Asset Agnostic Value — the Future of Money

While cryptocurrency enthusiasts argue over which network is the best, a greater question has emerged: does it even matter?

This isn’t a long post, because the concept itself is pretty simple and accessible to most folks who’d stumble across it and read it: the increased liquidity provided by tokenization enables hidden utility in securities whereby they may be utilized as commodity money. This “cash-like” utility is hampered by regulation and conversely, as markets approach the unregulated, assets lose utility through fraud and corporate mismanagement.

When one takes a comparative view of regulatory regimes around the world, at the time of this writing the United States is heading towards this “asset agnostic value” strategy, the most obvious being the declared intent to alter the requirements for accredited investor status. Changing the qualifications doesn’t mean lowering them, but acknowledges that education and intelligence are themselves unrealized profit. A weird flex, but it is what it is.

Class Warfare?

This is okay. It’s okay because any time you increase the size of a population the culture changes and becomes more compassionate as it begins to include the perspectives of new participants and their points of view. It’s the mechanism by which MLK’s “long arc of history” is bent.

Back to the Point

Cryptocurrency which is derived from Bitcoin’s source code are variations on the theme of peer-to-peer electronic cash. Those cryptocurrencies not derived from Bitcoin are derived to emphasise what are secondary effects of how Bitcoin implemented peer-to-peer electronic cash, such as “programmable money.” When one looks at the exact technologies involved and how they are developed, the propensity for one asset designation or the other becomes clear.

Does the SEC know this? Of course they do.

Is the SEC under any obligation to state this publicly? No, they are not.

One might argue that the markets are already a matter of intelligence.

An Exchange Is in the Eye of the Beholder

This means if a cryptocurrency exchange doesn’t trade securities it can say so, and proudly. My exchange, AltMarket, does just that in our terms of service. We comply with all of the regulations for such a platform. Every asset we trade is vetted for commodity status and the onus is then on the SEC to prove otherwise. Most exchanges cannot take this risk because they do not understand the technology and how the implementation of that technology changes the potential commodity status of any token it may generate.

Connecting the Dots

We are about one or two steps away from this reality, and it will absolutely become real by the end of this next decade.

Developer, Father, and Friend .:. CEO of AltMarket, Inc. .:. My views are my own.

Developer, Father, and Friend .:. CEO of AltMarket, Inc. .:. My views are my own.