On this wonderful journey of cryptocurrencies, I explained why in the next decade there will be a currency for everything (even people).
One of the rising protagonists of the cryptocurrency movement is Andreas Antonopoulos. He shares my vision of a world where there will be thousands of currencies. He has a knack for distilling some of the concepts into succinct terms. During the recent Coinsummit conference, he mentioned this future again and used a term that so aptly describes what is going to happen.
Currency will become a language.
Because (soon) anyone can create a currency that is instantly global and more to secure to counterfeiting than any other form of money we’ve seen. And when this happens, people will have free choice to affiliate their monetary value to any community they wish.
When you are faced with an option to use equally secure forms of money with equal monetary value, you are going to use the one that speaks to you: that represents the ideas you want to affiliate with. For example: let’s say there is a currency for death-metal fans & a currency for jazz fans. If you had the option to (without financial risk*) to use one that speaks to you (jazz), you’ll use that one. It becomes a vote for that community. It is the glue & lifeblood that builds a foundation for those networks of value. I like putting it in terms of this other post I made about music & people’s disdain for when artists go mainstream. The “law of hipster connection” states:
The more obscure and deeper down the rabbit hole of music you go, the deeper and more intimate connections between individuals become.
Replace “music” with any “meme” (in the Dawkins sense of the word). I use art as an explanation as well.
Understanding others through a cultural meme is sort like a proof-of-work for connection. If I like something, and someone else likes it as well, it speaks to what has happened in our life and the roads we unknowingly shared to be able to come together and appreciate that meme (note. Again, I’m using meme in the correct way here, not referring to funny internet jokes).
This week, through serendipity of the internet, Marc, a musician from Johannesburg called me to explain just how excited he is about “The Cypherfunks" (internet band & cryptocurrency community). It is inevitable then that barriers of trust are completely destroyed, because we both "get" it. It is a wonderful feeling.
And so, currencies will become languages: indirect votes of the community you affiliate with. If I use Dogecoin, it represents the welcome, light-hearted and charitable community we’ve come to know and love. If I use FUNK, it represents the community of musicians coming together to make music with others across the world. The currency becomes loaded with meaning, and that meaning speaks.
And that is so exciting. So incredibly exciting. It speaks to people in terms of agency & in terms of connection. The great inventions of the world bring us closer, because deep down, one of our greatest desires is to rally against this shell that is our body. We touch. We talk. We fall in love so that the barrier between us and others fall down. And that makes these experiments all the more worthwhile.
*Just a note on financial risk. Of course, if we assume a very liquid world containing various networked currencies, there’s going to be some risk in holding a currency. The natural order of things is for communities to arise and die, but sometimes your propensity of risk is to not necessarily want to be financially involved. There are however ways to mitigate this, and it is already becoming possible. An example is Coinbase’s (apparently) upcoming feature that when people spend their Bitcoin, it immediately transfers your dollars in your Bank account (through ACH) to Bitcoin and pays with that (or replenishes it, straight afterwards). This means. When faced with a situation to pay for something, you can choose a currency, as long as it is immediately exchanged into the other. For those with less propensity of risk , they can keep their currency in a system that is currently more stable, and then when paying, it becomes a vote for a more specific community. Paying with Bitcoin through Coinbase using this method is a vote for Bitcoin: a community that represents this potential. In the future, it could even be from Bitcoin -> other currency networks.