Bitcoin Forum
December 09, 2016, 02:13:41 AM *
News: To be able to use the next phase of the beta forum software, please ensure that your email address is correct/functional.
 
   Home   Help Search Donate Login Register  
Pages: [1]
  Print  
Author Topic: Ripplepay  (Read 1414 times)
scepticus
Newbie
*
Offline Offline

Activity: 14



View Profile
July 20, 2010, 09:09:14 AM
 #1


I would love to see an explosion of Bitcoins on the web; I think slowly, more and more people are becoming aware of it. It is already far more successful than alternatives such as Ripplepay (at least the last time I checked).

Hi,

ripplepay is not an alternative to bitcoins, it is complementary. Leaving aside some issues I have with the bitcoin model for the moment, the power of a combination of a cryptocurrency with a peer to peer credit network like ripple is awesome.

bitcoins are cash, ripple does credit. Any cash system will always get credit derivatives of it created, since if a system works as cash then it must be scarce, and demanded, which naturally causes credit derivatives to appear.

bitcoins can be used to clear debts accrued in ripple. in particular, ripple provides for peer to peer credit clearing. Currently the residual debts left at the end of a ripple chain must be cleared outside the system using whatever currency the two parties agree (the debt can even be settled by a favour, like having the debtor wash your car or something). But when these dents are settled for money, the two parties still have to go to a clearing house like a bank to settle the debt.

however with cryptocurrency, it becomes possible to settle debts peer-peer without using the mainstream clearing houses.

This also opens the possibility of having automated settlement - that is, when your ripple connection hits their credit limit with you, the system can be setup to automatically transfer bitcoins to settle the debt, even if both parties are asleep. THis would help to ensure that the ripple network maintains maximum liquidity, and makes ripple more attractive to maerchants, who'd get paid immediately rather than havnig to settle debts outside the system after the fact. 
1481249621
Hero Member
*
Offline Offline

Posts: 1481249621

View Profile Personal Message (Offline)

Ignore
1481249621
Reply with quote  #2

1481249621
Report to moderator
The money raised from these ads will be used to pay for improved forum software and other useful stuff.
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
Bitcoiner
Member
**
Offline Offline

Activity: 70


View Profile
July 21, 2010, 02:04:51 AM
 #2


I would love to see an explosion of Bitcoins on the web; I think slowly, more and more people are becoming aware of it. It is already far more successful than alternatives such as Ripplepay (at least the last time I checked).

Hi,

ripplepay is not an alternative to bitcoins, it is complementary. Leaving aside some issues I have with the bitcoin model for the moment, the power of a combination of a cryptocurrency with a peer to peer credit network like ripple is awesome.

bitcoins are cash, ripple does credit. Any cash system will always get credit derivatives of it created, since if a system works as cash then it must be scarce, and demanded, which naturally causes credit derivatives to appear.

bitcoins can be used to clear debts accrued in ripple. in particular, ripple provides for peer to peer credit clearing. Currently the residual debts left at the end of a ripple chain must be cleared outside the system using whatever currency the two parties agree (the debt can even be settled by a favour, like having the debtor wash your car or something). But when these dents are settled for money, the two parties still have to go to a clearing house like a bank to settle the debt.

however with cryptocurrency, it becomes possible to settle debts peer-peer without using the mainstream clearing houses.

This also opens the possibility of having automated settlement - that is, when your ripple connection hits their credit limit with you, the system can be setup to automatically transfer bitcoins to settle the debt, even if both parties are asleep. THis would help to ensure that the ripple network maintains maximum liquidity, and makes ripple more attractive to maerchants, who'd get paid immediately rather than havnig to settle debts outside the system after the fact. 

This is quite an interesting post... this could be a valid use case for RipplePay and would provide a layer of trust for the extension of credit using Bitcoin.

I think the routing would be complicated once both interest rates and transaction fees come into play; how do you figure which is the "least cost" path when it is dependent on how long it takes you to pay back the debt? Could get messy... but I'm sure there are ways around this.

Want to thank me for this post? Donate here! Flip your coins over to: 13Cq8AmdrqewatRxEyU2xNuMvegbaLCvEe  Smiley
Pages: [1]
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!