The one problem with all cryptocurrencies

Tying your token, to your technology is a bad choice.

Cryptocurrencies have promised a lot, and delivered a certain amount of utility. But the clear problem with cryptocurrency as a concept is that your technology stack is intrinsically tied to your token and its value.

Technology changes frequently. Throughout history, accounting technology has changed from one medium to the next. Commonly, these accounts would simply get updated, to use the latest technology. Coins could be upgraded to paper money, talley sticks would be upgraded to more robust ledger systems.

With cryptocurrencies, the token, technology, payment system, and value mechanism, are all tied into one big bundle. This makes them sort of scary can of worms to trade.

I don’t really recommend learning about cryptos just to trade them. I think the trading thing is overrated, and once things stabilize, trading won’t be a big deal.

The Top Heavy Pyramid

In my judgement, there are three practical uses for digital currency. One is micropayments. The web’s love for subscription based content, is just very bad and toxic. It’s a top down approach, that favors larger players over smaller players. There’s no reason why we shouldn’t be spending money online in fractions of a cent at a time.

The second practical reason to use cryptos, is that makes it easy get around boundaries. You can…