I represent an organization that belong to a network of not for profit organizations placed all around the world. We have a centralised office which register internal transactions between members. Each member of the network has an account number. Everything is done manually.

When I read about the Bitcoin I thought we could create a node of the network in order to issue new money and keep track of transactions. We could fix our exchange rate of 1 BITCOIN equal to 1 Euro.

Do you think this is possible?


Not really. If you want to establish a fixed exchange of Bitcoin, it would be pretty hard. You could set the minimum, but the maximum would be up to the sellers. Similarly if you'd want to establish a fixed rate for gold.

You could create an alternative cryptocurrency owned only by yourself, but it would be way too much hassle for what you need.

If you want to use Bitcoin for tracking transactions, it can also be a bit problematic. It all depends on what do you want to do exactly. Bitcoin will definitely be a way to cut costs of international transactions and allow transparent tracking.

All in all, issuing your own money with Bitcoin is very hard, using Bitcoin as a means of exchanging money is very useful. If you want some more specific help, please describe your problem or current use in more detail.


Bitcoin sacrificed a lot of things to be completely decentralized. Among other things, that means it's not possible for a single entity to "issue" Bitcoins, nor is it really possible to use a pegged exchange rate.

You can certainly design an electronic currency that you back with Euros. You can issue the currency to people who pay you Euros and allow people to redeem the currency for Euros. There are all kinds of trust and security issues, but it's doable. However, you should totally ignore the way Bitcoin does pretty much everything. None of that is suitable for a model where one entity guarantees that the currency will be redeemable.

For one thing, the Bitcoin model secures transactions with computing power, and if you couldn't get enough of it, your currency wouldn't be secure. Since you're pegging the currency to the Euro, that would mean you would have to pay out Euros to those who secure the currency. That's not going to be much fun for you.

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