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I’m jaded with the crypto-scammery too, but isn’t lower fees with 24/7 instant transactions the selling point? (For low fees think Binance not Coinbase).

by tjs8rj 5y ago

arcticbull 5y ago
That doesn’t require the blockchain. The US is moving from ACH to RTP, which is 24/7 instant approximately free transfers between bank accounts. [1] My understanding is the reason it took so long was small banks wanted to figure out a risk management model. [1] https://www.theclearinghouse.org/payment-systems/rtp https://www.theclearinghouse.org/payment-systems/rtp
- noxer 5y ago
  These system do not work outside the justification where they are made. Domestic Tx are fast and cheap because all parties involved have agreements and the same laws etc. etc. Cheating between local banks is rather useless because there is some kind of overload (the sate/a judge) that can order stuff to be reversed. Blockchains are for when no such trust/power based system is in place. So if you send USD to Mexico for example. You exchange USD to crypto send crypto to Mexico and sell it there to get MXN. The crypto transaction is final there is no reversing, it can not be unfunded, frozen or anything. The receiver doesn't need any kind of trust relationship to the sender. Its either transacted or not and both sides can independently verify that. Its not just a real time transaction its also a instant settlement (clearing). Other way to make settlement is if you move physical cash or gold but there goes the "instant" part.
  - arcticbull 5y ago
    > The crypto transaction is final there is no reversing, it can not be unfunded, frozen or anything. People keep saying this like it’s a good thing. It’s dreadful. > Blockchains are for when no such trust/power based system is in place. And exactly what situation are you transacting with somebody you do not trust and you cannot find a mutually acceptable intermediary? If no such situation exists you probably should not be transacting. You are exposed to too much counterparty risk. Do you have a concrete example of a time that this has been a problem for you? Because I can’t think of a single one.

I’m jaded with the crypto-scammery too, but isn’t lower fees with 24/7 instant transactions the selling point? (For low fees think Binance not Coinbase).

by tjs8rj 5y ago

I’m jaded with the crypto-scammery too, but isn’t lower fees with 24/7 instant transactions the selling point? (For low fees think Binance not Coinbase).

arcticbull 5y ago

That doesn’t require the blockchain. The US is moving from ACH to RTP, which is 24/7 instant approximately free transfers between bank accounts. [1] My understanding is the reason it took so long was small banks wanted to figure out a risk management model. [1] https://www.theclearinghouse.org/payment-systems/rtp https://www.theclearinghouse.org/payment-systems/rtp

noxer 5y ago
These system do not work outside the justification where they are made. Domestic Tx are fast and cheap because all parties involved have agreements and the same laws etc. etc. Cheating between local banks is rather useless because there is some kind of overload (the sate/a judge) that can order stuff to be reversed. Blockchains are for when no such trust/power based system is in place. So if you send USD to Mexico for example. You exchange USD to crypto send crypto to Mexico and sell it there to get MXN. The crypto transaction is final there is no reversing, it can not be unfunded, frozen or anything. The receiver doesn't need any kind of trust relationship to the sender. Its either transacted or not and both sides can independently verify that. Its not just a real time transaction its also a instant settlement (clearing). Other way to make settlement is if you move physical cash or gold but there goes the "instant" part.
- arcticbull 5y ago
  > The crypto transaction is final there is no reversing, it can not be unfunded, frozen or anything. People keep saying this like it’s a good thing. It’s dreadful. > Blockchains are for when no such trust/power based system is in place. And exactly what situation are you transacting with somebody you do not trust and you cannot find a mutually acceptable intermediary? If no such situation exists you probably should not be transacting. You are exposed to too much counterparty risk. Do you have a concrete example of a time that this has been a problem for you? Because I can’t think of a single one.