Quote from: Vlad2Vlad on July 16, 2013, 04:47:18 AM

Quote from: markm on July 16, 2013, 04:44:38 AM

Quote from: Vlad2Vlad on July 16, 2013, 04:36:29 AM

They have the money to buy up any coin. They spend $10 million or even. $50 million and buy a well known coin with history and from the "inventors". That's how it worlks. Nobody buys into an ETF for a coin that just popped up last week. That's ridiculous. That's why I was rushing to start a coin cause the older coins will be worth more, also the ones with the biggest followers or a story, a unique story, which is why I like devcoin.

Don't bankers care about security anymore?

Are they going to deploy massive GPU farms to try to secure scrypt based coins, or merged mine with ASIC farms to secure all the chains they create ETFs for?

Remember a secure chain needs to have at least double the hashing power that the entire rest of the world can muster, so that even if everyone who is not mining it attacked it the attack would still fail...

-MarkM-

You know more than me about this but it doesn't seem PPcoin needs any of that.

Wow, is that really you or has someone hacked your account? Quick call an ambulance, it sounded like something he typed made sense! Cheesy

Yes exactly, blockchains are insanely expensive, Ripple and possibly some kind of proof of stake can save millions or billions by not having to give over 100% of the currency to the printers/transmitters.

(Over 100% as in, they get it all when its printed then they get fees every time it is transmitted.)

It is almost insane to be backing coins someone else printed. Like what the fuck, let the printer back it himself, if he refuses to buy it back for close to what he sold it for then don't value the crap he prints because he himself doesn't value it enough to let you return it to manufacturer/printer for refund (minus a slight restocking/handling fee probably).

No one is going to dump at below face value IOUs they plan to honour at face value or above except in certain very limited / circumscribed circumstances. all this dumping happens because the printers have no intention of honouring the coins they are printing.

So it makes no sense to pay them to print them, you'd be paying them to print crap or paying them all the wealth with which you plan to back your IOUs for the job of printing your IOUs for you.

The "innovation" the Brits, Canucks, Martians, General Mining Corp, General Retirement Funds etc players came up with was simply to put aside as "reserves" anything they were able to sell their coin for.

Like oh I sold a coin for a dollar, cool. I now have a dollar in my warchest so I can buy a dollars worth of my coin, aka i can back a dollars worth of my coin, aka my currency now is backed by a dollar.

It seems to have worked well for them so far, and saved them millions in miner cost that trying to back coins printed by third party miners would have cost them, bleeding their reserves away because miners dump instead of accumulating all things that they buy with their coins as backing for backing their coins.

-MarkM-