neo, not one article, but many, so much diamond, so much ruby, so much gold etc, gives a rough average that is all, gold goes up copper goes down, does not have to even out perfectly, but does not depend on anyone ‘commodity’.
Gold is appreciating because people are hedging with it, but iron is dropping because manufacturing is declining. The various amounts of different commodities makes the average value. The national currencies have relative exchange-values so many yen for a dollar. Any convenient currency within the basket, USD or Yuan does not matter, they give a figure that can be related to every other currency and produce a table of proportional relationships — so much USD is worth so much AUD (any currency can be used and the relative value translated into the currency of the buyer).
I set the ebook price at 2.5 pc, it is that virtually forever. it will rise and fall in relatively around the same value, so long as the basket of commodities is large and diverse.
I see the price in Australia as
The Book of the Dead 2.5 pc 5 Sc, AUD$3.15
I come back a three years later and it is:
The Book of the Dead 2.5 pc 10 Sc, AUD$1.15
The pc price is stable for everyone no matter where they are. I look at my SAFEcoin wallet 2,500 Sc gives me 250 pc to spend, three years earlier it was 500 pc, the SAFEcoin are still 2,500 Sc. their value has fallen. In this sense as a unit of measure it changes nothing it stabilising nothing.
The only problem it cures is being a safe way of transferring value from the customer to the vendor and then to the creator. Otherwise why would the creator trust me to be surrendering the same value no matter what the fluctuation the currencies — so long as they see 2.5 pc they know it is put on the market at the agreed price.
As SAFEnet is international in the first instance, should the fixed price be SAFEcoin that if it inflates cheats the author? Or should it float determined by the vendor? or should it be fixed to currency that may hyper-inflate?
With authors they should rightly expect royalties for their entire life 2.5 pc is what they get when measured in so much gold, iron, etc.,.
For instance lets make the commodity a metric ton and fix this as being 1,000,000 pc, take a launch currency like USD$ at say $500,000.
the weight is given, the amount to fill it set by the money, but the the proportion and kind of commodities needs to be figured out — let it be 100 commodities.
starting with an imaginary purchase on the international market of of 50 Kilos of wheat, and 50 kilos of rice, add in 100 kilos of iron, a hand full of diamonds, of so many carets, etc until, we have a hundred things that cost today USD$500,000. This gives us the proportions.
1 pc has an exchange rate of (1 ton commodity mix) / 1,000,000
Now things can fluctuate and they do, but they do not do so in the same direction; that is the averaging mechanism a spread of commodities. for instance 100 different commodities from three distinct resources, refined mining products, agriculture, and energy.
In 100 years time 1,000,000 pc is a metric ton of 100 commodities, what was USD$500,000 in 2018 is in 2118 USD$1,000,000,000, but the author still get 2.5 pc of value a little more or a little less than in 2018.
Let everything fluctuate but just as a the metre measure in Paris is made of a mix of metals so that its length is almost stable regardless of the temperature, the same can be said of a pc it will move, but only a little.