Redeemability

During the gold standard, a $20 banknote was redeemable into a 1 ounce $20 coin of fine gold. Similarly bitcredit ecash tokens (short for "bitcoin credit") redeem 1:1 into outright bitcoin at the maturity of the underlying minted e-bill (see FAQ).

Honesty

Redeemability plays a crucial role in maintaining the honesty of issuers of ecash tokens and thus the stability of a monetary system. Knowing that bitcredit can be redeemed for bitcoin removes the trust requirement by providing an infallible test of any issuer's soundness and unveiling any creation of excessive credit money tokens. 

Non-inflationary

Redeemability provides a natural check on inflation because it limits the total bitcoin credit money supply with the real value present in the economy's production and supply chains, real goods and services already produced but still unpaid. 

Nation State Power

Redeemability can somewhat discipline governments' and central banks' insatiable desire for excessive credit money creation. Any attempt to debase their money would lead to an outflow of bitcoin as bitcredit token holders would run to exchange them for bitcoin. That said, the power of redeemability to fend off political interventionism is bounded by governments' ability to suspend or abolish redeemability obligations by changing the law. 

International Trade

Bitcoin redeemable credit money is an ideal medium of exchange for international trade by ensuring uncensorable finalty. Overreaching or evil nations can no more weaponise their money and impose their particular political will on other sovereign nations at the expense of its people and businesses.

And last: Acknowledgements