Q. Is taxcoin a cryptocurrency?
bitcoin is made out of bits
goldcoin is made out of gold
taxcoin out of tax
Q. Why link money creation to tax?
A. tax is an effective and robust commodity of known value governments and individuals may calculate the exact amount of tax paid or received
Q. What currency is taxcoin?
A. taxcoin is created in the local currency
Q. Is there a maximum quantity / value for taxcoin?
A. taxcoin is linked to the tax revenue and payment system the maximum would be decided by the central bank and government using inflation growth targets and an applied multiple at specific tax thresholds
Q. What are tax thresholds?
A. tax thresholds are levels of tax for example an individual may have a tax threshold of $10,000 and a corporation $10million the multiple limits the debt exposure at a given tax threshold
Q. What is taxcoin?
A. taxcoin is a sovereign money system linked to the tax system
Q. How much is taxcoin worth?
A. taxcoin is a local currency so if it is US dollars it will have an equal value
Q. Who is a taxcoin system for?
A. The population government central banks it is an alternative to fiat money
Q. How is taxcoin created?
A. taxcoin may be created by commercial banks and central banks when a loan is made
Q. How is taxcoin different to fiat money?
A. Fiat money is created through the bank systems appetite for risk taxcoin is linked to the tax system
Q. Is taxcoin 1 for 1 money creation?
A. taxcoin would typically be a delta of the tax having the potential to be a different delta at specific tax threshold
Q. is taxcoin more stable than fiat money?
A. theoretically yes as it is linked to tax (a stable commodity) similar to crypto currency there is a maximum tax value for individuals and government
Q. why link money creation to the tax system?
A. i. tax is a resource to the local financial system
ii. a circular financial system revolves around debt money creation taxation
iii. the tax system insures the financial system via bailout for banks
Q. what else is required in a taxcoin system?
A. much the same as a fiat money system inflation demand and legal status
Q. how is taxcoin more stable?
A. a taxcoin money creation system relies on the stability of the tax system where there was once the gold standard and then fiat money linked to risk appetite taxcoin is linked to the tax system
Q. how does it work in practice?
A. taxcoin is a framework / tool the structure is defined by government in conjunction with the central bank inflation targets and desired distribution of debt through the economy
Q. does ability to service the debt remain a factor?
A. yes as with any other money system ability to service debt remains a deciding factor in the granting of a loan
Q. would taxcoin replace fiat money?
A. it could work in parallel with fiat money as a parallel currency though it is more likely that over time the taxcoin system would replace a fiat money system due to systemic stability benefits and improved debt distribution
Q. is taxcoin suitable for the creation of a new economy and currency ?
A. yes a taxcoin system would be perfect for the creation of a stable new financial system
Q. How does it work in a zero tax economy?
A. Is there such a thing as a 100% tax free economy Government infrastructure and legal system will be paid for via state taxes or tax on goods and corporations will be taxed even if individuals are not the government will have tax revenues.