All the old stuff about the old Ripple thing all took the idealistic stance that you would issue credit to your neighbors/friends out of nothing, basically giving them a line of credit.
But surely you could equally well only issue credit in an amount equal to actual "deposits"?
Afterall, banks tend to have two types of credits they give you, the easiest to get is your account balance, which you get by making deposits and they grant in amoujnt equal to your deposits. Getting an actual "line of credit" is harder.
So here is how I see it non-idealistically working, taking that hard drive at the restaurant case for example:
1) The restaurant deposits with/in you a meal worth one hard drive, so you issue them credit equal to one hard drive.
2) The restaurant gives the employee one hard drive, so the employee issues them credit equal to one meal.
I am not sure why you give the hard drive to the employee, it seems to me you'd give it to the restaurant, and any deal they make with the employee is out of scope. So lets try again:
1) The employee deposits the meal with/in you, so you issue the employee the hard drive (deposit the hard drive with the employee).
2) The employee buys the meal from the restaurant with their wages.
That maybe works.
The important thing is, you don't issue credit until you receive a deposit, in this case a meal, and the employee does not issue credit to you until you deposit the hard drive.
This way it works like the credits known as "bank account balances"; the credit represents a deposit you already received.
The old Ripple system's documentation/propaganda/literature jumped right over that stage, directly to "lines of credit", in which you issue credit before receiving the corresponding deposit, which is, of course, risky.
There is risk the other way around though too: the restaurant takes the risk that after depositing the meal in your stomach you will not see fit to assign them any credit in the Ripple system...
So its still the same old same old "who sends first" thing...
TL;DR: Want me to grant you $10 credit? Easy peasy: just send me $10 and once I have it secure in hand, I will grant you $10 credit...
-MarkM-
Interesting. I guess I have no idea what it will be. My point what I think would be powerful: I owe you $50 and you owe John $100. if you are on the ripple network, you have to accept me giving John $50 worth of USD/Gas/bitcoins/hard drives/sex, etc. My receipt from John is payment for our debt. Now, I owe you $0 and you owe John $50. |
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Is there more information other than the wiki page on how it works?
I picture it working like this:
I go to my chinese restaurant who accepts ripple. My bill is $50. Instead of paying the restaurant directly, I pay off one of his ripple debts by giving one of his employees a $50 hard drive. The restaurant gets $50 USD settled of its obligation to the employee, I get $50 of food, and the employee gets a $50 hard drive.
Yes?
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Nice implementation!
When creating LBAAT.net, I suggested something similar - you send coins to yourself, but in the future. The card provided would have the user's public key, and send coins to an address that won't be revealed until tomorrow, next week, etc.
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Wayyyy easier than it looks. Worked 1st time for me.  edit: took another one with bitcoins, gold and paper along with luigi  |
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Isn't this exactly what Kim Dotcom did with LetsBuyit.com?
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LT Capital gains tax increasing in US. Profitable trades could be exited early to take advantage of this. Applies to AAPL as well
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There is a bot grabbing secrets every hour, on the hour. We feel proud someone took the time to actually do it  Now, just a small detail about how the timepoints are created; the hour part needs to have 2 digits, so have a 0 (zero) prepended if < 10. Meaning '20121206:9' needs to become '20121206:09'. Added some text to "how to use" to make it clear. Oops, off by one (<9 instead of <=9 to append the 0). If anyone is interested here is the code, it just grabs the latest secret as needed and calculates others. Thanks for posting! |
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How long does the buyer have in order to initiate a chargeback?
When we come up with the idea for LBAAT.net, I thought selling coins past any chargeback period would shift the favor to the sellers of BTC and away from the buyers. Got stuck with a chargeback? At least you can race to get the coins back.
"4-D" banking concept:
Seller can submit the private key to LBAAT, and it will move coins to a pre-determined address in case of a chargeback (same point in the future, just different address). This is set up before coins were offered for sale. This means the seller could scam freely, but shift the burden to buyer.
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The first Pick 5 was just hit, winner received 23.76 BTC Congrats!
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Maybe I am just being thick today but have tried to comprehend this and I just don't. Could you please explain this system to me in very simple terms? As far as I understand it: With this system I can send coins to an address which I (or anyone else) will not be able to access until a certain point in the future. Questions: 1) if this is the case then why do I need to supply a public key? 2) Why do I need to supply a private key? (if I have the private key I can access the funds right now) 3) Why do I need to supply a private key which starts with "04"? As I understand it the private key is merely an alternative representation of the Bitcoin address, so this just adds administrative hassle (I need to open casascius utility and enter the Bitcoin address) 4) Given the fact you only supply me with the Bitcoin address where the Bitcoins reside, how do I calculate the private key to claim the Bitcoins? Right now I have no idea how to this even with the addresses which are already claimed. On your site it asks me to enter a private key which I obviously do not have. This could be really interesting. I remember reading this originally and really not comprehending what you meant. Now I saw that a few addresses were claimed so I thought I could just try the system out on those addresses to find out how it works but I cannot even figure that out. So how about a how to for the mentally challenged?  I wrote up a few replies, but best to show by example because it's easier than it sounds. 1) Go to bitaddress.org. 2) Get a private key (5....) Save this private key and don't disclose it!3) Put private key in the "Wallet Details" 4) POST here the public key ("Public Key (130 characters [0-9A-F]") 5) I'll send a few cents to a new address that only you can get to. |
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First two have been claimed without much delay.
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Each transaction is mingled with the secret of the day
I see the secret is published the next day, but how do I know a secret wasn't changed depending on the results of the first bet of the day? Is there a hash of the secret published in advanced so that later when the secret is published it can be verified to be unchanged from before the wager was placed? Today's secret is sha(tomorrow's secret). From how to play: The secrets used in the HMAC_SHA512 portion of the seed are disclosed after 2 days, and they can be verified as each day SHA256 hash will be the previous day secret
This means that we have pre-calculated all the keys, as we can only know today's key if we already know tomorrow's, and the next day, and so on, since SHA256(today's secret) which is yesterday's secret had to be calculated ahead of time. |
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What about the issue that brought down bank in 2008, where they all trusted the guy they were dealing with, but had no idea that guy was trusting someone untrustworthy (the insurance company that turned out not to have the money to cover CDSs in this case)? Can't the same issue happen here, where someone may trust a friend for $100, but that friend trusts someone else he really shouldn't, and when that someone else defaults on their debt, he takes down the friend and all his contacts as well?
Ripple could be the solution to this problem. As it stands now, when you loan someone $100, you don't know who his creditors are. But with ripple, a 'taint analysis' shows that this guy's credit is all with someone named 'pirate' who owes a bunch of people money. From this point, you can make a better decision on credit and interest rates. You may extend credit, but charge a higher interest rate. This will force him to pay you before others. This is price discovery. As a bonus, the person requesting credit may discover his problems before its too late. He can now mark his debt to market, rather than mark it to some imaginary number. Excited to see the project. |
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The gift of bitcoins that can't be redeemed until Christmas 2013:
you dont send to their address until then? No - the funds are at an address that can not be determined until a secret is reveled on christmas day 2013. Its a plug for my site lbaat.net ( https://bitcointalk.org/index.php?topic=128581.0). Basically your secret and lbaat secret combined make private key to address. Since you need both secrets, lbaat.net can't ever know anything of value. so we're dependant on that site maintaining its service Yes, this is true. Although all secrets are connected, so all you need is the seed if the site were to ever go away. We have a solution to that problem, but not worthwhile at the moment. |
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The gift of bitcoins that can't be redeemed until Christmas 2013:
you dont send to their address until then? No - the funds are at an address that can not be determined until a secret is reveled on christmas day 2013. Its a plug for my site lbaat.net ( https://bitcointalk.org/index.php?topic=128581.0). Basically your secret and lbaat secret combined make private key to address. Since you need both secrets, lbaat.net can't ever know anything of value. |
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The gift of bitcoins that can't be redeemed until Christmas 2013:  |
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I was thinking it was a bad game and no one wanted to play. We each bring either peanut butter or jelly, with the payoffs as below:  If all I bring is peanut butter, the player always makes 13.99% (1.1399x). So I have to threaten to bring jelly, which opens the player to a 599% (6.99x) return. |
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Odds say 99.608% which is over 200-1 not 50-1 right?
It's 99.608% to win each iteration. But you must win 1000 iterations in a row to claim the prize. 0.99608 ^ 1000 = 1.9689% chance you win. |
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I don't know if you ran your raffle or whatever for this but if its still available I'm interested
Still available. 4.00 btc or you can win it with a successful 0.065 wager to 1PipeBMryPGnN3Ms3HfnNjetCS4THmkpkS |
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If I had 12,000 coins that had to be converted into USD, I would dump all at once and get a better price than selling in 50-200 chuncks at a time. By selling in chunks, you give the market time to pull bids and sell ahead of your order.
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