A new digital currency called Cyclewattcoin has been launched and is to become the official currency of virtual cycling worlds.
The news comes after the share prices of cycling stocks have risen significantly due to demand issues during the COVID-19 pandemic.
Cyclewattcoin can be mined in a similar way to Bitcoin, however, instead of using computer processing power to mine bits, turbo trainers, exercise bikes and indoor virtual cycling apps can be used to generate watts through pedal power. The watts generated are then be converted into Cyclewattcoins to be spent on virtual rides.
Cyclewattcoin can use used digitally to upgrade components, buy exclusive leisurewear, and for virtual reality coffee stops along some of the most popular cycling routes online.
Bitcoin and Cyclewattcoin share other similarities in that they are both powered by sweaty men huddled over screens in garages. Plus, neither bits generated for Bitcoin or Watts generated for Zwift on Watopia have any function in the real world other than being based on a perceived value of the other people using them.
Much like other cryptocurrencies, there is no intrinsic value to Cyclewattcoin, but there is expected to be significant interest from hedge funds who want to cash in on the booming cryptocurrency sector.
Cinelli Bianchi, head of investment cycles at Peloton Specialized Capital said:
We expect Cyclewattcoin to eventually be tradable in the real world with users spending Cyclewattcoin on flapjacks, flat whites and oversized sunglasses. Spending Cyclewattcoin rather than real money has a significant advantage over Fiat currencies as partners of cyclists will not be able to see how much money is spent from joint accounts on accessories such as carbon road wheels.
There are of course skeptics who think that Cyclewattcoin is yet another excuse for hobbyists and opportunists to make something up because it is closely related to something they enjoy doing for pleasure, and has no basis as a commercial proposition.
Cyclewattcoin will be launched on April the 1st, exactly a year on from when toilet roll futures started trading to combat panic buying at the start of the first lockdown.
Richard founded the Good Money Guide (previously Good Broker Guide) in 2015 and has been a broker for 20 years most recently at Investors Intelligence and previously a multi-asset derivatives broker at MF Global (Man Financial). Richard started his career working as a private client stockbroker at Walker Crips and Phillip Securities (now King and Shaxson) after interning on the NYMEX oil trading floor in New York and London IPE in 2001 & 2000.