Hard, Fiat and now Digital
Hard Money, it s Gold, Silver and Copper coins ..... For the Kingdoms, Empires or States, it meant the need to find these precious metal to mint coins !!! Most of the Wars involving the roman legions were closely related with this political purpose , like the myth of El Dorado in America...
Fiat Money, It s paper money and credits. Paper Money has been invented in China more than 1000 years ago, but money creation by the credit is more recent .... Only several hundreds years in europe (Think 1694 and the creation of the Bank of England). Fiat money is a "bet" on the future resources .... Managing successfully the fiat money means the need to control the public laws !!!
Digital Money is very recent .... and the Bitcoin is the most famous exemple !!!! Digital money is only an available financial liquidity on an electronic form ....... With the war on cash, and the global bankruptcy, It should be the future major monetary system in the World. Digital money should be available for people or organizations who will own tangible resources.
The prices are always related with the supply of money .... and the demand.
In a digital monetary system, with no more cash, the supply of money will be more highly controled. Therefore, we think the prices should be also faked, but not because of "money like" (stocks, bonds, derivatives....) and the WISH of inflation, but because of the fact that the financial liquidity will be oriented ON THE NEEDS !!
HIGHLY NEEDED PHYSICAL SILVER COULD SEE ITS PRICE STAYS LOW ... AND THE NATURAL DIAMONDS COULD BE SEEN AS THE PERFECT TANGIBLE RESERVE OF VALUE, A MAJOR SYMBOL OF LUXURY AND SEE THEIR PRICES RISEN
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