Digital trade coin: towards a more stable digital currency
Name
rsos.180155.pdf
Description
Published version
Size
480.8 KB
Format
Adobe PDF
Checksum (MD5)
7ce374eb5e5a42bbb2c7ccf424b524b2
Author(s)
Lipton, Alex
Hardjono, Thomas
Pentland, Alex
Date Issued
2018
Journal
Royal Society Open Science
Publisher
The Royal Society
Version
Final published version
Abstract
© 2018 The Authors. We study the evolution of ideas related to creation of assetbacked 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.
MIT Department
MIT Connection Science (Research institute)
Terms of Use
Creative Commons Attribution 4.0 International license
Persistent DSpace Link
DOI of Published Version
https://doi.org/10.1098/RSOS.180155
