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What exactly is a digital pound?
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MarkSp
Posted: 11 February 2023 08:54:11(UTC)
#33

Joined: 02/02/2020(UTC)
Posts: 2,199
I have been involved in a digital currency project for another country

It was primarily targeted at central bank, interbank and international trade with closer trading partners. It was also seen as a "prestige" project.

It doesn't touch retail at all except it is used to clear credit/debit card payments.
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Mostly Rational
Posted: 11 February 2023 10:29:43(UTC)
#26

Joined: 09/11/2021(UTC)
Posts: 312

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ANDREW FOSTER;257155 wrote:
OK, correct me if I'm wrong but all 'Digital Pounds' would have a unique identifier, like individual Bitcoins.


I can't comment on how a digital pound would work because it hasn't been designed yet but I can correct you on bitcoin.

Bitcoins don't have unique identifiers; there's not even such a thing as an "individual bitcoin". Satoshi also do not have unique identifiers, it's just the system's accounting unit.

The only unique identifiers in the system are called "addresses" but they're account numbers. Being a decentralised system, you do not have to open an account with any entity, you just compute a key pair. The public key is your account number, the private key is used to sign transactions from that account.

Transactions are a list of inputs (debits) and outputs (credits), which must be digitally signed with the private keys of all input accounts and satisfy outputs >= inputs in order to be valid.

Blocks in the blockchain contain a list of these transactions. The person who computed the block includes a special transaction transferring the block reward and fees (outputs - inputs) to accounts of their choosing. Blocks also require proof that you have burned trees until you found a winning lottery ticket in the ashes to be valid.

None of this is a model for how a CBDC should work, bitcoin was designed by an anarchist.
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3 users thanked Mostly Rational for this post.
ANDREW FOSTER on 11/02/2023(UTC), Tim D on 12/02/2023(UTC), Newbie on 12/02/2023(UTC)
ANDREW FOSTER
Posted: 11 February 2023 10:48:39(UTC)
#27

Joined: 23/07/2019(UTC)
Posts: 8,126
Mostly Rational;257223 wrote:
ANDREW FOSTER;257155 wrote:
OK, correct me if I'm wrong but all 'Digital Pounds' would have a unique identifier, like individual Bitcoins.


I can't comment on how a digital pound would work because it hasn't been designed yet but I can correct you on bitcoin.

Bitcoins don't have unique identifiers; there's not even such a thing as an "individual bitcoin". Satoshi also do not have unique identifiers, it's just the system's accounting unit.

The only unique identifiers in the system are called "addresses" but they're account numbers. Being a decentralised system, you do not have to open an account with any entity, you just compute a key pair. The public key is your account number, the private key is used to sign transactions from that account.

Transactions are a list of inputs (debits) and outputs (credits), which must be digitally signed with the private keys of all input accounts and satisfy outputs >= inputs in order to be valid.

Blocks in the blockchain contain a list of these transactions. The person who computed the block includes a special transaction transferring the block reward and fees (outputs - inputs) to accounts of their choosing. Blocks also require proof that you have burned trees until you found a winning lottery ticket in the ashes to be valid.

None of this is a model for how a CBDC should work, bitcoin was designed by an anarchist.


OK thanks for that, very helpful indeed.

I guess this differs from an NFT.
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hassanizhar hassanizhar
Posted: 20 February 2023 13:47:56(UTC)
#34

Joined: 25/01/2023(UTC)
Posts: 4
it's possible that the announcement in the House of Commons was related to a new policy or initiative related to digital payments or financial technology.

As for the Fire and Rescue Service member found dead in the River Irwell, it is a tragic incident that occurred in 2022, as you mentioned earlier. It is important to remember and honor the bravery and sacrifice of those who serve their communities as firefighters and first responders.
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