Exchange Rate

A Stable Store of Value


GlobalChange is intentionally designed to be a stable store of value.

It is hard to store value into the future. What sort of thing can you maintain control of that will be intrinsically valuable to future humanity for trades in the future? It is not an easy question, and there is probably not a single answer. Keep dollar bills under your mattress? Fire might come; someone might steal them. Store money in a vault? You have to pay rent and upkeep for the vault; you might have to move. Store gold instead? It's heavy; still someone might steal it; and maybe in a hundred years people don't care about gold. Keep money in a bank? The bank might default. Keep a stash of medicine buried in a secret place; or cigarettes? There is no single answer. It's a hard problem; and GlobalChange tries to be one of the solutions.

GlobalChange is, first, linked to 2021 US dollars, as a starting place.

The Consumer Price Index (CPI) tracks how many dollars it costs to buy a certain fixed "basket" of stuff. Like, some eggs, a phone line, and fifteen washcloths. How many dollars did that fixed basket cost in 1998; in 2000; in 2021; etc. It used to be less, but currently, the fixed basket costs $270USD. This amount of money can also get you $270GC in GlobalChange tokens. GlobalChange will seek to keep this value the same going into the future: the amount of dollars it costs to buy the fixed basket of stuff will get you $270GC in GC tokens.

When you donate money to charity, GC will give you U.S. CPI/270 GC tokens for every dollar you donate. In 2021, that means donate a dollar, get $1GC in GC tokens  In the future, if there is fiat inflation reflected in the CPI, it would cost you more USD to buy $1GC in tokens; and if there is fiat deflation then you can get $1GC for less than $1USD.

Unlike other cryptocurrencies, there is a natural cap on price for getting new GC tokens; one might not expect to speculate or profit from a bubble. 

If you buy "Crash insurance," then your donation to a charity becomes an offer of a loan, and you receive a coupon that cryptographically permits you to burn your GC tokens at the end of the loan and withdraw your original amount of fiat from a central liquidity pool that charities repay into. (Coupon redemptions will be at the initial exchange rate at the start of the loan and will not account for CPI.)

Without a coupon, the network will also give you fiat for your GC at the current exchange rate based on CPI, to the extent the network has fiat available. If fiat is not currently available, you can enter a queue to receive fiat when it becomes available. Available fiat may come from loans that are returned but not redeemed by coupon-holders, loans that are offered to charities but not accepted, the 5% premium coupon-holders paid, any other forms of network profit that evolve as the system is developed, and interest generated on all of these. 

GC tokens with a face value are not an investment, meaning not a means for seeking profit, exactly. GC is first and foremost a currency, designed to be widely adoptable and usable as a means to store and transfer value. After you've swapped fiat for GC, then if you want you can take your new currency and do what you want with it, including invest it - loan it out for interest; whatever. 

Imagine you took a dollar bill - with its unique serial number - and provably destroyed it, and in respect of that act you were granted an NFT with a face value of "1" and that same serial number. You would have digitized your cash, for quick and easy transfer to people locally and internationally. You would not expect your digital cash to be worth more, or less, than its face value; that would not be the goal of the exercise. You might expect your digital cash to be more useful than paper money, for certain purposes. Forcing the cost (destroying the money) helps the digital cash retain value; it cost something, you cannot mint just as much of it as you like; etc.

GC does something similar, but instead of probably destroying your money, you provably send it away, sacrifice it - to charity. You get a tradeable token of equal face value in return. The sacrifice is essential to the psychology of the system, but instead of destruction, sending to charity works just as well; the fiat just has to go away from its owner as an "honest cost." 

If you want to speculate on digital currency, GC also lets you do that, through the unique artistic aspect of its tokens. Tokens have face values and work as described above, but also specific charities can let tokens issued in their honor include unique or limited-edition art. 

Finally, note that throughout this webpage, nothing is for sale; GlobalChange is not seeking money or donations; and GC tokens are not intended as a mechanism for profit or speculation on a bubble. This webpage presents a concept: if this currency were adopted by people, the people who adopt it would benefit. They would have a stable, tradeable, widely recognizable, and highly usable cryptocurrency, with low risk (especially if they buy the crash insurance). It's a great way to do crypto; and fun, with the individual NFT-like tokens with artwork. And the world would benefit, because nonprofit charities would have use of the fiat that the people swap away when they adopt the GC currency.
Imagine a website that describes blueprints for a vending machine that sits in the desert, extracts water from the air, and once built would mechanically and automatically vends water to anyone who puts in a quarter. It would also automatically give quarters back to anyone who pours water into itself, filling its reservoirs. The owner of the website is not selling water, and potentially neither is whoever built the machine.
Though it is also very easy for builders to engineer ways to receive some of the money for themselves, which would be only fair as it takes some work to build in the first place. (Specifically, I'd say it would be fair for builders of a GC network to self-issue 21 million GC, to become active when the network has generated that same amount of donations to charities). I'm here to help if I can, but I am not selling anything and I am not seeking donations. I am describing a self-running machine that, if built, works to good purpose for the people involved in using it. I'd be happy to help coordinate programmers, artists, nonprofits, and anyone who is interested in getting this going. I'll certainly list on this website any built network that meets the description of the system described in this website!
Get in touch!