MTL - Rebirth 2002: Nano Life-v4 Chapter 21 credit system currency

In 2007, after New Year's Eve, Chen Yizhe took Xia Yi and a pair of children to two uncles' houses in Hunan.

This is the first time Chen Yizhe has met with Xia Yi's two brothers, and it was only when Zilong Zishan was a few years old that the two sides met.

Before the meeting, Xia Yi spoke with the two older brothers in advance. As Chen Yizhe expected, Xia Yi was scolded **** on the phone.

However, Xia Yi's two older brothers are from the countryside. Although they are not highly educated, they are both honest. When they heard that Xia Yi's children were born for each other, they had to ask Xia Yi to take the object back to show them.

When the two uncles saw Chen Yizhe's first glance, they were still very satisfied. For them, whether a woman marries well or not depends not on how good a man is to a woman, but on whether the man has money.

From Chen Yizhe's car, what he was wearing, the two uncles could see that Chen Yizhe was a rich man, especially after Xia Yi secretly took two bank cards with a deposit of 100,000 yuan and gave them to the two uncles. He was even more satisfied with Chen Yizhe.

Originally, Chen Yizhe wanted to give more money to his two uncles. After all, for him, who has a net worth of more than 10 billion, 100,000 is actually no different from the average person's 10 yuan. However, Xia Yi still stopped Chen Yizhe's behavior, "If my brother and the others really need anything in the future, you can tell us! At the beginning, you give too much money. If you get used to it, it may hurt them instead."

What Xia Yi said made sense to Chen Yizhe. After contacting Xia Yi's two older brothers, he felt that Xia Yi's gentleness and kindness were indeed engraved in her genes.

Just like Chen Yizhe, his character is relatively indifferent, which is caused by Chen Yizhe's family environment and the genes of his parents.

The family that a person is born into cannot be chosen, but all the defects in life or personality that it brings to Chen Yizhe require Chen Yizhe to struggle and correct himself, otherwise you have no other choice.

Fortunately, Chen Yizhe had a new life, and fortunately, he met Xia Yi.

In 2007, the financial hurricane in the United States has already blown up, but on the land of China, a stock market myth has been deduced.

China's A-share market has soared to more than 6,000 points in just 12 months from more than 1,600 points in October 2006.

In the history of China's stock market, there has never been a bull market that rose so vigorously, and this time China's stock market has attracted the attention of the world.

For this national feast, Chen Yizhe has been watching from the sidelines, as long as normal people think such a stock market is very abnormal, but many people become crazy after entering the stock market.

Stocks are growing with closed eyes, so that new investors pour in in huge numbers of 200,000 to 300,000 every day.

After Chen Yizhe knew about this feast in his previous life, it was quite a coincidence that it also took only 12 months to drop from 6124 points to 1664 points and return to its original shape!

Although Chen Yizhe did not participate in the domestic abyss, in the United States, he and Paulson seemed to have become kings in the dark, looking down on the land that was caught in the wind and rain.

The madness of the Chinese and American stock markets makes Chen Yizhe not feel that this kind of finance is allocating resources, and it does not make the utilization of resources more reasonable and efficient.

Driven by the continuous depression in real estate, in October, the ABX index fell to more than 20 points, and the panicked Wall Street financial institutions and big banks demanded a large number of CDS purchases. At this time, Paulson's fund was easily cashed out. .

By the end of 2007, Paulson's first fund invested by Chen Yizhe had appreciated by 610%, and the second fund established by Paulson in early 2007 had appreciated by 360%.

During the year, nearly $6 billion poured into Paulson's fund, increasing the size of Paulson's fund from $2.5 billion to $8.5 billion, and the fund's assets under management ballooned to $42 billion, instantly becoming one of the world's largest. One of the largest hedge fund firms in the world.

The US$1.5 billion invested by Chen Yizhe directly increased by nearly 9 times, reaching US$13.3 billion. Paulson can directly get US$1 billion in commission income from Chen Yizhe alone.

In the days of enjoying the fruits, Chen Yizhe took the time to go to the United States again. Of course, he did not want to withdraw the funds, but discussed the next action with Paulson.

Paulson smiled the first time he saw Chen Yizhe, "yeezy, you know, with the collapse of Bear Stearns and Lehman, the market generally believed that the worst was over, and people began to buy bargains again. CDO, long ABX.”

When Chen Yizhe heard the news, he also laughed, "Human nature is really talked about, it seems that even the financial experts on Wall Street have no real awareness and understanding of the complexity of the structure of these products!"

After the two chatted about the U.S. stock market for a while, Chen Yizhe suddenly said, "Paulson, you have been in the financial market for so many years, can I ask you a question?"

Paulson glanced at Chen Yizhe and nodded, "You ask!"

"Do you think modern finance has created value in society? If so, is the value it creates far less than its destructive power?" Chen Yizhe smiled after finishing speaking, "Don't look at my investment in this subprime mortgage. So much because I've always been negative and pessimistic about modern financial markets!"

Paulson disagrees with Chen Yizhe's view that the current finance does not create real value. Paulson said, "First of all, it needs to be clear that finance can create real value. When it comes to finance, we have to talk about it. When it comes to money, the category of finance can broadly include every link in the process from issuance to circulation of money."

Paulson went on to explain, "Your misunderstanding of financial 'virtual' is often caused by the properties of credit currency itself. In economics, currency is a special commodity. The difference between currency and other physical commodities is that Money has no use value. So finance does not appear to be a commodity or item that can be used, just because the value created by finance is not as intuitively felt as the value of other commodities.”

"This is what I want to say, the current monetary system is actually a backward system, and reflected in the financial market based on the monetary system, it can only be a product that is very 'nothing' like a bubble!"

In Chen Yizhe's view, in the near future, the monetary system will be restructured.

"Then what kind of currency do you think modern human society should use? Gold? Although gold is a natural currency, the quantity of gold cannot meet the commodity trading volume of the industrial society. It must be used as currency, which will inevitably lead to deflation. The reason for the collapse of the Don Woods system," Paulson said.

"I think modern information technology can be used to design currencies with more advanced concepts." Seeing Paulson want to speak, Chen Yizhe gestured, "Listen to me first, paper money is more expensive than money like gold. Advanced, it reduces the transaction cost of the whole society, avoids deflation, and encourages social manufacturing and innovation. However, today's information technology has positively transformed paper money, and today's online banking, paypal and other payment systems make transactions not 'Paper' is needed, and it is foreseeable that in the future issuance of banknotes, no 'paper' is an inevitable direction, which means that the cost of manufacturing and storage is extremely low, which greatly reduces transaction costs."

"I said this, do you agree?" Chen Yizhe asked.

Paulson pondered for dozens of seconds, then said, "You continue!"

"Not to mention other things, even the currency system that originated from national credit is actually very controversial. The core of the dispute is the amount of issuance. Insufficient currency issuance means deflation, and excessive currency issuance will lead to inflation. In essence, the paper currency issuance system is a planned economic system, where the government monopolizes the right to issue currency, and the efficiency of the planned economy is generally believed to be lower than that of the market economic system in mainstream economics viewpoints.”

After Chen Yizhe said this, he immediately thought of next year's 4 trillion yuan. Once the country's currency of 4 trillion yuan was issued, the money in the hands of ordinary people did not know how much depreciation. Originally, the 4 trillion yuan was intended to promote the economy, but I didn’t expect it to be an economic promotion method such as pulling real estate. The upper-class people could easily get money, and more people would have to cut the money after the devaluation of the money. wool! The injustice of the society can be seen here!

When Chen Yizhe said this, Paulson reacted, "How does the currency issuance system realize a market economic system?"

"Have you read The Denationalization of Money by the economist Hayek?"

"Do you agree with Hayek's idea?" Paulson looked at Chen Yizhe in surprise.

In Hayek's vision, he proposed to let private institutions issue currency, and then these currencies compete in the free market, and the fittest survive, thus ensuring the efficiency of the currency system. "

"Yes, this idea was almost impossible to achieve in the past, because there is no standard and comprehensive measure of the credit of individuals or companies. The reason why the paper money issued by the state can replace gold is because the state Credit plays a decisive role. Credit is the core of the advanced monetary system. The credit of gold lies in its difficulty in manufacturing, and the credit of paper money lies in national assets. So how to establish the credit of the private currency system? Things that were impossible in the past will be With the development of information technology, it has gradually become possible.”

"You guys in finance must be very important to data, right? If in the near future, with the development of the information age, the behavior of social individuals will be comprehensively counted, including your income, your consumption, and your body. The situation may become part of the calculation of your credit value in the future. Isn’t the credit of these workers actually a common currency?”

“And today, there are already some products that are candidates for private currency. For example, stocks, we know that any listed company has to fulfill the responsibility of publicly disclosing company information, and investors use this information to decide what price to buy this company at. The company's stock. The value of these companies comes from everyone's understanding of it. It is this information that allows us to recognize the company's credit, so many times, stocks can be used as a currency for trading. That is common stock exchange."

"In the future, individuals or companies can issue currency for trading~www.novelbuddy.com~ for development. Banks and securities companies may cease to exist, and instead some credit data statistical analysis companies, credit investment Guarantee companies, private coin issuers to exercise their traditional role.”

For example, the popular Bitcoin in the future will make the world look at it, and mainstream regulatory agencies in various countries have adopted an attitude of not supporting and not severely suppressing it. And the economics community has launched a protracted debate over it. Opponents see it as a "tulip bubble" and a "side-the-side scam", while supporters see it as "electronic gold", which is far more fair than government-issued currency.

Looking at Paulson's thoughtful look, Chen Yizhe didn't know how much the other party could agree with.

However, in Chen Yizhe's own mind, in fact, his ideas are more radical than what he said. What he said above will realize the survival of the fittest in currency, and there will probably still be a currency in the end. And create a monetary system, or a credit system, for the entire society.

To put it simply, the total credit value of the society is 100. A produces an item. After the calculation of the apocalypse, the value of this item is 2, but he also consumes items with a value of 1. The social credit of the society The total output value increases to 101. Even if A later sells the new item to a higher credit value, the actual total credit output value of its society is still the previous figure.

Of course, the actual calculation is even more complicated. For example, if the same commodity is produced too much, its value will inevitably decline, otherwise it will rise. The total output value of the society is beating every minute. Therefore, this Apocalypse is required to have more powerful factual control and calculation capabilities.