What if you had to spend your crypto currency within a certain length of time?

in altcoin •  8 years ago  (edited)

What I'm imagining is a currency that can't be hoarded or turned into a scarcity.

It would be designed to favor those who used their currency to purchase tangible items.

A single unit of currency (i.e. 1 AltCoin Dollar) would have to be spent within a certain time, or be forfeited. Where might this forfeited currency go? Perhaps it could be nullified and a new potential mining block be created.

The length of time one could "own" a certain unit of currency could be influenced by a number of factors if necessary.
The implications of a 10 year time limit would look much different than a limit of 7 days. Perhaps there is a sweet spot to this tweaking.

Obviously this would prevent people from just sitting on their wealth forever. It would encourage human interaction and spending of currency on tangible things, goods and services.

Has it been done and is it realistic?

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BRING ON STEEMIT DEMURRAGE!!

  ·  8 years ago Reveal Comment

Correct. It can also be seen as galloping negative interest. SPEND OR DIE!!

  ·  8 years ago Reveal Comment

Exactly. I can only smoke so many Cuban cigars in one day ;)

To answer your headline: Nobody would use it (outside an idiological circle)

And yes, that has been done several times by conventional money.

In case of crypto currencies that system would just be moved around by everyone having 2 wallets.

  ·  8 years ago (edited)Reveal Comment