Commodity-Anchored Currencies

Discussion

Via Joseph Potvin:

• the ancient Chinese 'ever-normal granary', i.e. commodity-anchored currency:

In: The economic principles of Confucius and his school [Doctoral dissertation, Harvard]. https://archive.org/details/economicprincipl00huan/page/n3

For updates on this kind of approach, see the work of Joseph Potvin at the Xalgorithms Foundation https://xalgorithms.org

Joseph explains:

"in the article I'm writing presently, I contrast what I refer to as

• the ancient & pre-modern 3-function cowrie currency archetype (decentralized market-negotiated or central policy-managed [e.g. Taylor Rule] unit value based on scarcity),

• versus the ancient 4-function barley:silver currency archetype (algorithmically adaptive standard unit value based on empirical data reflecting the primary productive capacity in the currency zone). The 3-function archetype ignores stability, favoring 'financial athletes' (speculators) over supply chain realists."