The rapid rise of the digital economy has baffled many and yet has made equally many internet millionaires as quickly as it swept across global economies. Governments of the world can’t contain it nor can any single nation fundamentalize it. So much so that digital capitalism now secures its own intangible non-physical currency that is traded digitally, either through crypto currencies or global-collective funds, across billions of subscribers all wanting a share in this disruptive market. Herald by many free market economists, digital capitalism seemed like the economy for all without the constraints of traditional banking and legal systems. But is it really the hero everyone has been looking up to under the cape?
Vice is the New Norm
Many people may not realise that most of the digital monies made up for digital capitalist traded crypto currencies are mostly funded by underground mafia and vice groups seeking new ways to syphon or launder physical monies into digital and back. New digital shop fronts or fake internet businesses are formed up to pump funds into digital currencies through individuals to escape the scrutiny of banks and monetary authorities under the traditional banking systems. Beneficiaries who tapped into the wealth of these digitally traded currencies care less of where the monies actually come from, making vice activities thrive openly with the channeling of new monies. This further encourages and emboldens the vice activities in many countries around the world so much so that it becomes the catalyst that spurs the local economies of each country through increased spending and consumption. Thus vice is the new norm in most societies so long as they pay the rent and wages of locals for locals.
Pseudo Gross Domestic Product (GDP)
The digital capitalist economy is so great that every country’s government becomes extremely cautious as its value in its entirety is more than most country’s national reserves. A currency with no nation and no physical denomination is traded digitally across billions in unmarked or unregulated markets across the globe and proves to have a GDP ratio unsurpassed by any hard thriving nation of the world. Imagine the extremely unfavourable exchange rates if a country should accept or adopt such digital currencies.
Digital capitalist economies have no international or global digital regulators to oversee them nor legislate them. Hence their appraised values are highly contentious and contradicting as they are traded in unregulated market environments with no financier or guarantor to their values. Some of these digital currencies collapse overnight causing widespread losses and panic across the globe over the security of such digital economies which still affect major banks and financial institutions in the physical realm.
In my opinion, although digital capitalism is a new intangible disruptive economy in our lifetime, there may however be many more paradoxes behind its yield and its pseudo appeal.
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Categories: Digital Media