Quote from: karmala on November 15, 2014, 01:49:03 AM

Quote from: andreibi on November 15, 2014, 12:38:22 AM

Erik,

My entry http://www.reddit.com/r/viacoin/comments/2k0k81/viacoin_and_clearinghouse_present_the_future_of/cm2u9sl

But I don't see it.

post it here maybe?

My entry for the contest:

The Future of Crowd Funding
http://www.reddit.com/r/viacoin/comments/2k0k81/viacoin_and_clearinghouse_present_the_future_of/cm2u9sl

Since the beginning of the Internet, a lot of changes have occurred since then. We as individuals dont need to go to a public library to research; we dont need to go to a video rental store or a movie house to watch our favorite flicks; we dont even need to go to the office to work and so much more. However when it comes to finances, the old way is still the current way. Money and money management is still in the hands of big institutions such as banks and governments. Our wealth is dependent on these organizations. With the invention of the blockchain, this too will change.

If you look from the world view, Blockchain technology is here stay. No one can deny the tech is revolutionary as same as the advent of TCP/IP protocols, email, or social networks. Each of the Internet technologies I mentioned had its early days and right now, many products and services are built on top on them. Back in 1994, who would have thought that you can connect to millions of computers around the world, have thousands of email addresses, or engage real-time with other people beyond your countrys borders. 2014 is still the early days of blockchain technology.

Now if you look at the birds eye of view, Bitcoin is the first thing youll notice. Thats no surprise since it is the first crypto-currency and currently the most popular. To most people in the know, Bitcoin is still experimental as its development charts unknown territories. But to most people in the planet, BTC is still an unknown concept. At the ground level, there are other revolutionary crypto-currency technologies being developed, these are called altcoins. So far, developers have made numerous iterations of the Bitcoin protocol different confirmation schemes (mining or staking), algorithms, rewards, confirmation times, anonymity, etc. But the most recent development is the storing of extra data in each transaction which allows tokens or assets to be recorded. Industry insiders say this is Bitcoin 2.0.

Problem:

Small Investors - For a person who can regularly save money for a rainy day, he has limited options where he can put his savings: time deposits, mutual funds, and stocks all of which are limited to his home country. He cannot just invest in foreign investments because by virtue of being a foreigner, he cannot. He has to go through several checks before he is allowed to invest. More so, he only plans to invest less than 100USD.

Small Business Owners Small-time bakeries, pawnshops, auto repair shops, hardware stores, dental clinics, pet shops, dress shops, accountants, barber shops, taxi services, laundry services, etc. Do you think they can just easily raise capital if they need to? Do you think they can easily list their businesses in the NYSE? These small timers need capital to grow but currently they can only get it from banks and inclusion in big market exchanges is impossible. There are pink slip markets, but these are nationally limited.

Crowdfunding:

Crowdfunding maybe a solution and there is an outgrowth of online crowdfunding sites. In fact, there is cornucopia of crowdfunding platforms which you can choose from. However, it's one thing to use crowd funding as a vehicle for resourcing a one-time project or special event. If your company wants to fund a small study about the impact of cell phone technology on frogs in the Amazon, crowdfunding is definitely the way to go. But as a long-term funding strategy it's just not viable for the ongoing resource needs of a small business. There is also risk of exposure. Crowdfunding seems innocent enough. But it's possible that it could expose your business to risks you didn't anticipate. For starters, crowdfunding requires you to expose project details on the Internet, potentially giving your competitors inside information about your business. In certain situations crowdfunding can even expose your company to securities violations.

Solution:

Crowdfunding your business through the Clearinghouse Protocol It does not rely on centralized services like crowdfunding sites, you are your own stock exchange. The issued tokens are recorded on the blockchain. Anyone in the world can buy your asset. As an asset issuer, you have total control of the assets, issue dividends to your asset holders anytime. As an asset buyer, you can buy it wherever or whoever you are with no restrictions on amount or type of medium of payment (BTC, VIA, EURO, USD, ETC) - and none of the disadvantages of crowdfunding sites.

VIA address: VhBZuT263DBmorXtS3fPD52C34LmBL6gwW