CRYPTOCURRENCY, MINING, BLOCKCHAIN, DIGITAL SHARING ECONOMY FOR DUMMIES?

Many people are asking me to make my explanation simpler about cryptocurrency, blockchain, mining, digital sharing economy etc.

So, let me connect the "dots" for you - ABCD. Remember the word "cashless"?

Let's take an example : Grab (Please be reminded that I am simply quoting an example. It is not in any way imply that they are into blockchain and cryptocurrency - so don't sue me please :-) )

Let's say you pay for their services via Grab Pay, Grab Credits or Cash.

Paying = mining

You'll get back a certain amount of points - Digital Sharing (Economy)

Points = cryptocurrency

Cryptocurrency can be redeemable for discounted rides, buying food, delivery services etc.

When you redeem = payment from an e-wallet to e-wallet

Blockchain = is where the Grab app is placed, where all transactions are done - very high traffic and volume

Example no. 2 :

Touch and Go E-Wallet - linked to your Touch and Go Card and other services like RFID (Please be reminded that I am simply quoting an example. It is not in any way imply that they are into blockchain and cryptocurrency - so don't sue me please :-) )

You topup your Touch & Go e-wallet - what you have topped up is no longer deemed as cash - it is made to look like cash (psychologically speaking)

You purchase using QR code of Touch and Go E-Wallet - scan it and you bought the goods.

Your purchase = mining

You get a certain amount of cashback having done purchasing - Digital Sharing (Economy)

Blockchain= is where the Touch and Go E-Wallet app is located, high turnover. QR code IS related to en"crypt" (crypto) and blockchain.

As long as there is a win-win situation - whether you use your petrol card to redeem certain goods - it's known as "Digital Sharing" (and updated on your phone apps) - used to be known as "timeshare". Now even Timeshare is being absorbed into Digital Sharing Economy.

BUT - if you only or still on "sell-buy, buy-sell" concept of business - or having a beautiful website or apps - but you are still on the buying-selling basis - this is NOT Digital Sharing Economy - this is "Consumption Economy". Consumption economy will eventually make your business DIE!

It's what I called in the late 90s as "brick and mortar" business at the beginning stage of e-commerce despite it has a B2B or B2C. If the potential customer walks up to you and asked you, what do I get back by downloading your app? You said "nothing", you will loose your customer!!!

I haven't mention the impacts of doing business in the "Red Ocean" - not yet - if I am to touch on this issue - coupled with our lack of understanding on "cashless" or "digital sharing" or microentrepreneurs*, hmmmm. *It's not limited to RM200,000.00 turnover of sales with 5 workers, but it's MORE than that.

(personal note : Angry because of the extra RM2.00 charges for cash transactions on the bank counter? Ever wonder why than simply being angry without any proof to substantiate your agreement? Do you know what would be the impact on our currency whenever there is a US-China Trade Wars? So... READ and most important UNDERSTAND before you REACT. So, why do you think "cashless" is very important? How would it save economy?)

NO-DEAL BREXIT – SERIOUSLY? A brief overview by Nik Zafri

I don’t think an advanced nation such as Britain will agree to this proposal. Unless Britain has already an extremely efficient master post-Brexit plan that I may not be aware of. I always hold to the principle that we “don’t solve a problem with a bigger problem”.

What I see as a layman, the future exports from Britain to the EU will be greatly affected – tax, tariffs, customs, restriction etc. everywhere. What impacts it will have on the businesses, demand and supply, law, rules and regulations, political scenario, transportation network, Immigration and so on. I can't imagine the heaviest impact on the people...it will be hard if this "NO-DEAL" proposal is approved (which I doubt it)

Imagine Britons living in the EU countries? Will there be a mass migration? How about EU citizens in the UK?

I read with interest an article written by Anand Menon published in the Guardian, among others :

a) losing access to EU database
b) losing other forms of cooperation such as European arrest warrant, Schengen Information System and Europol.

He said further : This will hinder policing and security operations in a world where data is key to solving crime. Nor is it inconceivable, say, that we will witness a rise in organised criminal activity, as gangs seek to profit from this disruption.

I do believe that Britain will get through this but it may be time consuming to adapt to the new scenario of being a stranger in the European Union. There may be a significant fall in the per-capita income (Quoting Menon : 3.5% and 8.7%)

So what now? A “Divorce” bill without grace period of transition? Or will there be a grace period for smooth transitioning. Or perhaps a new set of rules will be imposed by the UK in the trade relation to the EU Countries?

It’s too early to tell.