The Token Economy

Tokens are the new form of value transfer without a central structure but rather a decentralized structure. With now more than 200 Tokens being traded on exchanges and more ICOs coming soon its a whole new economy coming to age.

In today's world, Developers can wake up a day, build a business case or problem that can be solved with the power of the block-chain or even without, write a white paper, run a marketing campaign, organize an ICO and then Raise over $30m and exchange about 30m tokens for investors to keep as value for the project being built.

Thats the new magic developers have today, and it has begun creating a new economy both in mind and also at hand. In the near future, we shall have digit wallets that will carry our different tokens for different uses from , Utility tokens to securities tokens and even fun tokens. We shall be paying for parking in tokens, paying for food , Gas , drinks, and so much more including Salaries.

Despite this underlying will be the Dollar(Fiat) value which will maintain the balance for exchanges to open to reach that perfectly tokenized community. This will lead to true carelessness, but not digitization of money, since money value will continued to be stored in the tokens.

Now the new challenge of the Fiat Money is , "How do we maintain value in the era of Crypto-currency and tokens". We shall have a new Forbes list in the future with Crypto Billionaires, but remember the word "Billionaires" will be based on the Dollar value of what ever tokens held by the person. The big question is what happens if the goal of Crypto is to undermine all fiat cash, then we a heading for a crash.

Another issue to think about, since crypto or tokens are developed and released in different quantities, what happens when tokens value surpasses the dollars on planet?? Will the billionaires and millionaires transfer all their wealth to tokens or risk having worthless billions in Fiat money.

As we saw, the internet change the whole finance landscape, change the social and culture fabric of modern day humanity, the same is coming with the token economy. We are in very early days, its a force we can no longer stop. People have showed so much love for things that give that give them more control, as the internet did and now , the token world.

So what do we do to prepare for this economy?

We need more education on tokens, how to create them, use them, utilize their value and much more. We need to create compliance startups that help us help us verify transactions with much more scrutiny. We need to place token desks in banks and investment vehicles. We need to open Interpol and local police token divisions to enforce some legal and orderly exchange protocols for tokens in the society. We need startups to build utility based tokens to enable a simple transition and rival the legacy companies. Governments need to set up token ministries and secretariats to manager and organize token exchanges. All central banks should start a one to one tokenization of their fiat money at hand and reduce on actual reserve cash deposits. The list is endless, we can and need to do alot as we welcome this new economy.

There's more about tokens, which we shall be discussing next, looking at smart contracts, ICOs, exchanges as these will be the pillars of the token economy as Governments prepares to distribute power .

ITS A NEW TOKEN ERA, THE FIAT ERA IS IN DARK DAYS BUT WILL ALSO REMAIN THE BENCH MARK, SO LETS PLAN FOR THIS NEW ECONOMY TO BE WINNERS.

Disclaimer, I am Nyesigye Amon(Software engineer), a Block-chain Developer, and very excited about this industry and would live to know what your doing on the block-chain, I will also be willing to consult on the projects or even offer some free help where possible. Shoot me an Email at [email protected] or tweet me at @amon_nyesigye . Can't wait to hear from you.