Re: Seeing the forrest from the BTCs

A rough +1 to what Manu says below (and saves me writing carefully myself :)

cheers

21.01.2015, 08:16, "Manu Sporny" <msporny@digitalbazaar.com>:
> On 01/20/2015 02:46 AM, Daniel.Buchner wrote:
>> šNo, I'm advocating Bitcoin as the rail, not the currency.
>
> +1 to instantaneous clearing crypto-rails. I don't think that technology
> exists yet.
>> šUsers would never hold Bitcoin prior to a purchase (unless they
>> šwanted to for some reason), and right when they initiate a buy, the
>> šUSD/Euro/fiat wallet provider they choose would instantly convert to
>> ššBTC JIT under the covers solely to use the Bitcoin network as the
>> štransmission rail for the value, and enable a simple, universal,
>> špayment UX flow. On the other end the BTC would be instantly
>> šconverted back to the local fiat and neither party would have held
>> šBitcoin at any point.
>
> Yes, but the wallet provider does, and that exposes them to ForEx risk,
> right? Risk that they need to recoup in fees of some kind? In any case,
> sounds like Ripple and Stellar to me, not Bitcoin.
>> š- Eliminates the volatility issues (users never hold Bitcoin)
>
> You can't eliminate the volatility when you're doing ForEx, someone is
> always hedging against you.
>> šAllows all UAs to implement against Bitcoin's open APIs and do
>> šamazing things that are nearly impossible with a standard that just
>> šslaps an intermediate layer between the user and legacy payment
>> šmechanisms
>
> Like?
>> š- Doesn't exclude banks and other legacy monetary institutions (your
>> šbank could be a wallet provider)
>
> Yes, but who is proposing that we exclude banks and other legacy
> monetary institutions?
>> š- Standardizes the value transfer mechanism by default
>
> For some definition of "mechanism" - I think you mean "clearing", which
> doesn't solve any of the other problems we have on the web wrt. payments.
>> š- Inherently simplifies payment flows
>
> +1
>> š- the flow of a BTC transfer is already 1 or 0 click
>
> Yes, but has some properties that are pretty terrible for customers and
> merchants: no charge-backs, wallet theft, password/two-factor loss, slow
> clearing, etc.
>
> I'm not anti-Bitcoin; I think it's great, and it has its uses.
> However, it's a solution to one part of the problem (clearing), not the
> entire problem space we're looking at. Just making sure we keep that in
> mind during this discussion.
>
> -- manu
>
> --
> Manu Sporny (skype: msporny, twitter: manusporny, G+: +Manu Sporny)
> Founder/CEO - Digital Bazaar, Inc.
> blog: The Marathonic Dawn of Web Payments
> http://manu.sporny.org/2014/dawn-of-web-payments/

--
Charles McCathie Nevile - web standards - CTO Office, Yandex
chaals@yandex-team.ru - - - Find more at http://yandex.com

Received on Wednesday, 21 January 2015 12:22:58 UTC