Is it really possible to create a Crypto-Commodity that truly secures not just the transaction, but the true meaning of a digital, trackable exchange of a physical product using Crypto transaction reporting?
Cryptocurrency is described as a digital currency in which encryption techniques are used to regulate the generation of units of currency and verify the transfer of funds, operating independently of a central bank.
And a Commodity is described as A reasonably interchangeable good or material, bought and sold freely as an article of commerce. Commodities include agricultural products, fuels, and metals and are traded in bulk on a commodity exchange or spot market.
So how can the security of Crypto benefit and secure the interchangeability of a Commodity? In a nut shell, the ability to trade something tangible for something different that both have a similar value. That is the economics of a commodity or even day today exchange of value.
Lots of people say that Bitcoin and Cryptocurrencies are too risky, due to the rapid fluctuation in value. What is a crypto was created based on a specific commodity? Pegging the value of the Crypto Coin to a specific unit of a tangible and physical community?
Being able to barter or trade 1 specific Crypto Coin for a specific amount of that tangible product?
Incipient Industries Steve Dryall has put out a paper on Cryptocommodities stating just that
The future is changing, CryptoCurrency’s when viable, are a way that secures and quantifies the future of transactions.