Sunday, 28 November 2021

If Bitcoin can be compared to 'digital gold'. Can currencies be backed by Bitcoin?

My understanding of Bitcoin is that it is a digital asset, much like physical gold.

If that is the case, Much like how currencies used to be backed by gold reserves. If you held enough Bitcoin, could you create a new currency back by Bitcoin?

I presume it would be highly volatile, but it'll be pretty cool!

submitted by /u/KvN161
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