Re: Ripple a scam?

It should be pointed out that the so far cloeed components are planned to
be opened--the system is not yet stable enouhh and they are just trying to
figure out how to do this in such a way thay they won't likely have to
reset the ledger afterwards.   In the meanwhile  it is sensible to not use
it, given the source isn't finished yet...but the criticism *as a system*
that it is closed is imho invalid.
On 2013-04-26 10:40 AM, "Nathan" <nathan@webr3.org> wrote:

> Manu Sporny wrote:
>
>> Interesting commentary on Ripple being a scam:
>>
>> http://ripplescam.org/
>>
>> #bitcoin #ripple #payswarm #w3c #futureofmoney
>>
>> Some of the arguments are fairly weak, I think the underlying assumption
>> that the author is making is that Ripple is attempting to be Bitcoin (it
>> isn't, it's a for-profit currency run by a corporation). So, if you
>> trust Ripple, most of the arguments go away.
>>
>> The open source argument is pretty solid, so is the one about hoarding
>> of XRPs. The OpenCoin developer arguing in the comment thread certainly
>> didn't help defend Ripple.
>>
>> I think the real argument is whether or not Bitcoin is better than
>> Ripple, and in this case, it completely depends on what you want out of
>> the currency. Fast transactions? Use Ripple. Decentralized and open
>> source? Use Bitcoin.
>>
>> Any commentary from payment folks on this list?
>>
>
> Yes! I use both daily, and heavily.
>
> There are two things here:
> a) Ripple as a clearance system.
> b) Ripple XRP as a currency.
>
> Ripple as a clearance system is rather good, it'd be better if it was open
> source, but it's certainly setting the bar and more than usable (I use it
> daily). Worst case the rippled project can be reimplemented using the
> details on the wiki and using the API (which isn't great). The low friction
> and latency is hard to live without once you are used to it.
>
> Another + is that ripple has opensourced some rather good client libraries
> in Javascript, and lots of tooling for it.
>
> Ultimately you cannot directly compare Ripple and Bitcoin directly. You
> can compare the currencies, in which case there are two ways to compare and
> value them.
>
> 1) Traditionally, where the value of the currency is the amount of trust
> behind it
> 2) In ripple case, where XRP is a utility of the network, in which case 1
> XRP has the value of 10k-100k transactions depending on how the fees are
> set.
>
> The aside issue, is the distribution of the pre-mined currency. Are they
> doing this to get rich and get out, or get rich while making things better
> for the general population. If the first case then that sucks, if the
> second case then who cares? I'm sure we all hope Satoshi and the original
> bitcoin pushers are rich today, and likewise I hope the Ripplers will be
> too.
>
> Ultimately, a well defined clearance system similar to ripple, supporting
> multiple currencies will and should become the norm, ripple is pushing the
> populations in the right direction. That can't be a bad thing.
>
> Best,
>
> Nathan
>
>