This week Adam Draper of BoostVC jokingly (I think) wrote a post on Medium announcing the acceptance of Greece into Boost VC’s next accelerator intake. For the uninitiated, Boost VC is a Bitcoin (and now VR/AR) focused accelerator.
In spite of the fact that the post is a humorous piece, that might drum up a few more applications for Boost’s next accelerator intake, Draper makes a very interesting comment about Greece’s probable reversion back to the Drachma. He notes:
“Going back to the Drachma would be like me switching back to Windows 95.”
At its core the comment picks up on the idea that we now have a better financial technology stack that can be deployed anytime, anywhere yet when it comes to fiscal structure we have a reversionary default solution set that we continue to rely on.
Just to be clear, I don’t think Greece’s economic woes will be solved by switching to bitcoin (or some other digital currency). Further, practically, taking on a fixed money supply poses a real problem for policy makers looking to execute on fiscal or monetary policy. Having said this, it is an interesting thought experiment to imagine what opportunities might arise if a country did decide to rebuild its fiscal base around a digital currency.
More than anything else the switch could produce a round of really fascinating secondary effects. For example, how would switching to a digital currency change the idea of value in a country? How might labour markets look if, baked into the currency system, there existed a way to pay employees in a highly granular way? What new industries would seek to take advantage of a ‘digital currency first’ economy? Although only a thought experiment, it would be a highly interesting one if it ever came to fruition.
In any case, good luck Greece and I hope to hear about your pitch at the next Boost demo day!