There was some talk in another thread about how to make Peercoin attractive to users (instead of waiting for PoW to fail and people migrate to PoS). As it turns out, Peercoin is not the first currency to wrestle with this problem. The US dollar had the same issue a few decades ago. Sure the banking and governmental system in USA made sure people inside USA were forced to use $ but what they (1) first had to do was to peg it to gold. As it turns out “pegs always fails”… don’t ask me to elaborate on why just trust me when I say they just do. Then when the world elite was trying to figure out how to fix cross-border settlements, (2) the dollar was tied to oil aka the petro dollar. Then when everyone was using dollars the dollars position as a world reserve currency was strengthened by (3) issuing dollar denominated debt aka treasuries (yes sounds counter intuitive, but as long as people want to give to money and get debt/promises in return, you benefit and get an economic power which, if you don’t squander it, makes your currency even more attractive). Once you have the world reserve currency and all of that you get tons and (4) tons of liquidity, which makes it possible for BIG money to park purchasing power.
So, we don’t have guns (we’re not a government), we already tried pegs ;-), issuing debt is difficult, which brings us to the petro dollar…
what is the petro to Peercoin?
I can’t be peercoins themselves, but arguably it HAS to be something that is intrinsically tied to the Peercoin protocol/network itself (because oracles doesn’t work and federated solutions isn’t enough for this to be sustainable in the long run).
What do you think the petro could be?
EDIT: in Bitcoin I think “the petro” is the fact that it was the first coin, it had a head start. nothing more nothing less.
My view of the blockchain has evolved from transferring of coins to registration of assets within the chain. I do not think the coins themselves should be used for settlement, rather, they now represent credits to register assets within the chain. The whole system needs to be constructed from the group up with a whole new paradigm of thinking.
So this is basically about having to use Peercoin for something that everyone needs. USD is used for oil, and everyone needs oil. It is the most important resource on the planet now.
I am not sure is this applicable to crypto world as everything is easy to copy and such scarcity is very hard to accomplish. Best we can do it to try to come up with services which will lean on onto our blockchain and thus tx fees will get burned.
Maybe PeerAssets will open up a way to launch this kind of services.