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RE: Gresham’s Law, Gold and Cryptocurrency (2 of 2)

in #cryptocurrency7 years ago (edited)

What a great couple of articles! I quite enjoyed them.

I think you are exactly right in most respects but I do disagree a little when it comes to gresham's law. It really only applies with one currency when a government forces everyone to accept the face value. If you are talking about multiple currencies with different "floating" values you have to apply Thiers' law which is the opposite. Good money drives out bad. Because sellers will only accept the better currency. You can see this happening with people offering discounts if you pay in bitcoin.

I think you will enjoy one of my latest posts and I would love to hear your thoughts on it! I look forward to hearing more of your ideas in the future.

https://steemit.com/currency/@littlejoeward/do-currencies-need-to-be-backed-by-something-the-difference-between-currencies-and-commodities

We talk about Gresham's law in the comments, so be sure to look there