Background

Bitcoin initially started as an alternative to the traditional financial system. Conventional economic systems use FIAT currencies (US Dollar $, EURO €) as the core medium and means of exchange against values/goods or services. However, cryptocurrencies and digital assets (for example, Bitcoin) have become a tool for speculative investment rather than a medium of exchange and store of value (due to their high volatility).

Since the 2008 financial crisis, the world has been seeking a new economic model, where the authority of financial control is taken from centralized financial institutions and returned to the masses. Satoshi Nakamoto (a pseudonymous name for a developer or group of developers) proposed Bitcoin in 2008. His vision was to create a decentralized financial instrument that would enable peer-to-peer exchanges of cash.

In this, Bitcoin's blockchain technology solves the problems of double-spending with a proof-of- work model. In the proof-of-work model, the system distributes incentives to participants (miners) who participate in securing trusted transactions in the form of mining. As a result, this leads the world to create the first cryptocurrency ecosystem where users can conduct everyday transactions peer-to-peer without worrying about centralized authorities controlling their finances.

The concept of decentralized management, supported by immutability and transparency, is an outstanding achievement of Bitcoin. However, because Bitcoin and most cryptocurrencies have no inherent value, they are highly volatile and susceptible to market manipulation56789, and thus, do not fulfill the essential purpose of their existence, which is to serve as a medium of exchange and store of value. We present a contemporary solution to such problems in the form of a TMN Global Ecosystem.