{"id":29237,"date":"2021-08-02T17:22:43","date_gmt":"2021-08-02T15:22:43","guid":{"rendered":"https:\/\/realunit.de\/blog\/privatbankier-karl-reichmuth-blockchain-wird-die-rettende-kraft\/"},"modified":"2024-08-28T04:55:45","modified_gmt":"2024-08-28T02:55:45","slug":"finews-ch-blockchain-becomes-the-saving-force","status":"publish","type":"post","link":"https:\/\/realunit.de\/en\/finews-ch-blockchain-becomes-the-saving-force\/","title":{"rendered":"Finews.ch: Blockchain becomes the saving force"},"content":{"rendered":"\t\t
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An article by York Runne<\/span>, published in finews.ch<\/a> on July 27, 2021<\/strong><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Lucerne-based private banker Karl Reichmuth<\/span> sees digitization as well as blockchain<\/span> technology as a viable way to counter the exuberant sovereign debt and the growing gap between currencies and the real economy, as he writes in his latest book.<\/strong><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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With the advent of cryptocurrency and the opportunities that blockchain technology offers in banking or transactions and contracts, the financial industry, central banks and policymakers are facing new challenges.<\/p>

In a book entitled “Neue<\/span> W\u00e4hrungen<\/span> in Sicht<\/span>” (New Currencies in Sight), Lucerne-based private banker Karl Reichmuth<\/span><\/span>, as editor, has invited a number of experts and entrepreneurs to speak and offers an overview of the state of the discussion.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Biggest threats<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Reichmuth<\/span> sees digitization and blockchain<\/span> technology as a possible way to counter the emerging threats in global monetary systems.<\/p>

He sees the flood of money and credit from central banks, excessive national debt and the growing gap between currencies and the real economy as the biggest threats.<\/p>

“The over-indebtedness of states at the expense of future generations or today’s wealthy increasingly makes many fellow citizens realize the growing dangers. These have arisen in the current monetary system as a result of the power of the monetary monopoly in the hands of the states or their central banks,” Reichmuth<\/span> explained at the request of finews.ch<\/span>.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Counterweight to crisis threats<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Digitalization, especially blockchain technology, could become the saving force thanks to its high settlement security. \u201cThis can provide a counterweight to the threats of crisis that can hardly be stopped,\u201d Reichmuth added.<\/p>

The private banker draws parallels to past currency crises, recalling the 1923 currency reform following hyper-inflation in Germany or that of 1948. Savers and wealthy people would always have lost almost the entire intrinsic value of their assets.<\/p>

Those who had invested in real assets became wealthy again within a short period of time. \u201cA Switzerland with its direct democracy and other parliamentary democracies are thus endangering their most important asset, the broad savings community.\u201d<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Only covered parallel currencies are alternatives\n<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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With a view to security and value stability, the separation of wheat from chaff will only slowly become apparent in the supply of parallel currencies. That is the case with all innovations, he said. However, self-determination requires the individual\u2019s own responsibility. By offering parallel currencies, he gets a choice. \u201cIn my view, only backed parallel currencies are viable alternatives to government money,\u201d the private banker added.<\/p>

Central banks and policymakers would have to face up to the issue. \u201cPandora\u2019s box is open.\u201d Digitalization brings clear volume advantages for payment transactions, and so far most parallel currencies only cover this area.<\/p>

\u201cThe more the so-called private valet, i.e. the bank in your pocket, comes up via the cell phone, the more likely store-of-value tokens will also become fungible, and thus usable for daily exchange needs at the bakery, butcher, supermarket, etc.\u201d That\u2019s why Switzerland has done well to position crypto regulations close to its tried-and-true securities law, he said.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Private banker of the old type\n<\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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Karl Reichmuth can justifiably be called a bedrock in the Swiss banking industry. Including his apprenticeship, he worked as a banker for more than 65 years, around 50 of them in leading positions at major and cantonal banks, and 22 of them as a private banker. He is the founder of Reichmuth & Co Privatbankiers and of RealUnit Switzerland.<\/p>

Prior to the present book, he has already published three papers: \u201cIndexing Money,\u201d \u201cThe RealUnit \u2013 On the Source of Monetary Stability,\u201d and \u201cWay Out of the Financial Crisis \u2013 Reuniting Decision and Liability.\u201d<\/p>

The publication\u2019s list of authors reads like a Who\u2019s Who of the Swiss crypto scene. Contributions will come from\u00a0Vahan P. Roth<\/strong>, co-founder of RealUnit Switzerland, CVVC founder\u00a0Mathias Ruch<\/strong>,\u00a0Domenic Parli<\/strong>, founder of Finemetal and Finetoken,\u00a0Mathias Imbach<\/strong>, head of Sygnum Bank, to Prince\u00a0Michael von und zu Liechtenstein<\/strong>, among others.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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\u201cNew Currencies in Sight,\u201d Publisher Karl Reichmuth, Ringier Axel Springer Switzerland, 2021, 45.00 Swiss francs (ISBN 978-3-03875-385-8).<\/p><\/div><\/div>

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\n\t\t\t\t\t\n\t\t\t\t\t\t\n\t\t\t\t\t\t\n\t\t\t\t<\/path><\/svg>\t\t\t<\/span>\n\t\t\t\t\t\t\t\t\tRead the article on finews.ch<\/span>\n\t\t\t\t\t<\/span>\n\t\t\t\t\t<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"

An article by York Runne, published in finews.ch on July 27, 2021 Lucerne-based private banker Karl Reichmuth sees digitization as well as blockchain technology as a viable way to counter the exuberant sovereign debt and the growing gap between currencies and the real economy, as he writes in his latest book. With the advent of […]<\/p>\n","protected":false},"author":22,"featured_media":9789,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","footnotes":""},"categories":[56],"tags":[],"class_list":["post-29237","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-future"],"acf":[],"publishpress_future_action":{"enabled":false,"date":"2026-04-24 20:03:07","action":"change-status","newStatus":"private","terms":[],"taxonomy":"category","extraData":[]},"publishpress_future_workflow_manual_trigger":{"enabledWorkflows":[]},"_links":{"self":[{"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/posts\/29237","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/users\/22"}],"replies":[{"embeddable":true,"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/comments?post=29237"}],"version-history":[{"count":5,"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/posts\/29237\/revisions"}],"predecessor-version":[{"id":29242,"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/posts\/29237\/revisions\/29242"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/media\/9789"}],"wp:attachment":[{"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/media?parent=29237"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/categories?post=29237"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/realunit.de\/en\/wp-json\/wp\/v2\/tags?post=29237"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}