I have been looking at this issue of hyper-inflation for quite a while and I stumbled upon a functional solution to this nasty little problem that plagues global economies. Hyper-inflation is run-away devaluation of a currency with respect to other currencies. It is a point where market demand for the currency has dried up and the currency becomes worthless. Basic goods and services could be increasing by thousands of dollars per hour, life savings and capital in banks could be worth less than a scrap of paper on the street. At some point, all economies will be hit by this event, it is in the fabric of capitalism itself and the traditional approach is to, discreetly or otherwise, force others to purchase your currency creating artificial demand.
But there is a rather simple solution thanks to modern computer infrastructures. This solution is called CurrencyX. CurrencyX is basically a virtual currency that exists only within the banking network. When you make a deposit, whether it be in dollars, sterling, euro, etc., at this point your money is converted to CurrencyX at the prevailing rate. CurrencyX can't be used to purchase anything, conduct trades, etc., it is merely a single standard used internally at banks. To conduct business, CurrencyX must be withdrawn and converted in currency (USD, EUR, GBP, etc). Thus, the balance of your bank account depends on the current exchange rate and the exchange rate offered by your banking institution. That is, if you deposit $500 on Monday, there may be more or less on Tuesday depending on market rates.
In the world of currency exchange, currencies would not be expressed in pairs against each other. This would be expressed in pairs against CurrencyX. So, to convert US dollars into Euros, you would convert the dollar into CurrencyX then from CurrencyX into Euros.
Why do this?
What we're doing here is decoupling savings from currency. This means should a currency begin to inflate, the value of savings in any banking institute remains unaffected because it is in CurrencyX and can be withdrawn at the current rate in alternative currencies. In an economic crash, everyone would run to the banks, rather than from them. In such a scenario it becomes possible for central banks then remove notes from circulation strengthening the currency. This is the opposite of Quantitative Easing, a form of Quantitative Stressing. If done rapidly enough, it could arrest any movement toward hyper-inflation.
What should be clear here is that during a crash, the money in your hand is the risk.
Nations would also be free to nominate national reserve currencies that could be activated in the case of hyper-inflation. That is, under a certain set of trigger conditions, merchants would be able to accept a foreign currency as part of temporary stabilizing measures to protect the economy.
Underpinning the value of CurrencyX is the exchange rates of many nations combined, rather than the current practice of a Fiat currency existing at the national level.
So, if you want to protect your savings in the event of an economic crash, protect your businesses, reduce global tensions and protect your nation then CurrencyX is where you want to be. There are technical, cultural and political hurdles to overcome with this but in all, with the prospect of insulating an entire nation from economic woes, the hassle is well worth it.
Let's start 2017 with the goal of making hyper-inflation a minor concern.