Topic: The coin that is supposed to take on Bitcoin..... - page 3. (Read 2286 times)

So, I just read this article about Hayek, which is supposed to be a coin backed by gold and it will take on Bitcoin.


Read more: http://www.businessinsider.com/hayek-cryptocurrency-backed-by-gold-2015-5

I actually wrote on this as one of my articles for a Wallstreet Journal project in a microeconomics course, let me go ahead and link my reply about this.

Anthem Blanchard is creating a new digital currency that is like bitcoin that it works through a Proof Of Work method to distribute funds but is backed by gold in a vault, the crypto currency is to be called Hayek coin named after Friedrich Hayek. This coin is to be valued at the start at 1gram a coin and there is no cap on coins ever produced like Bitcoin but limited on how much gold is on earth, the physical gold is to be to converted and exchanged whenever. The CEO thinks this will be a revolution as it is a digitally backed crypto which essentially allows the transfer of gold easily. Now the part that is not in this article that should be noted that this is a centralized exchange that is ran by one company and that company can change the rules whenever unlike bitcoin and that if their Anthem Vault ever gets hacked anyone who has their funds will be stolen and sure while the gold will not be stolen physically they will not be able to differentiate any future funds or funds that are replaced by the stolen meaning they would have to double the amount of physical gold or cancel the project all together. This coin is already down before launch due to it being pegged to the price of gold and it being down.

The coin will "be valued at 1 gram of gold at the day's market price, [and] will serve as a more secure store of value than Bitcoin," according to the press release. It will be called the Hayek, "after the Nobel-winning Austrian economist Friedrich Hayek."