3 ms·
> they always rely on trust in an off-chain oracle or custodian. At that point, a shared ledger implemented with traditional databases / protocols would be fast
by acchow 1y ago
> they always rely on trust in an off-chain oracle or custodian. At that point, a shared ledger implemented with traditional databases / protocols would be faster, easier, and more transparent.
International wire money transfer is far too difficult today. And after you've sent it, you still need to wait minutes (hours?) for the receiving end's bank to actually process the wire and move it into the recipient's account (correctly).
Then you need to nag the receiving party to check their account every few minutes so that they can inform you that they actually did receive it successfully. What if they're in a different timezone? 12 hours off?
Moving money on a blockchain is far simpler.
- topranks 1y agoI get a push notification if a wire comes in. And if I send one I’m carful the details are correct, but I’m not completely doomed if I typo the account number.
- disiplus 1y agoIn eu we have sepa instant transfer https://www.santandercib.com/insights/innovation/sepa-instant-credit-transfer-new-era-b2b2c-payments https://www.santandercib.com/insights/innovation/sepa-instan... That becomes mandatory in October this year
- reubenmorais 1y agoI can transfer money from Europe to Brazil in seconds with Wise. I press the button and the money is nearly instantly available in the Brazilian account via PIX. The same in the reverse direction is possible but only if you have a more modern bank in Europe, eg. N26 or Revolut.
- ta12653421 1y agoNot the full picture: Wise is that big that it has already lots of local accounts and/or correspondent banks; so basicly "you get the money from Wise" but from a "local payment way/scheme" (to which Wise is connected in the background through several layers)
- topranks 1y agoThis is a much more optimal solution than blockchain.
- Jommi 1y agothat we need one company to achieve such big scale that they literally are regulated in every single country and basically become monopolistic in terms of their influence? a Blockchain based system can maintain similar effects but with a balance of power think about it
- ta12653421 1y agoNo worries, if any DLT-system would become somewhere somehow relevant, any regulator will catch it sooner or later. Though, its an issue for the company, as this allocates a lot of resources wrongly.
- acchow 1y agoI was thinking more of gp's comment "and the first user is an Argentinian bike importer that finds transacting with their suppliers to be challenging" Wise isn't great for paying suppliers. Their business account limit for debit/credit is $2k, and for ACH is $50k. They have higher limits if you fund with wire, but then we're back at the starting problem again... And still, you have no way of knowing that the receiving party actually got it. On a blockchain, the source-of-truth "database" is public.
- hahn-kev 1y agoMy understanding is that Wise isn't a true international transfer. Wise has money already in a Brazilian account, and when they receive money in their European account then they send you money from their Brazilian account. If they don't have enough money in that Brazilian account then it can't be instant like it is today.
- reubenmorais 1y agoFrom my perspective, if it quacks like a duck...
- Jommi 1y agoand if wise bans you?