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$30M here, $30M there... by all means, please keep proving to me how secure and stable smart contracts are! I'm indifferent on bitcoin, it's a cool idea but th
by pbnjay 9y ago
$30M here, $30M there... by all means, please keep proving to me how secure and stable smart contracts are!
I'm indifferent on bitcoin, it's a cool idea but there seem to be a lot of these "hammer everything" types that are doing it a disservice across the board.
- chrisco255 9y agoTethers are not smart contracts. It's a separate crypto blockchain currency from Bitcoin and it claims to have a near 1:1 ratio with the USD, hence the name...it's "tethered" to the USD. This is not unlike some foreign currencies.
- pbnjay 9y agoTouché. But the Omni Core Layer mentioned in the announcement implements them.
- unabridged 9y agoOmni layer wasn't hacked or exploited, this company just lost their private key
- stale2002 9y agoWell, it is "supposedly" backed up by USD. A whole bunch of people have been questioning whether they ACTUALLY have that money, very recently, and surprise surprise, there just 'happens' to be a hack that happens right now.
- askmike 9y agoNot sure if "a whole bunch of people" equates more than 5 extremely vocal people on twitter and reddit. Tether published an audit a month ago.
- stale2002 9y agoAnd yet, here they are getting "hacked". What an amazing coincidence! It is almost as if people predicted literally this exact scenario.
- panarky 9y agoIt's time for a new kind of bank - a transparent bank. Exchanges could publish a daily report of their bank account balances for each currency along with a daily message signed by each cold-storage key. And the transparent bank would publish a daily record of balances for each account, which ties out to the bank's balance sheet. We wouldn't need to rely on historical audits, because we could do our own automated audit every day. Transparent exchanges with transparent bank accounts would attract funds away from secretive exchanges with secret bank accounts.
- askmike 9y agoAfter the fall of mt. gox there was a huge push to get exchanges to do this. My guess is that the costs of doing this (security is quite hard: anything that can sign messages using cold storage keys can obviously also empty the cold storage, since transactions are simply signed messages) does not outweigh the demand for this. Most traders don't care (and subsequently get burned). > And the transparent bank would publish a daily record of balances for each account I think this is a terrible idea though. Even if done anonymous it gives way too much information about a market and its participants. IMO just use a merkle tree so everyone can check their own balance.
- dlp211 9y agoThere is no such thing as "too much information about a market".
- askmike 9y agoAnyone with a lot of AUM looking to invest would beg to differ - or well, they might use the information while trading on a different exchange. Also draws a nice crosshair on your exchange, so that hackers can exactly calculate cost/benefits as well as learn from your systems (how you divide your cold storage over different addresses, how that changes over time, how money from different dummy accounts effects cold storage in what way).
- jameskegel 9y ago>Tethers are not smart contracts. Tether is an ERC20 token. [1] [1] - https://blog.ethfinex.com/announcing-the-erc20-tether-c84cc33f076f https://blog.ethfinex.com/announcing-the-erc20-tether-c84cc3...
- krisives 9y agoNot going to try and convince you of Bitcoin or crypto as a whole but calling USDT an example of smart contracts is pretty absurd.