Can We Stabilize the Price of a Cryptocurrency?: Understanding the Design of Bitcoin and Its Potential to Compete with Central Bank Money

• Iwamura Mitsuru

  Waseda University

• 北村 行伸

  Hitotsubashi University

• Matsumoto Tsutomu

  Yokohama National University

• Saito Kenji

  Keio University

抄録

Although Bitcoin was designed as a payment vehicle and as a store of value, it seems unlikely that currencies provided by central banks are at risk of being replaced, primarily because of the market price instability of Bitcoin. We diagnose the instability as being a symptom of the lack of flexibility in the Bitcoin supply schedule - a predetermined algorithm in which the proof of work is the major driving force. This paper explores the problem of instability from the viewpoint of economics, and suggests a new monetary policy for stabilizing the values of Bitcoin and other cryptocurrencies.

収録刊行物

• Hitotsubashi Journal of Economics

  Hitotsubashi Journal of Economics 60 (1), 41-60, 2019-06

  Hitotsubashi University

キーワード

• Bitcoin
• cryptocurrency
• currency competition
• Friedrich A. Hayek
• proof of work

詳細情報

• CRID: 1390853649798173440
• NII論文ID: 120006636207
• NII書誌ID: AA00207547
• DOI: 10.15057/30361
• HANDLE: 10086/30361
• ISSN: 0018280x
• 本文言語コード: en
• データソース種別:
  • JaLC
  • IRDB
  • CiNii Articles
  • KAKEN
• 抄録ライセンスフラグ: 使用可