The Bitcoin Clause

The median purpose of a Consumer Price Index (CPI) is contract escalation, in comparison to its alternative utility of benchmarking macroeconomic stability in the guise of inflation targeting and associated forward guidance: everyday contracts such as rental agreements or mobile phone terms will periodically review to a measure of the general price level.

The Gold Clause

The gold clause is an old fashioned term inserted into a legal contract, stipulating payment will be made in gold or in a paper equivalent to gold to protect against the appreciation or depreciation of currency, and was used to keep contracts straight — protect them against deviation — in the way a plumb line is used in construction as a line directed to the earth’s centre of gravity.

Up until 1934, these clauses were common place. The prohibition on gold among the American public thereafter, and until 1974, meant gold clauses disappeared.

However, they have slowly begun to be talked of again: to Mises orientated thinking, apoplithorismosphobia — the fear of falling prices — means currency debasements expose those who enter into longer term arrangements, and that gold clauses are again a perfectly legal way of insuring against sovereign issuance which orientates to variable consumer price indexation.

The Nature of Proof

Ideas of an “ideal money” were first based on the importance of the comparative quality of the money used in an economic society to the possible precision, as an indicator of quality, of the contracts for performances of future contractual obligations.

It has been observed where a time dimension is incorporated into a contract (such as for example a mortgage) then the quality of the money unit in terms of which the contract is written makes a big difference in the level of certainty of the contract terms: that uncertainty perturbing the issue of the effective meaning of a contract is comparable to and analogous to a climate of lawlessness that would make contracts, in general, unreliable.

It has also been observed where “Keynesian” policies are in full flow, it can be difficult to precisely and quantifiably predict inflation, so that the indexing to a gold or gold like money as a medium of exchange is equivalent to proofing against variance and which would be of practical value to institutions or other entities needing to preserve reserves of assets over time periods of gradual expenditures.

The Limitations of Memetic Language

The idea of a meme is culturally to provide rules, customs or circumstance by which expressions of taste and distaste can scale through translation. It’s said such a cultural, societal or language of alliance can be reduced to an absurdity by becoming too broadly inclusive. However, that a global money standard could have a value similar to that of standard measures such as those of the “metric system”.

The representation of a clause and its writing must speak of a logical picture of a reality when we wish to imply only so much resemblance as is essential to its being a picture in any sense, that is to say, when we wish to imply no more than identity of logical form.

The Comparison of Linguistic Expression to Geometric Projection

A geometrical figure may be projected in many ways: each of these ways corresponds to a different language, but the projective properties of the original figure remain unchanged whichever of these ways may be adopted.

These projective properties correspond to that which in a theory the proposition and the fact must have in common, if the proposition is to assert the fact.

What the picture must have in common with reality in order to be able to represent it after its manner — rightly or falsely — is its form of representation. And in a network or machine of wide interpretability, this representation needn’t be made more than once, and where repetition is dissipative of resemblance, and where indexation needn’t last an eternity as a picture of reality, but only need be so good or representative as to regularly readjust.

*this writing plagiarises in large parts from Wittgenstein’s Tractatus Logico-Philosophicus, John Nash’s Ideal Money and Asymptotically Ideal Money and an essay on the Gold Clause