Firstly, about ICO, it’s short for Initial CoinOffering, and I understand thatthe first time a crypto currency launch on thegeneral public, funds are raised and a percentage of the crypto currency issold to early backers of the project. No wonder our Chinese government set ICOillegal! The only reason that bitcoin was invented was to get rid of centralbank and inflation, and in my opinion, there is no reason to raise money topromote any crypto currency. But people know little about why there aredifferent crypto currencies. They don’t know it’s a perfect scheme, and thewealth effect on Bitcoin had driven people to chase new investment projects inthe crypto currency field.
Secondly, there are two kinds of cryto currenciesnow. Ones like Bitcoin and ones like J-Coin. Ones that there is no statesupported back ground, and ones that supported by state governments. For oneslike Bitcoin, they are invented to solve the current problems faced by Bitcoin:the mass volatility problem, the low speed when transactions are recorded onthe ledger book, etc. For ones supported by states, the current paper moneysystem has a lot of cons, the tracing of allocation of fiscal expenditureproblem together with corruption, the high cost in restoring and printing ofpaper money, ect. J-coins are invented to solve these problems.
Lastly, I found Prof. Sachdev is constantly trackingfinancial technology related news, and he shared news happening in China, whichI don’t know. I found out that our new PBOC leader, Yi Gang, is an UIUC alumni!Wow! How lucky we are!
I am also fascinated by the applying of Ripple tointernational settlement scene. It seems Ripple is much more efficient andeconomic that SWIFT. I believe if ICBC joined Ripple system, we will have somuch less communication to do with our customers.
These are the most important ideas I learnt today.
