(1) Bitcoin scheme

Bitcoin was designed and created by Japanese programmer Satoshi Nakamoto (pseudonym) in 2009. It is the most successful and controversial online currency at present. Bitcoin scheme is based on P2P network architecture, and has been operated worldwide, which can be used for all kinds of virtual and real goods and services transactions.

(2) Lin Dengbi scheme

Linden Coin is a virtual game coin in the 3d online game Second Life, which originated in 2006 and can be exchanged for US dollars. The game completely simulates the real world. Users can communicate with each other and engage in daily tasks and activities, such as dating, making friends and holding parties. Also engaged in business activities such as buying a car and buying a house.

Second, the real risk analysis of online virtual currency

(A) price stability risk

Theoretically, if the existence of online currency affects the central bank's debt demand, and then interferes with the central bank's open market operation, it will have an impact on a country's monetary policy and price stability.

(B) Financial stability risk

The network virtual currency scheme operates outside the banking system, and the most important financial instability factor lies in its connection with the real economy, namely exchange rate and exchange market. Obviously, the closed network currency scheme and the one-way flow network currency scheme are not affected, and we should focus on the two-way flow network currency scheme. The value of two-way network currency depends on the level of money supply and demand in the exchange market. A big difference between online currency and real currency is that the online currency scheme is not based on countries or currency regions, and the influence of virtual economic intensity, trade or production capacity on its exchange rate is limited.

(C) Payment system stability risk

1, it is difficult to avoid the typical risks related to the payment system.

2. Lack of corresponding supervision and protection mechanism.

Risk of lack of supervision

Generally speaking, supervision lags behind technological development. Network virtual currency schemes were established in the late 1990s, but it was not until 2006 that some American government agencies began to analyze these schemes. Due to the lack of supervision and the anonymity, invisibility and untraceability of its transactions, the online virtual currency scheme is easily used by terrorist activities, fraud, money laundering and other illegal activities. At present, government departments in many countries are considering whether to recognize or legalize these virtual scams and bring them into the scope of supervision, so as to support the innovation of currency and payment forms, protect consumers' rights and interests and financial stability, and at the same time curb the use of virtual currency scams to engage in criminal activities.

(5) Reputation risk of monetary authorities

The reputation of the monetary authority (central bank) is a key factor to determine the effectiveness of its policies, especially monetary policies. The public's trust in legal tender is closely related to the image of the central bank, which is very concerned about its reputation. The European Central Bank defines reputation risk as the risk of deterioration of reputation, credit or public image. Because the online currency scheme is related to money and payment, it is generally considered to be the responsibility of the central bank, so we need to be alert to the reputation risk it may bring to the central bank. Although the impact of the failure of the online currency scheme is limited to a small scope, its high volatility and instability also aggravate the possibility of failure and attract extensive media coverage. If online money is allowed to continue to develop without supervision, the central bank may be regarded as dereliction of duty and its reputation will be affected.

(six) the risk of losing investors

Compared with the exchange value, the public has a higher recognition of the investment value of online virtual currency, and it is investment-based transactions that accelerate the formation of the virtual currency market. Like other investment markets, participants in the virtual currency market will also face potential losses caused by market risks, credit risks and policy risks. Violent price fluctuations make market participants face huge speculative risks. Unlike mature capital markets such as stocks and bonds, the bitcoin market is not deep enough, mainly in the hands of large households, and the degree of decentralization is low. Bitcoin prices are easily influenced by the buying and selling behavior of large households and easily manipulated by speculators. At the same time, countries have different attitudes towards Bitcoin. Germany, the United States and other countries hold an open and supportive attitude. Countries such as Thailand and Brazil regard bitcoin-related activities as illegal. Countries' attitudes towards Bitcoin and the measures they take will have a great impact on the price of Bitcoin, especially in the short term.