Acceleration of digital technology and evolution of the global economy call for adaptation of the architecture of the monetary emission processes. While pressuring the classical system, the digital economy also represents an opportunity to establish an advanced monetary emissions process to improve efficiency of turnover, better encourage productivity and wealth generation, and better manage risks and crises. The classical monetary system will need to evolve to remain relevant. As we shall describe below, a key to success will be to achieve a digital diversification of the emission process, while maintaining core features of the Classical system.

Modern Classical monetary systems are becoming "declassified" in the sense that practice has outpaced theory. In the presence of rapid, organic, technological and financial-structural advancements of monetary-financial agents, monetary-financial-regulatory de facto policy is generating unidentified and undescribed risks that limit their overall effectiveness, and importantly, their potential for systemic crisis management.

Meanwhile, decentralized emissions of non-centralized issuers in the form of digital entities based on cryptography and mathematics has led to fundamental tensions (including challenges to sovereignty) between classical centralized money emission institutions and the jurisdiction-free, quasi-monetary environment of "surrogate-decentralized" turnover outside the bounds of regulations, collateral and liquidity.

Modern classical monetary responses to crises (and avoidance thereof) are threatening longer run sustainability of the global economy. Quantitative easing and other monetary tools work to quell recessionary pressures. However, their effectiveness decreases and imbalances increase as they are used to greater and greater extent. The magnitude of latent potential shocks and vicious cycles are cumulative and may well be exponential. The role of derivatives and financial structured leverage cannot be underestimated, both to the effectiveness of modern classical policy, and to its potential deleterious results.

The classical system is evolving in a worrisome way for the system itself. The emission policy of the most important money issuers is increasingly different from classical theory and methodology, including a decoupling of fundamentals (financial validity and security) in parallel with a (still) latent erosion of trust, contributing further to the declassification of money as a pronounced value and service script, and increasingly emphasizing money as fuel in support of market liquidity and asset prices.

Sovereign money emission institutions are starting to respond to the digital opportunity. However, they are not well suited to establish and organize decentralized distribution networks. While some bilateral sovereign agreements are taking place, a global standard among them will not be agreed quickly.

Any new global standard (de jure) will only result from a long process of a competitive gaming, negotiation and compromise, given that each sovereign has its own sovereign-exportation goals. In the meantime, individual sovereign emission institutions are attempting to implement their own non-interfacing digital issue avatars, using centralized direct equivalence clearing employing their own digital issue block chains.

Block-chain as envisaged by its original designers (and most users in monetary spheres), invokes decentralized network protocols and facilities - validity is compromised when the chain is centrally managed. This fundamentally leads to a conflict between the regulatory and legal interests of sovereign issuers, and the validity and accessibility of the ultimate possible uses of these emissions.

As a result, the development of sovereign digital money is facing a theoretical and manifest conflict between centralized emission and demand for decentralized forms of monetary clearing and turnover.

Despite efforts, until now, it has proved impossible to export the regulatory and legal norms of the world of fiat currencies into the world of cryptographic entities, leading to a persistent conflict between monetary, regulatory and fiscal institutions and residents of crypto space. The strategy of pressure and forced implementation of the regulatory norms of the fiat world, and their subsequent export, just encourages a further shading of the crypto space and its turnover, and concomitantly limits liquidity.

Forgone benefits of a highly efficient digital system represent lost opportunity. First, significant existent money demand is not being accessed by sovereign suppliers. Second, the digital world has the potential to deliver dramatic productivity increases and cost reductions of the services of money, as well as multiplier effects on other aggregates. Third, a plethora of unqualified investors with too little knowledge and limited opportunities are increasingly oriented in favor of populist solutions of a speculative nature. A decrease in the level of confidence in fiat, as well as the associated risks of loss of savings and capital in light of the Modern Classical policy, lead to an increase in the number of potential crypto space residents.

Situational observations and analysis show a net increase in the number of crypto space residents, and that the level of liquidity associated with this space is also increasing. At the same time, the reaction of the crypto community to attempts to create and distribute centralized digital emission sovereign money remains solidly negative. The main negative reactions are based on fear of suppression and a blockage of free crypto emission, trading and usage, along with a general distrust of the current system of money provision outlined above. This conflict has a negative tendency, and may well result in effective rejection of centralized digital money and turnover absorption.

In short, the crypto community perceives digital money of centralized sovereign issuers as "digitized", but not "digital fiat money" that meet the demand of crypto space residents.

The solution to this "centralized – decentralized dilemma" is a new generation of risk emission – specifically, in the form of "Synthetic Risk". Synthetic risk is a convergent tool that meets the properties, qualities and characteristics of both classical monetary (including risk) and cryptographic space entities. We have named this next generation synthetic risk, ROLD, and in digital format - Rold Synthetic Digital Currency (RSDC).

Rold-RSDC represent a unique system environment, integrating fiat and crypto on an equal basis. Rold-RSDC allows for the construction of a system of simultaneous centralized emission actions, and a decentralized system of risk management, confirmation and distribution, by maintaining the principle of centralization in respect to rights and obligations, including at the systemic, administrative and financial levels, while facilitating the use of protocols and procedures required for the interaction of targeted formats with decentralized systems, including via block chain.

The digital-money-emission model is represented by basic monetary principles, rules and regulations, established through rigorous mathematic principles and regulated procedures in digital space. The architecture of the system is equally correct for classical monetary emission practices and for new generation digital emission and usage.

Importantly, the model invokes universal digital capabilities where every centralized issuer is entitled to the implementation and use of emission and clearing with third-party issuers and users, while establishing constitutional and regulatory frameworks, which do not compromise sovereign emission rights, nor involuntary crypto freedoms. Crypto issuers and users effectively and voluntarily sign up to counterparty (typically sovereign) rules of the game.