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In my view, Stellar is the "IP layer for credit" while Bitcoin is the "IP layer for money". Stellar doesn't actually transfer value (like Bitcoin), it only tra
by runeks 12y ago
In my view, Stellar is the "IP layer for credit" while Bitcoin is the "IP layer for money".
Stellar doesn't actually transfer value (like Bitcoin), it only transfers IOUs, the settlement (actual value transfer) occurs outside the Stellar network.
Stellar and Bitcoin achieve two different goals. Ripple can function as a decentralized exchange, while Bitcoin functions alongside USD, EUR, CNY for transferring value.
- etchalon 12y agoOf course, "credit" is how the modern banking system works. So an "IP layer for credit" is infinitely more valuable (if it works…which is a big if).
- runeks 12y ago> Of course, "credit" is how the modern banking system works. Correct. Ripple adds another layer on top of the traditional banking system. > So an "IP layer for credit" is infinitely more valuable (if it works…which is a big if). Well, Bitcoin can be credit as well, and can be interchanged with national currencies via Ripple. The two protocols complement each other, they don't compete. Just as the USD does not compete with Ripple (because it is a currency that can be traded on Ripple, just as bitcoins).