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Amazon Launches its own Currency to Compete with The Fed

This month, Amazon launched its own coins — a virtual currency that can be used to buy stuff for your Kindle tablet. It is a very tentative move to start with: more like loyalty points on a reward card than actual cash. But every river needs to start with a spring — and with the web’s mightiest retailer behind it the coins could grow into something significant.

If so, Amazon coins will be far from alone. The virtual web currency BitCoin has already attracted a huge amount of publicity — and is steadily gaining in both circulation and value. After a crash last year — regrettably virtual currencies are just as prone to booms and busts as the real sort — it has steadied at around $25 and has gained acceptance.

There are virtual currencies swapped on games such as Second Life and Farmville that may one day escape into the real world. At the time of the launch of the iPhone 5, there was speculation that Apple AAPL +0.02% would include a banking function, and perhaps even a currency — an iCoin would, of course, be much the same as everyone else’s money except twice as expensive and really cool to look at.

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I like it.

Kinda like virtual Chuck E. Cheese coins... Totally the way forward.

End The Fed!
BTC: 1A3JAJwLVG2pz8GLfdgWhcePMtc3ozgWtz


Bitcoin to Amazon's new "currency" or other virtual currencies like e-Gold, or Second Life's Linden dollars is like comparing gold to gold paint.

Sure, some people might value gold paint and use it on certain things, but it's unlikely to ever have widespread monetary value like gold has. The reason is anyone can create gold paint, there is no limit to how much they create, and the creation of it is done centrally. If a government wanted to clamp down and stop them manufacturing the gold paint they could do so since they know where to find them. This is why eGold and Liberty Dollar got stopped by the Feds.

Gold on the other hand is not centrally controlled. The value it has can't be squashed out by any government because people all over the world will still value it. Bitcoin is similar to gold this way. Note I didn't say Bitcoin is gold. I'm saying it has similar properties to it (by not being centralized) unlike other centrally made currencies.