I’m a fan of using a new cryptocurrency to give a sense of security to my own assets. It’s a bit more complex than choosing a new password for your e-mail account, but it’s a good idea nonetheless. Cryptocurrencies are like Bitcoin, but with a twist.
The Bitcoin community has long argued that the “currency” of the Bitcoin network is essentially a “currency that will get accepted, and then sold.” This argument is absurdly naïve, because there aren’t many Bitcoin miners on the planet, so this is only an argument about money. The whole thing involves a decentralized system. The idea is that there will be a small set of bitcoins you earn, and the money is held in a bank account.
This is a very good idea, in a sense. The problem is that it’s not very common to have a bank account. For one, banks have all the fees associated with wire transfers, and for another they only have a small amount of capital that can be used to deposit, so they’re not likely to be a profitable bank. Bitcoin users will be able to deposit any amount of bitcoin they want into a bank account, and then use the money to buy things they want.