Thanks to technological advances, new forms of electronic currency are now possible and already available. Speaking directly to the financial aspects of the Diem Association's project, the current regulatory hurdles and institutional pressures seem difficult to bypass without making some additional noticeable and meaningful changes to Diem. In the authors' view, although some early concerns were addressed in the Diem White Paper 2.0, the Diem project is only questionably ready for commercial launch in its current state. The research identifies potential obstacles and hurdles this digital currency would (since it has not happened yet) face on launch day and assesses whether the project is feasible in its current form. It looks specifically into Diem's business model and analyzes the project's planned and potential revenue streams, according to official documents published by the Diem Association. The paper presents a general overview of the Diem project, particularly from the perspective of financial theory and practise. It briefly reflects on the historical meaning of money and currency, as well as "local currencies" viewed as precursors to the new "digital currencies" or "cryptocurrencies". This article focuses on Facebook's new digital currency, initially called "Libra" and renamed in December 2020 "Diem", that has been designed and proposed by the Diem Association (formerly the Libra Association). There will be an electronic currency, and it will be universal, and we must accept that fact. Tuchschmid Download this article as a PDF
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |