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> I hoped to see from ETH (like tokenization and trading of real-world assets) For ETH to trade real-world assets it needs everything else that the real world
by dmitriid 6y ago
> I hoped to see from ETH (like tokenization and trading of real-world assets)
For ETH to trade real-world assets it needs everything else that the real world already provides: laws, courts, verification systems. Hell, it actually needs that even for digital systems.
- arcticbull 6y agoCorrect. Blockchain is only able to extend its guarantees to concepts wholly encapsulated by the blockchain. That's the reason only "currencies" have been successful thus far. The boundary between the blockchain and the real world is not a surmountable one - not with the guarantees of the blockchain anyways. And once you get rid of the guarantees it's just a slow, inefficient database. This is why, try as people might (in over a decade) they have yet to achieve literally anything that isn't a currency with it.
- kruxigt 6y agoThis is a very good point! The first thing that crypto will succeed with is thus probably a store of value (Bitcoin seems to be going there) and the second is as a currency (we will see which one/ones will take this role). For contracts connected to things off the blockchain...that probably has no real solution yet.
- acjohnson55 6y agoI think this is not quite true. You can represent real world events and data with oracles. This is being now through Chainlink for things like security price data. Of course, it's probably not so simple to keep oracles in sync with increasingly niche real world data.
- dmitriid 6y ago> You can represent real world events and data with oracles. You can represent them, but that's about it. For Ethereum contracts to be enforceable in the real world (and even in the digital world) you need significantly more than just representation.