Digital currency is definitely a factor towards technological singularity. It eliminates human interaction and gives value based on how sought and desirable it is. All of the handlings is done in hardware and software programs, which cannot be altered by mostly anyone (except contributors to the source code, which has its downsides if they fall to the dark side).
Disclaimer: This is part of the Singularity Factor Overview. You have a choice of believing or not believing.
What is Digital Currency:
Digital currency is basically an online bank that does not require the needs of big banks, a government or a group of people to handle transactions and such. Why is this a breakthrough? It is because it eliminates the transaction fees and shady business of the middle-man. Transactions are all done online and you get paid online and have your bank online. It is secure because, in order to damage the entire system, which is a gigantic block-chain of transactions and records, you would need computing power probably thousands of times bigger than your at home killer personal computer. Moreso, the people the have coded and created one of the most popular digital currencies is Bitcoin. There are many thousands of other digital currencies now popping out of nowhere, but those are all probably scams, kind of like penny stocks (a majority of them).
You see, the value of the digital currency, just like any other currency, is the more people use it, the higher the value becomes. So, if all the money in the world switches to digital currency, then this ties into the technological singularity because we will develop a software that will distribute the money to people that are worthy based on artificial intelligence and neural networks of self-value and work pre-defined by existing knowledge and algorithms. In simple words, you do work, and the digital system will accommodate it for you without the need for any human tampering/involvement.
The BitCoin digital currency will probably stop mining in the year the 2100s when 21 million BitCoins have been mined according to online sources. As long as the max limit is fixed, then dividing infinitely to accommodate BitCoin distributions amongst many people would be at smaller portions, and for over or near 7 billion to 10 billion people on Earth, that's probably good enough.
So now, let's get this briefly explained so that you can continue your day.
Digital Currency Right Now:
If you looked at recent charts of today's digital currencies (picture below from November 13, 2017), they have started growing extremely fast. One amazing factor about digital currency is that it cannot be taxed for now. Bitcoin also avoids capital gain taxes which is extremely helpful for the filthy rich people. This is why there was probably a huge demand for Bitcoin in the recent years because they probably saw they can avoid such a thing of taxes if it's all digital secured in that exchange of thousands of blockchain transactions.
There have also been a ton of news spreadly of the late urging many people to invest. I mean, word-of-mouth advertising and powerful people who already have a stake in digital currency are just setting you up for a fall. The beauty of BitCoin and future digital currencies is that, once the entire market realizes that the value of money isn't a right way to live, the technological singularity will have happened and machines will be the one to reward us for our work. Instead of the POW system in BitCoin, which is "Bitcoin is a proof-of-work cryptocurrency that, like Finney's RPOW, is also based on the Hashcash POW. ... Bitcoins are "mined" using the Hashcash proof-of-work function by individual miners and verified by the decentralized nodes in the P2Pbitcoin network" (Wikipedia). P2P means peer-to-peer, so as long as two people have an internet connection, the trade is done with just those two addresses and is later stored in the blockchain of many transactions that monitor the entirety of Bitcoins.
Although BitCoin seems like a bulletproof system of exchanging of currencies, payment, and such, it still has its flaws. Such flaws are the people who can attain BitCoins compared to the people with fewer resources, such as machines with the best high-end graphics processing units (GPUs). As you can tell, the BitCoin fanatics who were already rich in their country currency can easily manipulate the BitCoin market just the same as they do with the local stock markets. The creator did not create BitCoin with the same mindset of giving every person an equal start.
Technology With Digital Currency:
With the rise of many types of microcontrollers and embedded systems that have low-power consumption, it will be possible for anything to run on digital currency signing. We can have a test network-system in a city for proof that it works. The entire city will be outfitted with a free internet connection and there will be lots of internet of things devices reading inputs and the residents use BitCoin for purchasing items and paying bills. The amazing thing about the digital currency is that people do not have to worry about if they get paid, sending money, or any of those headaches you get with normal banks and government regulation.
Implementing digital currency, as long as it has a connection to the internet, is a game-changer to how we humans use money as a unit of measure for trading items. Remember, back in the past, we used to trade items because we needed it for something. Nowadays, money has lost its original value, and people use it to their advantage which was not supposed to happen. I guess some people turned evil or really lazy. Digital currency will not be rewarded to lazy people, unless under special circumstances and will force, as you may have seen, investors using bots, people relying on others, to actually do it themselves.
That is also one thing digital currencies must fight are bots. Designing artificial intelligence to actually go around the entire blockchain of transactions to combat botted transactions and possibly shady mining would be a great help to ensuring the security and fairness of the overall system. Everyone knows that a fair system is not the perfect system, but it is the ideal system if you want to encourage people to use it more and put faith into.
How Digital Currency Changes Companies:
Major companies will learn that if they pay their employers with digital currency and allow purchases of their products with BitCoin (if they figure out transaction fees), then using digital currency would be a much better alternative to use than paper money and the traditional way of exchanging value for products.
Companies will also be able to have a secure platform for their customers, and customers will have an easier time purchasing items online with like no struggles! There also won't be a need for certain customer support services that need to deal with purchasing of products because it can be accessed in the public records of the blockchain transactions. The power of digital currency totally alleviates many human roles and minimizes the drawbacks of people manipulating each other's purchases of products and goods.
Currently, since digital currency is abundant with many different crappy iterations trying to be like BitCoin, once companies finally settle upon the main currencies to actually use, we won't see a shift of currency, which will become a global currency, it is unlikely to happen yet. Remember, the system of digital currency converts your local currency into it's system and rewards you the proper amount. What BitCoin will eliminate, or all digital currency will do, is those exchange rates will be gone, as BitCoin is a decentralized currency. So that means, no matter where in the world you are, are whatever country you came from, one BitCoin is the same value anywhere else.
Companies that allow people to purchase their products with digital currency such as BitCoins are going to make significantly more profit than using their local currency (you can take my word for that one).
How Digital Currency Changes Humans:
If instead of humans getting paid with their tradition local currency, and they got paid with digital currency such as BitCoins, we will automatically start to resolve the job competition of outsourcing, be moving to a different country, and related issues. I strongly believe that digital currency will make jobs and pay fair to the amount of labor and skill it requires. This gives people and companies a decent competition for who they want to hire and work for instead of opting for the better options. Many people from other countries move from their third world country to find better opportunities, but if we outfit the entire world with digital currency and the ability to make that exchangeable unit, BitCoin or whatever, available to people, people will be more likely to do better in their jobs because it would be the same anywhere else.
With the spread of digital currency, humans will also spend more because they will soon naturally understand the flow of money. If money is not flowing or circulating, then you will have a dead economy with stunted growth because the money or resources are not being used. Remember in basic economics class, if there is no flow, there is no growth. By letting digital currency flow throughout the entire world, humans will grow much faster without having to worry about the value of their work, because they are getting paid the right amount as compared to if the person lived in Africa or the United States.
Digital currency will help humans live a better overall life. There won't be a need for people in power such as a plutocracy or a central group of power because of how decentralized digital currency is.
Correlation to Technological Singularity:
Digital currency is one of the many factors a highly consider to move humans towards technological singularity. We are creating a system where the system will organize our main currency of value, for us to trade it for products and buy just as we normally do. The biggest difference is that it is decentralized and can be used anywhere around the world as long as it is connected to the internet (which it always will be).
Digital currency will enable an evolution of our system on rewards and distribution, that rely on rewarding the people that actually put to work. Although it may seem like a weed-out process of the lazy people, digital currency will increase the human growth in all areas significantly if we choose to integrate digital currency in the proper steps for growth. How we do this is totally up to the creators and our adoption of digital currency. We can also implement like I mentioned earlier, an artificial intelligence (that will learn about different types of work and jobs, etc.), to enhance the rewards for any type of work a human does.
Digital currency and its characteristic of being decentralized (for its use), is actually centralizing for technological singularity for us humans.
Thank you for reading this article and stay tuned for the next coming factors on what I think greatly contributes to humans and technological singularity. Have a fantastic day!
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