# Cryptocurrency with Fully Asynchronous Communication based on Banks and Democracy

**Authors:** Asa Dan  
**arXiv:** [1904.06522](https://arxiv.org/abs/1904.06522)  
**Date:** 2019-04-13  
**Summary page:** https://www.summarizepaper.com/en/paper/1904.06522v3/

## Key points

- Cryptocurrency systems face challenges in widespread adoption as everyday currency
- Proposed system offers deterministic operation over fully asynchronous communication network
- System is robust against arbitrary delays in the network
- Foundation of the system is built upon banking and democracy concepts
- Digital banks hold clients' money and execute their requests, but cannot perform actions without permission
- Every operation conducted by banks must be accepted by a majority of coin holders
- Clients have freedom to switch banks at any time
- Proposed system overcomes existing limitations in cryptocurrency systems

## Summary

The paper titled "Cryptocurrency with Fully Asynchronous Communication based on Banks and Democracy" explores the challenges faced by cryptocurrency systems in becoming widely adopted as an everyday form of currency. While cryptocurrencies offer the promise of a decentralized financial system, where individuals have complete control over their accounts without the need to trust centralized entities like governments and banks, there are several obstacles that hinder their practical use. In this paper, the authors propose a new cryptocurrency system that addresses these challenges and introduces several important properties. One of the most revolutionary aspects of this system is its deterministic operation over a fully asynchronous communication network. This is significant because it has been commonly believed that achieving determinism in such networks is impossible. By eliminating any temporal assumptions, the proposed system becomes robust against arbitrary delays in the network, with latency only being dependent on actual communication delay. The foundation of this cryptocurrency system is built upon familiar concepts such as banking and democracy. Similar to traditional banks, these digital banks hold clients' money and execute their requests. However, due to the implementation of cryptographic schemes, a client's bank cannot perform any actions on their account without explicit permission. This transparency ensures that clients do not have to blindly trust their bank. The democratic aspect of this system means that every operation conducted by the banks must be accepted by a majority of coin holders; resembling representative democracy where each client implicitly delegates their voting power (equivalent to the sum of money in their account) to their chosen bank. Importantly, clients have freedom to switch banks at any time by simply submitting a corresponding request to their preferred new bank. Overall, this paper presents a novel approach towards creating a cryptocurrency system that overcomes many existing limitations. By leveraging concepts from traditional banking and implementing robust cryptographic schemes, this proposed system offers increased security and control for users while operating efficiently over fully asynchronous communication networks.