The basis of virtual currency circulation

1. In the future, the value of virtual currency only depends on the number of people with money, whether there are entities under it, and whether it plays a role in promoting social finance, which determines its success or failure; Any currency is issued by the head office, which is a process system. The circulation is the quantity issued by the decision-making level of the headquarters according to the market research, which is based on the accurate market research

2.

According to its nature, currency issue can be divided into economic issue and financial issue. No matter what kind of issuance, it should be realized through the bank's cash revenue and expenditure channels. Among them, the main channels of cash delivery are: personal wages, bonuses and other cash payments; Cash expenditure of administrative enterprise management fee; Urban and rural residents' savings deposits, cash expenditure, etc

The main channels of cash return are: cash income from commodity sales; Cash income from various service charges; Cash income from savings deposits of urban and rural residents; Levy taxes on indivials, cash income, etc. According to the calculation, the difference between the bank's cash expenditure and its income is the amount of money issued

(1) put forward the issuance plan of RMB and determine the annual money supply. Every year, the head office of the people's Bank of China puts forward a plan for currency issuance and withdrawal in accordance with the state's economic and social development plan, which shall be submitted to the State Council for approval before implementation. Including the design, printing and reserve of tickets and coins

(2) the money supply plan approved by the State Council and approved by the people's Bank of China

(3) allocate the issuing funds. The issuing fund is the currency to be issued kept by the central bank for the state. It is a reserve fund for currency issuance. It does not have the nature of currency. It is kept by the people's banks at all levels that set up the issuance Treasury. The head office is in charge of it. The right to use the issuance fund belongs to the general Treasury

3.

1. It is the fundamental requirement of the law of money circulation that the amount of money circulation accords with the flow of social goods

Therefore, the people's Bank of China (PBOC), as the main body of money issuance, issues money based on the total social procts and their increments

The theoretical basis is Marx's Currency Circulation Formula: total commodity price / circulation times of the currency of the same name = the amount of currency used in circulation

According to its nature, currency issue can be divided into economic issue and financial issue. Economic issue is the currency issued to meet the needs of commodity circulation. This issue is in line with the law of currency circulation

Therefore, it can not only meet the needs of the national economy, but also keep the currency stable. Fiscal issue is the currency issued to make up the fiscal deficit (see fiscal revenue and expenditure). This kind of issuance exceeds the actual needs of commodity circulation and often leads to inflation

4. About your question, you can get the following information through online consultation
currency circulation refers to the total amount of currency issued by a country, usually including all the circulating and non circulating currencies. Among them, the circulating currency, namely the amount of cash issued, refers to the amount of cash issued in a certain period of time. Its calculation formula is: the actual amount of money needed in commodity circulation = the total price of goods / the average circulation times of the same unit of money
there are many corresponding explanations, but the most basic formula is the quantity equation of "money quantity theory": MV = py, where m is the amount of money needed in circulation, V is the speed of money circulation (that is, the number of times a note changes hands in a certain period), P is the price level, and Y is the real GDP
statistics show that since the financial crisis, China's currency circulation has been half of the global currency circulation. On this basis, some people have once again come forward to accuse China of over issuing money and blame money supply for China's GDP growth. The first important reason for the continuous expansion of China's money supply is the market-oriented reform http://money.163.com/13/0202/02/8MM5GRHN00253B0H.html
to sum up, a country's currency circulation and the country's economic operation state, International environment and policy are closely related
I hope it will be helpful to your problem research
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5. This is a fairly basic problem in macroeconomics. There are many corresponding explanations, but the most basic formula is the quantity equation of "money quantity theory": MV = py

where m is the quantity of money needed for circulation, V is the speed of money circulation (that is, the number of times a bill changes hands in a certain period), P is the price level, and Y is the real GDP

let me explain this formula: on the right side of the formula is nominal GDP, while on the left side is m, which is not strictly the amount of money issued, but the amount of money actually needed for circulation. Therefore, a basic money demand function is to divide the V on the left by 10. So there is no problem with "positive correlation"

PS: in fact, the amount of money is controlled according to certain rules. GDP is, of course, an important factor in the rules.

6. If the circulation is greater than the demand, it means inflation, robbing the poor and the rich and robbing the people. If the circulation is less than the demand, it means deflation, and the economic development will be greatly affected. Neither is a good thing, and few are controlled by the state.

7. The circulation and mining situation of virtual currency need to be recorded on the blockchain, and the information is tamperable and permanent. But the premise is that the operator should make the source code public, otherwise users can't see it. Therefore, a normal digital currency, open source code is necessary. The source code of bitcoin, lightcoin and decent was open at the beginning
there may not be such MLM currencies as Vicat and Baichuan.

8. This is similar to the situation in the foreign exchange market. It mainly earns the value difference between the two currencies. The circulation is fixed respectively, but the value represented by different currencies is not equal at the same time. This leads to the existence of transaction difference

9. Circulation is too large, there is not much room for value-added. 1. It doesn't rely on specific currency institutions to issue money. It generates money through a large number of calculations based on specific algorithms. It uses the distributed database composed of many nodes in the whole P2P network to confirm and record all transactions. It uses the design of cryptography to ensure the security of all links of money circulation. The unified management of issuing money is proportional to the purchase and investment, with a total circulation of 3 million, No bubbles will form. In the future, the online mall will be launched, which will change from virtual to entity, with prominent value and unlimited appreciation space; 2. Users have an independent electronic system, can buy any goods in the BOS mall; 3. Investment income is stable, three out of three into, control mechanism is reasonable, never collapse; 4. No borders, cross-border. Cross border remittance will go through layers of exchange control agencies, and the transaction records will be recorded by many parties. But if you trade in ton currency, enter the digital address directly, click the mouse and wait for the P2P network to confirm the transaction, a lot of money will pass. It does not go through any regulatory agencies and will not leave any cross-border transaction records. 5. Avoid fraulent transactions: all transactions of ton currency are concted and supervised by ton currency company. Every transaction will be regulated and protected to ensure the fairness, openness and impartiality of customers and businesses. So businesses can avoid the harm of fraulent refund; The company acts as a third-party guarantee payment, business users settlement fast, safe! 6. The demand of online transaction with credit card has been replaced by RMB. You won't have to stick to sensitive customer information or worry about personal information leakage. As a new type of virtual electronic currency, it plays a role in the security of personal information and the security of trading goods. 7. Complete transparency: every transaction is well documented and highly transparent. Verify all payments and balances with a single click; Fundamentally improve the multi-party payment settlement complex, transfer to account time limitation shortcomings, let our online shopping more convenient.