As with Bitcoin, the user would only have to trust the currency system itself.
Because the SDR's value depends on several currencies, it shares many of the benefits of a multiple-currency system.
Recently, there have been speculations that Greece might exit the Euro currency system.
The frustrations of many Habaneros are symbolized by the country's dual currency system.
In this vein, let us remember that a national gold standard is still a fiat currency system, and fiat systems are immoral.
Eventually such an arrangement must surely break down, bringing a new currency system into being, just as Bretton Woods emerged in the 1940s.
With this in mind, the Maastricht Treaty delineated what those limits are if a country wishes to be part of the Euro currency system.
U.S. Treasury Secretary Timothy Geithner will reportedly testify before a congressional committee on Thursday that China has been too slow to reform its currency system.
The traditional dollar-based world currency system is now close to breaking point and the chances that it will come crashing down by 2016 are probably higher than fifty-fifty.
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And though Facebook takes a cut of the virtual currency pie, Credits evangelists like CrowdStar say that using the unified virtual currency system has translated into increased overall sales.
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He also said international economists believe that in the next few years the dollar will cease to dominate the global monetary system, which will help promote a multi-currency system.
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Under a dual-currency system, member countries would continue to enjoy the benefits of the euro while increasing their maneuvering space to drive monetary and fiscal policy on a local basis.
Remember that even under a government monopoly currency system, money is still created not by government, but by financial institutions, which bring dollars into existence through the act of extending credit.
The renminbi might well make a fine regional reserve currency, but the global reserve currency system is likely to gravitate towards a combination of gold, dollar, yen, renminbi and perhaps even oil.
The country's currency system goes back many years, and was imposed at a time when the government wanted to exert more control over the economy amid an unsuccessful bid to introduce socialist policies.
Many economists in the region argue for a more flexible currency system, starting with a Kuwait-style currency basket, so interest rates can reflect the realities of a region with a very different economy from America's.
Despite the success of the euro, which has been worth more than the dollar ever since the U.S. economy busted in 2001, there's no real plan afoot to put the world on a one-currency system.
Krugman and much of the left are content to lean on QE2 to deliver the next bubble without high inflation, an outcome they have been able to secure repeatedly in the paper dollar reserve currency system.
This dual-currency system would help circumvent the structural weaknesses that will remain and that will cause more zone-wide economic crises in the future even if the ECB somehow manages to alleviate the debt crisis in the short term.
How could a PhD in economics think that a Keynesian currency system that has failed so badly in the real world be the desired path for currencies like WoW Gold and EVE Online ISK in the virtual world?
Even as the crisis was still raging, in March 2009, Zhou Xiaochuan, the governor of the People's Bank of China started to talk about moving to a different kind of international currency system, with better alternatives to the dollar.
Goolsbee, along with dogmatic reactionaries such as Paul Krugman, studiously ignore the implications of the utterly damning critique of the fiduciary currency system by The Bank of England last December in its paper titled Reform of the International Financial System.
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The currency system has become increasingly untenable over the past year as Myanmar, a nation of about 60 million people, embarked on an economic overhaul aimed at attracting more foreign capital and modernizing its economy, which still doesn't widely use ATMs or credit cards.
Promptly gold reassumed its primacy of place in the U.S. currency system, and for the next 17-year run, till 1913 and the creation of the Federal Reserve, growth was 3.4% per year. 5.5% for pushing two decades, then 3.4% for pushing two decades, under gold auspices: these are the statistics of not merely success, but the most phenomenal push into mass prosperity that the world had ever seen.
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Purchases could be paid for with Facebook Credits, the virtual currency payment system Facebook introduced in 2009, added Serbinis.
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What about China and Hong Kong, where the currencies are pegged to the dollar through a managed float and currency board system, respectively?
Card says the company could eventually incorporate its own currency into the system--think Google Money.
Here are some interesting statistics from Social Gold, a virtual currency and payments system for social games and applications.
The Bulgarian lev is reliably linked to the euro via a currency-board system.
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With the bank run draining reserves, Uruguay was forced last month to abandon its currency-band system and let its peso sink freely.
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