Topic: Is Bitcoin Better Suited to Replace Stock Markets? (Read 1698 times)
I don't think bitcoin competes directly with stock markets. Bitcoins are more like a check
Maybe colored coin can replace an actual stock certificate but who has those anymore?
Think Mastercoin, Sidechains and Ethereum for a few examples of possible implementations
A sidechain with a fixed value could easily allow for the flow of assets that have a fixed value back and forth on a blockchain
The ledger would record the transactions and miners get the incentive through a merge mine.
Mastercoin would raise capital on the blockchain and then have it converted to fiat as happened in the Maidsafe IPO
Ethereum promises those things but is still a developers gardenshed with the infrastructure and technology still being made.
Do you even trade stocks? Without a market maker who matches orders? How do you do stops, limits and OCOs? Can you see the other bids and ask coming from other exchanges?
This is retarded. Bitcoin can't replace stock MARKETS. A market is where people go to exchange.
Bitcoin can't, no. But I'm not talking about bitcoin. But you are forgetting that the blockchain - the protocol - is like HTTP back in the early 90s, a foundation layer upon which nearly anything you can think of can be built.It's like saying, "this is retarded, you can't replace MONEY with HTTP, you need MONEY to pay for the servers which HOST the internet!"
And yet, without the advent of HTTP two decades ago, there would be no blockchain today. Get it?
If not, read Bit-therium.
Market makers are important for liquidity.
You can have a market without market makers but it will be like ebay. Not nasdaq
You can have a market without market makers but it will be like ebay. Not nasdaq
legendary
Activity: 2884
Merit: 1115
Leading Crypto Sports Betting & Casino Platform
Maybe colored coin can replace an actual stock certificate but who has those anymore?
Think Mastercoin, Sidechains and Ethereum for a few examples of possible implementations
A sidechain with a fixed value could easily allow for the flow of assets that have a fixed value back and forth on a blockchain
The ledger would record the transactions and miners get the incentive through a merge mine.
Mastercoin would raise capital on the blockchain and then have it converted to fiat as happened in the Maidsafe IPO
Ethereum promises those things but is still a developers gardenshed with the infrastructure and technology still being made.
Do you even trade stocks? Without a market maker who matches orders? How do you do stops, limits and OCOs? Can you see the other bids and ask coming from other exchanges?
Read a few whitepapers but simply put their is no need for a market maker in a decentralized market
There is separate layers where trades can occur from person to person or as part of the larger exchanges
Since trading is decentralized it occurs on various platforms at various times and their are only centralized locations where the trading commences based on trust (Think the ripple system)
Stops and limits can be done easily enough just a normal interface we communicate using that technology everyday just changing the underlying structure to it.
http://www.nber.org/papers/w15513.pdf
Easier reads
http://www.forbes.com/sites/kashmirhill/2014/04/08/beyond-bitcoin-crypto-ownership-companies-hope-youre-ready-to-decentralize-everything-on-the-internet/
http://newswax.com/2014/01/implications-crypto-assets-part-2-decentralized-exchanges/
Go to part 3 for DAC
Distributed Autonomous Corporations
I don't see this happening anytime in the near future. The stock market is likely here to stay.
True! I believe the blockchain concept will be applied in the stock market. But at the moment the there are still a lot of pitfall and confusion in cryptographic technology. People will accept it as this new technology is improved and all of these things are solved.
if block chain stock registries gain traction we will see the traditional exchanges be exposed for not having the stocks they claim they have trading on them.... over leveraged stocks
Maybe colored coin can replace an actual stock certificate but who has those anymore?
Think Mastercoin, Sidechains and Ethereum for a few examples of possible implementations
A sidechain with a fixed value could easily allow for the flow of assets that have a fixed value back and forth on a blockchain
The ledger would record the transactions and miners get the incentive through a merge mine.
Mastercoin would raise capital on the blockchain and then have it converted to fiat as happened in the Maidsafe IPO
Ethereum promises those things but is still a developers gardenshed with the infrastructure and technology still being made.
Do you even trade stocks? Without a market maker who matches orders? How do you do stops, limits and OCOs? Can you see the other bids and ask coming from other exchanges?
legendary
Activity: 2884
Merit: 1115
Leading Crypto Sports Betting & Casino Platform
Maybe colored coin can replace an actual stock certificate but who has those anymore?
Think Mastercoin, Sidechains and Ethereum for a few examples of possible implementations
A sidechain with a fixed value could easily allow for the flow of assets that have a fixed value back and forth on a blockchain
The ledger would record the transactions and miners get the incentive through a merge mine.
Mastercoin would raise capital on the blockchain and then have it converted to fiat as happened in the Maidsafe IPO
Ethereum promises those things but is still a developers gardenshed with the infrastructure and technology still being made.
This is retarded. Bitcoin can't replace stock MARKETS. A market is where people go to exchange.
Even bitcoin is traded on an exchange. If you can't can't trade bitcoins without an exchange then how can you trade stocks? Meetup up through craigslist list and trade stocks ala localbitcoin? LOL
Maybe colored coin can replace an actual stock certificate but who has those anymore?
Even bitcoin is traded on an exchange. If you can't can't trade bitcoins without an exchange then how can you trade stocks? Meetup up through craigslist list and trade stocks ala localbitcoin? LOL
Maybe colored coin can replace an actual stock certificate but who has those anymore?
Blockchain-based applications will replace or otherwise transcend the stock market, the court system, the voting system, IPOs, and just about anything else you can imagine.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
One example of how this is bad is that a trader makes a trade, gets it confirmed within 1 minute and the price goes against him. The trader would not have an incentive to try to get enough hashpower to orphan the blocks the confirmed his TX and execute a double spend.
legendary
Activity: 2884
Merit: 1115
Leading Crypto Sports Betting & Casino Platform
Yes Bitcoin is better suited to replace stock markets
It can get rid of significant costs to trade and still be a viable efficient system
A decentralized stock exchange has tremendous utility but it will take some time to come to market.
https://bitcointalksearch.org/topic/on-a-decentralized-bitcoin-based-stock-market-52494
It can get rid of significant costs to trade and still be a viable efficient system
A decentralized stock exchange has tremendous utility but it will take some time to come to market.
https://bitcointalksearch.org/topic/on-a-decentralized-bitcoin-based-stock-market-52494
I don't see this happening anytime in the near future. The stock market is likely here to stay.
I would recommend a good securities lawyer. There is no technical requirement for conventional exchanges to use underwriters and broker dealers. There are plenty of legal and regulatory requirements. Switching to using a blockchain doesn't exempt you from existing laws. Namely SCOR has certain know your investor requirements and major shareholders (10%+) must be free of regulatory problems in the past. This could be done with a blockchain but it would require linking public keys to identities and limiting transactions only to authorized participants.
We have been talking with the law firm that wrote the model legislation for Minnesota. Stock must carry a $1 par value, and the firm is permitted to raise up to $1M US every 12 months. I know that when I was looking for venture capital a few years back for another venture, the vultures didn't want us to do it. But then again, they didn't invest either so you decide which is the better route :-)
I'm all for linked identities in the transaction -- it would also offer some protection against theft because if someone swiped your shares and if they were not "of record" we could just repudiate the transaction.
Which is why I am also in favor of a much longer block generation time -- such that you could easily repudiate theft as well as guard against 51% attacks.
It's all high level at this point.
Blockchain-based applications will replace or otherwise transcend the stock market, the court system, the voting system, IPOs, and just about anything else you can imagine.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
Is this wishful thinking or based on actual work that someone is doing?
Technology is always improving, getting faster and more secure. The trend only goes one way, unless/until we find a way to wipe ourselves off the face of the planet because we wouldn't/couldn't stop governing our world with violence.
Blockchain-based applications will replace or otherwise transcend the stock market, the court system, the voting system, IPOs, and just about anything else you can imagine.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
Is this wishful thinking or based on actual work that someone is doing?
Blockchain-based applications will replace or otherwise transcend the stock market, the court system, the voting system, IPOs, and just about anything else you can imagine.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
Blockchain-based applications will replace or otherwise transcend the stock market, the court system, the voting system, IPOs, and just about anything else you can imagine.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
They are too ingrained into our society.
CDs were pretty 'ingrained' too, then came Napster.
Newspapers were 'ingrained into out society', now they are all dissolved and broke.
The United States Post Office is almost destroyed because of email. Give it another year.
I am pretty sure stock markets don't have a monopoly on longevity.
take a good look at Mastercoin. This protocol enables a 'stock market' right on top of the bitcoin. They aren't yet fully up to speed, but they are on the brink. they've done one funding, albeit with a bit of a glitch, for $6million (MaidSafe). I expect in a year's time, there will be a big rush towards organizing shared equity entities, despite regulators, via something like Mastercoin. Please go study that project - you will be floored.
Blockchain-based applications will replace or otherwise transcend the stock market, the court system, the voting system, IPOs, and just about anything else you can imagine.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
The innovation of the blockchain changes everything. So much clunky, centralized modern systems will be made obsolete in the comes years. I can't possibly overstate how much this will change every facet of our world.
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