NEW YORK and ST PETER PORT, Guernsey, Oct. 08, 2021 (GLOBE NEWSWIRE) -- In response to multiple enquiries received by Webtel.mobi (“WM”) regarding its TUV Digital Currency and its relationship to Cryptocurrencies, the following clarification on the differences between Cryptocurrencies and the TUV Digital Currency, has been provided by WM.
Cryptocurrencies
Cryptocurrencies are not currencies in anything but name. Rather, they are Retail Speculative Commodities.
That is, they are Retail Commodities with no inherent value at all in, and of, themselves, other than a perception, among a limited group of adherents, that they have value (i.e., like the stamp-swapping market).
For Commodities with a baseline characteristic that their inherent value is zero; as soon as the perception of their value fails (due to regulatory requirements or introduction of a product that cancels out their perceived utility) their value returns to zero.
They are Speculative because they are, chiefly, acquired by persons with the hope their value will increase, and people will make money from them. However, as to where the value lies – it should be noted that speculative acquisition of Cryptocurrencies is not predicated upon how much more (crypto)coins one will gain from a rise price rise – but by how many dollars one will gain from a price rise. That is, even their adherents use Cryptocurrencies as a way to gain more money – which they see as the ultimate store of value.
The establishment of the price or value of Cryptocurrencies is driven solely by the fact there will only ever be a limited number of coins “mined” (made). This is the pure application of the principle of “Artificial Scarcity”. Artificial Scarcity is a term denoting specific characteristics – the details of which can be found online (or in the ‘Resources’ section of this article).
The variation in speculative value is driven by application of the principle of “Artificial Demand” – also a term denoting specific characteristics that can be found in an online search (or also in the ‘Resources’ section of this article). That is, its rise or fall in value is due (primarily) to media exposure usually geared towards advertising the potential for, and of, the gain of more money by speculative means – not due to any inherent quality of use or utility.
Due to the very principle that causes their perception of value to arise. (Artificial Scarcity), Cryptocurrencies can never be used in anything other than a limited “collectors” market.
As an example, if one takes the most successful Cryptocurrency that exists, applies a generous stable value to its total coin value – from the very first one of its coins mined to the very last one in its limited range – of USD 50 000.00, due to the limited number that will ever be “mined” (made), the total value of all of these coins in circulation will only be just over USD 1 Trillion (and, to be generous, one can even double, triple or multiply that number times 10).
However, just the annual settlement requirements in Gross Payments for Global FX requires a currency pool of USD 4 862 Trillion – and there are several markets that have a similar or larger annual volume.
This example demonstrates that the total value that can ever exist of the total number of (artificially made scarce) Cryptocurrency coins in circulation is so tiny and miniscule in comparison, that the market for Cryptocurrencies can never even be considered as being anything other than that which it is.
That is, a limited market of collectors and speculators, who have an interest in speculating – whether it be in the production / marketing / transactions / sale / acquisition roles - with a specific Retail Speculative Commodity – whether that commodity be stamps, Cryptocurrencies or any of the various and multiple other such items that are held as being of value by adherents.
To its adherents and those who engage in speculative trading with it, a Cryptocurrency’s perceived value will be X – until the perception of its value is lost, whereupon it baseline value will return to zero. Outside of the circle of adherents and speculators, its value will always be zero.
WM’s TUV Digital Currency
WM’s TUV Digital Currency is not itself a Digital Currency. It is rather a Digital vehicle for any currency or currencies.
The TUV itself is an instrument that digitally represents the value in a specific currency, of which 100% reserves of that specific currency are held in a regulated bank account.
The currency of which the TUV represents value can be converted to any other currency – whereupon the TUV will be the Digital vehicle for the currency and value that it has been converted to.
Consequently, a TUV is, simultaneously:
- Not a de-jure currency.
- Is equal to the specific currency that it holds the value for.
- Can be converted to any World Reserve Currency or other WM Platform currency.
As such, it is none of, any of and all of the World Reserve Currencies and WM Platform Currencies, all at the same time.
More details of the TUV’s characteristics can be viewed from the “TUV Characteristics” link in the Resources Section of this article. However, a brief top-level view of some of the characteristics of the TUV Digital Currency – and its differences to a Cryptocurrency – is listed below:’
- The company providing the TUV – and the TUV – function from within the telephony regulatory environment, with the TUV being a dual-use Telephony-Support product, the added functionality of which is brought about by the Artificial Intelligence Complex Adaptive System that powers the WM Platform.
- The TUV is not a speculative instrument – rather a 100%-backed Digital representation of the currency for which it is valid.
- The currency reserves that back a TUV can be refunded on demand to the regulated bank account of its owner (subject to standard international KYC and AML requirements) for the provision of source of funds / transaction type if the owner received a TUV in a transfer as opposed to loading the funds (“Stored Credit” for it himself / herself).
- A TUV is a Digital Currency equivalent providing global transferability, acceptability, redeemability, convertibility between currencies, convertibility back to its value currency and all other characteristics of currency or money.
- A TUV possesses the utility and ease of use of both cash and digital currency combined, while having security, usability, transferability, and other characteristics that are superior to both cash and digital currency.
- A TUV permanently retains its stable value in respect of the currency that it is valued in, and provides a hedge against currency depreciation or inflation due to it being able to be converted to another currency at any time.
- A TUV is free to acquire and to utilize.
- In the near future, the Secured (gold-backed) TUVs will be able to be redeemed either for the amount of currency for which they are valued, or by the physical gold which they are backed by (details of the Secured TUV are in the resources section of this article).
In Summary, a TUV Digital Currency bears no resemblance to or relationship with a Cryptocurrency – other than the basic elements of Cryptocurrency Blockchain, Distributed Ledger and Private Keys are also part of the TUVs’ security structures. However, these three elements are – for the TUV – very basic security elements, and are far surpassed by dozens of personal, system, processes, and other additional security and structural attributes.
Resources:
Media Contact:
Nick Lambert: wm@thoburns.com
Overview of the principle of “Artificial Scarcity”:
https://en.wikipedia.org/wiki/Artificial_scarcity
Overview of the principle of “Artificial Demand”:
https://en.wikipedia.org/wiki/Artificial_demand
Characteristics of WM’s TUV Digital Currency:
https://webtel.mobi/info/tuv-characteristics/
Information on WM’s “Secured TUV” Digital Currency:
https://webtel.mobi/info/my-secured-tuvs/
Information on WM’s “Smart TUV” Digital Currency:
https://webtel.mobi/info/my-smart-tuvs/
Video on the Capacities of the WM System:
https://youtu.be/XYBrCikUhn8
Research Reports on the Capacities of the WM System:
https://tinyurl.com/TUVresearch
WM’s urls:
https://webtel.mobi/pc (Tablets / Laptops / Desktops)
https://webtel.mobi (Smart Phones)
https://webtel.mobi/wap (Pre-Smart Mobile Phones)
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/d2430ed5-d51a-4706-92cf-4c762e488b47
The photo is also available at Newscom, www.newscom.com, and via AP PhotoExpress.
