Hong Yining: In the case of free trade, Gresham's law will not take effect; the core function of money is stored value

On the evening of July 6, Hong Yuning, dean of the Block Chain Research Institute of Jinqiu District, said on Weibo that "Greshing's law, that is, bad money to expel good money, will only take effect when the seller is forced to accept bad money. This is also gold. The reason for being forced to withdraw from the market, but can not deny that gold is a better currency than the French currency. In the case of free trade, the Gresham law will not take effect, because the seller is more willing to accept good money instead of bad money, and ultimately It is inevitable that good money will drive out bad money, just like in Zimbabwe and other countries. So the core function of money is to store value, not circulation, especially for cryptocurrencies without state violence."