börje on Nostr: Crypto people have a bias rooted in the fiat economy when they argue that the future ...

Crypto people have a bias rooted in the fiat economy when they argue that the future will consist of lots of cryptocurrencies. The mere term cryptocurrency implies that there are several currencies and it tells about the bias of the person using the term. In fact, the term is not even mentioned in the bitcoin whitepaper.

In the fiat era, the existence of multiple currencies was rooted in the nation-state system and the trust-based monetary systems it fostered. People placed their trust in currencies tied to their culture, language, and land. As a result, numerous fiat currencies emerged, each serving the specific needs of individual nations. This multitude of currencies reflected the diverse nature of human societies and their varying levels of trust in centralized institutions.

The digital economy, in contrast, operates within a decentralized and trustless framework. At its core, the internet is a binary world of zeros and ones, devoid of geographical or cultural boundaries. This decentralized nature eliminates the need for multiple currencies. In fact, a proliferation of cryptocurrencies in a decentralized economy would hinder its growth, resulting in a fragmented economic landscape.

The future digital economy will not be a replica of the fiat era, with a multitude of cryptocurrencies competing for dominance. Instead, it will be built upon the decentralized and trustless principles of the digital realm. The fact that the internet emerged alone rather than as a multitude of internets provides strong support for the theory that the same will happen for digital money. Bitcoin only - there is no second best.