Re:"None of the above" (Score 1)

The capital gains tax is not a negligible transaction cost. Suppose today I buy a gold coin for $100. Suppose, because of monetary inflation, the value of this coin increases to $200 in seven years. I cannot exchange my money for $200 worth of anything (even dollars), for I'd have a $100 realized capital gain that is taxable. What competing currencies does is to remove this tax.