The Five Ages of Money<br />1<br />Please copy and distribute<br />Version 1, May-31-11<br />We can identify four distinct...
The Fifth Element…<br />2<br />Please copy and distribute<br />Version 1, May-31-11<br />The Five Eras of Money<br />From ...
The Ages of Money<br />3<br />Please copy and distribute<br />Version 1, May-31-11<br />Money is a unit of account, a mean...
Money—A Brief History<br />4<br />Please copy and distribute<br />Version 1, May-31-11<br />
The First Age: Atoms<br />5<br />Please copy and distribute<br />Version 1, May-31-11<br />Eliminating the “double coincid...
Some Atoms<br />Standardisation supported trade and growth<br />6<br />Please copy and distribute<br />Version 1, May-31-1...
The Second Age: Atoms about Atoms<br />7<br />Please copy and distribute<br />Version 1, May-31-11<br />Moving things arou...
Some Atoms about Atoms<br />Monetising the stores of value<br />8<br />Please copy and distribute<br />Version 1, May-31-1...
Third Age: Bits about Atoms<br />9<br />Please copy and distribute<br />Version 1, May-31-11<br />One of the first uses of...
Some Bits about Atoms<br />Ideas born in this era still shape our thinking<br />10<br />Please copy and distribute<br />Ve...
Fourth Age: Bits about Bits<br />11<br />Please copy and distribute<br />Version 1, May-31-11<br />The rise of the fiat cu...
Some Bits about Bits<br />It will be the mobile phone that ends cash<br />12<br />Please copy and distribute<br />Version ...
A Fifth Age? Bits<br />13<br />Please copy and distribute<br />Version 1, May-31-11<br />Money is about to change again<br...
Some Bits<br />Zynga had revenues of $850m last year<br />14<br />Please copy and distribute<br />Version 1, May-31-11<br />
Where Next?<br />15<br />Please copy and distribute<br />Version 1, May-31-11<br />Maybe using notes and coins will be lik...
Just One Example<br />Winner of the “smart banknote” design 2011<br />16<br />Please copy and distribute<br />Version 1, M...
Thank You<br />17<br />Please copy and distribute<br />Version 1, May-31-11<br />Any (More) Questions?<br />
Contact Details<br />18<br />Please copy and distribute<br />Version 1, May-31-11<br />Dave BirchDirectorConsult Hyperion<...
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Ages of money

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A talk about the five ages of money and why the mobile phone is the distruptive agent that will move us from Money 4.0 to Money 5.0

Ages of money

  1. 1. The Five Ages of Money<br />1<br />Please copy and distribute<br />Version 1, May-31-11<br />We can identify four distinct ages in the history of money. Perhaps technological change is now pushing us into a fifth<br />Copenhagen<br />Finance IT Region<br />
  2. 2. The Fifth Element…<br />2<br />Please copy and distribute<br />Version 1, May-31-11<br />The Five Eras of Money<br />From 1.0 to, yes, 5.0<br />Money 5.0<br />What does it mean?<br />
  3. 3. The Ages of Money<br />3<br />Please copy and distribute<br />Version 1, May-31-11<br />Money is a unit of account, a means of exchange, a store of value and a mechanism for deferred payment<br />
  4. 4. Money—A Brief History<br />4<br />Please copy and distribute<br />Version 1, May-31-11<br />
  5. 5. The First Age: Atoms<br />5<br />Please copy and distribute<br />Version 1, May-31-11<br />Eliminating the “double coincidence of wants”<br />Money increases the efficiency of trade<br />Lots of things can be money<br />Lumps of stone<br />Iron tools<br />Copper ingots<br />Some things work better than others<br />Gold, silver and a few other things<br />
  6. 6. Some Atoms<br />Standardisation supported trade and growth<br />6<br />Please copy and distribute<br />Version 1, May-31-11<br />
  7. 7. The Second Age: Atoms about Atoms<br />7<br />Please copy and distribute<br />Version 1, May-31-11<br />Moving things around is a hassle<br />Collective memory<br />Grain stores<br />Goldsmiths<br />Move the claim, not the land<br />The invention of central banking<br />
  8. 8. Some Atoms about Atoms<br />Monetising the stores of value<br />8<br />Please copy and distribute<br />Version 1, May-31-11<br />
  9. 9. Third Age: Bits about Atoms<br />9<br />Please copy and distribute<br />Version 1, May-31-11<br />One of the first uses of the telegraph<br />The first electronic funds transfers<br />Money faster than a horse or a train <br />Telegraph traffic peaked in 1929<br />Telegrams ended in 2007<br />But Western Union is still around<br />People were transferring £, $, Dm, ¥…<br />But they were all backed with gold and silver<br />
  10. 10. Some Bits about Atoms<br />Ideas born in this era still shape our thinking<br />10<br />Please copy and distribute<br />Version 1, May-31-11<br />
  11. 11. Fourth Age: Bits about Bits<br />11<br />Please copy and distribute<br />Version 1, May-31-11<br />The rise of the fiat currency<br />All money is e-money<br />Well, almost (97.3% in the UK)<br />That e-money is a “promise to pay”<br />The means of exchange is evolving<br />We all know it’s going mobile<br />Remote control for “wallet in the cloud”<br />Moving away from fiat currencies?<br />Kivas<br />Goldmoney<br />
  12. 12. Some Bits about Bits<br />It will be the mobile phone that ends cash<br />12<br />Please copy and distribute<br />Version 1, May-31-11<br />
  13. 13. A Fifth Age? Bits<br />13<br />Please copy and distribute<br />Version 1, May-31-11<br />Money is about to change again<br />It may become truly virtual, bits and nothing more<br />What kinds of bits?<br />World of Warcraft gold pieces?<br />Facebook credits?<br />Reputations?<br />Bitcoin<br />Digital mining<br />
  14. 14. Some Bits<br />Zynga had revenues of $850m last year<br />14<br />Please copy and distribute<br />Version 1, May-31-11<br />
  15. 15. Where Next?<br />15<br />Please copy and distribute<br />Version 1, May-31-11<br />Maybe using notes and coins will be like drinking and driving – it will still go on, but nice people won’t do it<br />
  16. 16. Just One Example<br />Winner of the “smart banknote” design 2011<br />16<br />Please copy and distribute<br />Version 1, May-31-11<br />
  17. 17. Thank You<br />17<br />Please copy and distribute<br />Version 1, May-31-11<br />Any (More) Questions?<br />
  18. 18. Contact Details<br />18<br />Please copy and distribute<br />Version 1, May-31-11<br />Dave BirchDirectorConsult Hyperion<br />dave.birch@chyp.comtwitter @dgwbirch<br />

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