset-backed transactional oriented cryptocurrency, which we call the digital trade coin (DTC). We show that in its mature state, the DTC can serve as a much-needed counterpoint to fiat reserve currencies of today. 2021-03-29T17:06:20Z 2021-03-29T17:06:20Z 2018-07-18 Article https://hdl.handle.net/1721.1/130255 Lipton, A., Hardjono, T., & Pentland, A. (2018). Digital trade coin: towards a more stable digital currency. Royal Society open science, 5(7), 180155. en Attribution-NonCommercial-ShareAlike 3.0 United States http://creativecommons.org/licenses/by-nc-sa/3.0/us/ application/pdf Royal Society Open Science |
| spellingShingle | Lipton, Alex Hardjono, Thomas Pentland, Alex Digital trade coin: towards a more stable digital currency |
| title | Digital trade coin: towards a more stable digital currency |
| title_full | Digital trade coin: towards a more stable digital currency |
| title_fullStr | Digital trade coin: towards a more stable digital currency |
| title_full_unstemmed | Digital trade coin: towards a more stable digital currency |
| title_short | Digital trade coin: towards a more stable digital currency |
| title_sort | digital trade coin towards a more stable digital currency |
| url | https://hdl.handle.net/1721.1/130255 |
| work_keys_str_mv | AT liptonalex digitaltradecointowardsamorestabledigitalcurrency AT hardjonothomas digitaltradecointowardsamorestabledigitalcurrency AT pentlandalex digitaltradecointowardsamorestabledigitalcurrency |