Something a little different: Electronic Currency

[Divinus Arma]

http://www.e-gold.com/

E-Gold is a digital currency backed by real gold. The company is already quite secure and was recently featured in a U.S. BusinessWeek article.

The concept is this:

1. Customer A purchases units of E-Gold via Electronic Commerce.

2. Customer A transfers E-Gold to Customer B instantaneously. No opportunity for "recall".

3. Customer B exchanges E-Gold for currency.

So as long as there are two E-Gold accounts, payments are simple and instant. The fear of "canceling" a payment is impossible. According to the E-Gold website (http://www.e-gold.com/unsecure/qanda.html):

e-gold payments clear instantaneously (with no chargeback risk), no matter how large the payment, no matter how far apart the Spender and Recipient.

With some refinement, I think we have an all-digital global currency here. Being backed by actual gold gives it the same basic principles as modern currency: Non-negotiable legal tender. The value is set against the gold standard, so market fluctuations will match gold markets. Also, note that the company has several currency standards including platinum, silver, and palladium. These additional precious metals can provide stability and security through an investor portfolio of electronic currencies.

This is a pretty interesting example of the global economy, the moves toward worldwide standards, and the effects of the digital revolution.

How many of us pay in cash these days? I recieve my paycheck through direct deposit, pay my bills through automatic withdrawal, and pay for basic everyday stuff using my checkcard. I almost never have cash on me.

Are we moving towards an all digital currency?