3 ms·

I don't understand your point. Are you talking about some sort of digital bartering system? And what exactly is the "overhead" of using money (I hope you aren't

I don't understand your point. Are you talking about some sort of digital bartering system? And what exactly is the "overhead" of using money (I hope you aren't referring to the fact that it has to be earned)?

yters 19y ago
No, the overhead is in the charging and tracking of money. If your system is dynamic and fine grained enough, then it can cost just as much to maintain the financial representation of what is happening as the event itself. Thus, you don't really make anything. A very hypothetical example: say you have millions of simultaneous users all over the world who are constantly, but unpredictably, using your web service. The value of all these people using your service together is very high. However, since people use the service irregularly, charging them a significant amount would make it not worthwhile for them to use your system, and you lose your crowd. On the other hand, the amount that you could reasonably charge them is so small that it would only cover the cost of transaction, and would make the psychological overhead great enough that you would again lose your crowd. So, overall, it is best to not charge anything, and instead extract value in other ways, such as demographic information mining.
deleted 19y ago
[deleted]