Would such system allow to replicate the current nanosecond stock trading, making this tax mostly meaningless?
This back-n-forth trading can probably only exist if the rules of it are actively enforced by governments acting against own interest on money of third parties (taxpayers). I don’t think that this system can be recreated by bunch of self interested agents. Let the virtual currency be, my taxes won’t be paying for stability of that currency or for enforcement of any kind of rules on it. For the libertarian dream there must be a big badass government enforcing zillion laws and regulations against it’s own interest. Take that out and the dream evaporates.
This back-n-forth trading can probably only exist if the rules of it are actively enforced by governments acting against own interest on money of third parties (taxpayers). I don’t think that this system can be recreated by bunch of self interested agents. Let the virtual currency be, my taxes won’t be paying for stability of that currency or for enforcement of any kind of rules on it. For the libertarian dream there must be a big badass government enforcing zillion laws and regulations against it’s own interest. Take that out and the dream evaporates.