A digital currency is commonly understood as a purely electronic form of money, but it is so much more than that. The advent of “cyber cash” has heralded countless innovations in the world of finance, including cryptographic functions that facilitate “trustless” transactions and create the possibility for a digital proxy for all forms of central-bank-issued money.
Blockchain technology and cryptographic functions make it possible to have a secure, decentralized and truly global digital currency. These advancements represent an emergence towards a form of currency that can change the economic paradigm for the benefit of all connected users, and away from a debt-based “monopoly” (legislated national, legal tender).
A foundational aspect of the move toward a participatory digital currency is that it relies on its community to act as custodians of the public ledger. Smart contracts also enable the community to benefit from increased transparency and a public framework for clear governance models. Digital currencies are ushering in a break away from the financial old-guard’s methods of government control, manipulation and opacity. The destination? A new currency world order governed by the people, using technology to make life better for all, not just the wealthy.
To date, attempts to achieve this have been riddled with the many of the same weaknesses of the current system. The current “stablecoin” model represents a subset of the digital currency class, namely one that is value-tracked or directly-pegged to other assets. The goal of many fiat- or asset-backed stablecoins is that they attempt to solve the inherent volatility problem arising from non-backed cryptographic tokens, like Bitcoin, while still preserving the trustless and decentralized aspects that make it such a powerful innovation.
But, merely digitizing the opaque, government-issued fiat money – or simply creating a redemptive unit against a physical asset, like the old-world gold standard – just doesn’t cut it. There is a transformational capacity that the incorporation of a broad set of business rules, via smart contracts, can allow system participants to share in the economic value they create within the system.
Stablecoins don’t offer much value beyond the obvious IOU-style models, but it is not surprising that adoption has been strong given their general simplicity and familiarity to most users. Users have also been drawn in by the promise of a relatively stable and liquid token that preserves value more effectively over domestic currency alternatives. But a better option sits just off on the horizon…
AXIA vs. Stablecoins
AXIA is a digital currency designed to transcend traditional money and modernize commerce in a new and unique way. AXIA aims to alter the economic paradigm by delivering ongoing value back to its global user community. This is achieved through a participatory economic and monetary model, where transactional activity adds value to the ecosystem via its unique AXIA Transaction Link protocol and corresponding AXIA Reserve over time.
AXIA is a better store of value. Where fiat and cryptocurrencies are vulnerable to depreciation, market volatility and central bank manipulation, AXIA overcomes these factors through its revolutionary design, which embeds safeguards against declines in market value, and supply and demand shocks.
Its decentralized blockchain network is linked to the accumulation of a diversified basket of assets consisting of precious metals, real estate, and more. These goods are publicly acquired assets with their value being reported in real-time. AXIA also serves as a medium of exchange, similar to fiat currencies, but offers a more efficient and rewarding transaction experience. What’s more, AXIA is supported by a robust ecosystem with built-in value; including free custody and no gas fees for users.
Most currency holders lose out on the value of their domestic currency based on government inflation policy. AXIA, in contrast, is not as vulnerable to inflation due to its finite supply, supportive asset structure and the role of the network’s economic activity which supports its long-term value preservation.
With nearly every form of money having its own shortcomings these days, AXIA has specifically designed its currency and ecosystem to break the mold of what money is and what money can do for its users. Having made breakthroughs and major steps toward this goal, AXIA is poised to surpass stablecoins, fiat currencies, and cryptocurrencies with its potential as a store of value, medium of exchange and as the ultimate creator of value through its connected ecosystem design.