Decentralize the platform. It should require no trust and be peer to peer. 
↑ This. ↑
This was talked about extensively but we got nowhere.
https://bitcointalksearch.org/topic/m.2235263
Topic: Let's Design The Ideal Bitcoin Exchange - page 3. (Read 4969 times)
↑ This. ↑
This was talked about extensively but we got nowhere.
https://bitcointalksearch.org/topic/m.2235263
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
Something simple like star ratings would be nice. This is a feature that usually works really well due to the fact that it represents independent peer reviews, something that could fit bitcoin really well. If nothing else if would make sure the vast majority of newcomers picks a trustworthy service.
There was a session at the Texas bitcoin conference where this issue was discussed, and there was some interesting ideas there, even though I fear we could easily end up with a cartel like situation if we don't get it right.
TOTALLY WRONG!! Decentralized is only way to go.....
The only reason you would "rate" a service is because it is centralized. A decentralized system is trusted by the mathematics and not because someone gave it a star rating. Hell, do you rate my p2p bitcoin server I am running at my house with a "star rating"!? Decentralized exchange services will not need any rating by anyone. It will be trusted because the code running the exchange service can be reviewed and cryptography ensures it's trustworthyness.
The current exchanges are centralized, but I completely agree. If we can make a decentralized coin2coin exchange it would be great
Although I still don't know what you guys are talking about in terms of "decentralized", I can say this: if it can be reviewed, if it can be referred, if more one one person is using it, if it's public, then yes it can and should be rated.
OK, I will try to explain.....
Centralized = 1 Entinity Controls = 1 location of server(s) = Government can shut down
Decentralized = Nobody controls = many Servers = Censorship resistant
Example of centralized
Napster
Mtgox
Paypal
Example of Decentralized
Bitcoin
Bittorrent
In a decentralized system, if one of the nodes(servers) go down, the others still continue to operate as normal. A decentralized exchange network would give us these benefits. Nobody could interrupt the system and it would all be trustworthy. When I mentioned "reviewed" I was talking about the computer code that would be launched to startup a network. Programmers can view open source code to make sure there are no hidden back doors or sneaky code hiding inside.
Chris Odom, OpenTransactions Project, Explains it better in this video:
http://youtu.be/teNzIFu5L70
Demo of Opentransactions exchange platform
http://goo.gl/i0J3AF
Hope this helps.....
BTW, Love how Chris predicted the demise of MtGox early in the video....
thanks so much for the comprehensive explanation
are the "pools" and "escrow entities" centralized, and if so necessary centralized evils for the OT system?
Although I still don't know what you guys are talking about in terms of "decentralized", I can say this: if it can be reviewed, if it can be referred, if more one one person is using it, if it's public, then yes it can and should be rated.
OK, I will try to explain.....
Centralized = 1 Entinity Controls = 1 location of server(s) = Government can shut down
Decentralized = Nobody controls = many Servers = Censorship resistant
Example of centralized
Napster
Mtgox
Paypal
Example of Decentralized
Bitcoin
Bittorrent
In a decentralized system, if one of the nodes(servers) go down, the others still continue to operate as normal. A decentralized exchange network would give us these benefits. Nobody could interrupt the system and it would all be trustworthy. When I mentioned "reviewed" I was talking about the computer code that would be launched to startup a network. Programmers can view open source code to make sure there are no hidden back doors or sneaky code hiding inside.
Chris Odom, OpenTransactions Project, Explains it better in this video:
http://youtu.be/teNzIFu5L70
Demo of Opentransactions exchange platform
http://goo.gl/i0J3AF
Hope this helps.....
BTW, Love how Chris predicted the demise of MtGox early in the video....
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
Something simple like star ratings would be nice. This is a feature that usually works really well due to the fact that it represents independent peer reviews, something that could fit bitcoin really well. If nothing else if would make sure the vast majority of newcomers picks a trustworthy service.
There was a session at the Texas bitcoin conference where this issue was discussed, and there was some interesting ideas there, even though I fear we could easily end up with a cartel like situation if we don't get it right.
TOTALLY WRONG!! Decentralized is only way to go.....
The only reason you would "rate" a service is because it is centralized. A decentralized system is trusted by the mathematics and not because someone gave it a star rating. Hell, do you rate my p2p bitcoin server I am running at my house with a "star rating"!? Decentralized exchange services will not need any rating by anyone. It will be trusted because the code running the exchange service can be reviewed and cryptography ensures it's trustworthyness.
Although I still don't know what you guys are talking about in terms of "decentralized", I can say this: if it can be reviewed, if it can be referred, if more than one person is using it, if it's public, then yes it can, and should, be rated.
just like Taras said, decentralized exchange is what bitcoin needs. However i assume USD conversion will be a challenge since that requires some form of centralization.
What you're missing is that in the not-too-distant future, no one will be converting back to USD anymore...I don't know what you call "distant" or "not-too-distant" but as of right now bitcoin itself is on life support, if something serious isn't done quicklly to the infrastructure you won't have to be concerned with conversions.
just like Taras said, decentralized exchange is what bitcoin needs. However i assume USD conversion will be a challenge since that requires some form of centralization.
What you're missing is that in the not-too-distant future, no one will be converting back to USD anymore... ...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
Something simple like star ratings would be nice. This is a feature that usually works really well due to the fact that it represents independent peer reviews, something that could fit bitcoin really well. If nothing else if would make sure the vast majority of newcomers picks a trustworthy service.
There was a session at the Texas bitcoin conference where this issue was discussed, and there was some interesting ideas there, even though I fear we could easily end up with a cartel like situation if we don't get it right.
what are some of the other ideas that were shared at the conference
http://www.youtube.com/watch?v=oQTM8NkbIVw&t=24m30s
That is more about making exchanges secure though, not necessary efficient or user friendly or decentralized
wow, that was a powerful video, had to watch it twice; and will likely watch it a couple more times
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
Something simple like star ratings would be nice. This is a feature that usually works really well due to the fact that it represents independent peer reviews, something that could fit bitcoin really well. If nothing else if would make sure the vast majority of newcomers picks a trustworthy service.
There was a session at the Texas bitcoin conference where this issue was discussed, and there was some interesting ideas there, even though I fear we could easily end up with a cartel like situation if we don't get it right.
TOTALLY WRONG!! Decentralized is only way to go.....
The only reason you would "rate" a service is because it is centralized. A decentralized system is trusted by the mathematics and not because someone gave it a star rating. Hell, do you rate my p2p bitcoin server I am running at my house with a "star rating"!? Decentralized exchange services will not need any rating by anyone. It will be trusted because the code running the exchange service can be reviewed and cryptography ensures it's trustworthyness.
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
Something simple like star ratings would be nice. This is a feature that usually works really well due to the fact that it represents independent peer reviews, something that could fit bitcoin really well. If nothing else if would make sure the vast majority of newcomers picks a trustworthy service.
There was a session at the Texas bitcoin conference where this issue was discussed, and there was some interesting ideas there, even though I fear we could easily end up with a cartel like situation if we don't get it right.
what are some of the other ideas that were shared at the conference
http://www.youtube.com/watch?v=oQTM8NkbIVw&t=24m30s
That is more about making exchanges secure though, not necessary efficient or user friendly or decentralized
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
Something simple like star ratings would be nice. This is a feature that usually works really well due to the fact that it represents independent peer reviews, something that could fit bitcoin really well. If nothing else if would make sure the vast majority of newcomers picks a trustworthy service.
There was a session at the Texas bitcoin conference where this issue was discussed, and there was some interesting ideas there, even though I fear we could easily end up with a cartel like situation if we don't get it right.
what are some of the other ideas that were shared at the conference
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
1) community validation / certification - I would to see some huge size community group (none anonymous) say 1000+ people, vote give star ratings to service providers.
...
Something simple like star ratings would be nice. This is a feature that usually works really well due to the fact that it represents independent peer reviews, something that could fit bitcoin really well. If nothing else if would make sure the vast majority of newcomers picks a trustworthy service.
There was a session at the Texas bitcoin conference where this issue was discussed, and there was some interesting ideas there, even though I fear we could easily end up with a cartel like situation if we don't get it right.
Decentralize the platform. It should require no trust and be peer to peer.
could someone tell me what a decentralized exchange would look like, apparently it is wanted and some are in the process of building it, but what is it?
There are several projects going on. I posted in this thread some of them.
https://bitcointalksearch.org/topic/m.5513190
https://bitcointalksearch.org/topic/m.5513190
Even though I can't get my head wrapped around Ethereum, I like Charles as a person, in spite of reading a couple negative things about him.
There are several projects going on. I posted in this thread some of them.
https://bitcointalksearch.org/topic/m.5513190
https://bitcointalksearch.org/topic/m.5513190
just like Taras said, decentralized exchange is what bitcoin needs. However i assume USD conversion will be a challenge since that requires some form of centralization.
Actually (in a perfect world) a decentralized exchange would just use payment gateways for getting money in & out. You deposit (or withdraw) money at the gateway. They give you some type of verification usually in the form of a crypto like ripple XRP. If your favorite gateway goes belly up, you just find another gateway processor. No centralization at all!
the problem is definitely with FIAT. if your swapping actual regulated fiat person to person 100 times a day (day trader style) then the red flags of AML will pop up.
this is why its easier to trade a digital database that resembles fiat and then the regulations only kick in when you fully withdraw.
i think an altcoin was trying to develop this. by having the altcoin pegged at $1 value forever and used as the medium for internal trading and then exchanged back into dollars when people want to cash out
Exactly what I thought a couple months back. Create an alt pegged at a dollar, for lack of a better exchange rate. Make sure that that system of things is on the up-and-up as much as possible, operated by honest folks, regardless of the color of their skin.
Its only purpose is to get funds in and outta of the exchange.
Alt X is would be easily exchangeable for BTC. In fact, it probably would only be used by traders, serving no other purpose.
BTW, did I mention NO BOTS in this ideal exchange?
This is actually in the works, and it's called BitUSD which will operate under BitShares X.
Great! Any notables involved, or all unknowns?
well known, very talented developer behind it by the name of Dan Larimer. Chkout invictus.io
just like Taras said, decentralized exchange is what bitcoin needs. However i assume USD conversion will be a challenge since that requires some form of centralization.
Actually (in a perfect world) a decentralized exchange would just use payment gateways for getting money in & out. You deposit (or withdraw) money at the gateway. They give you some type of verification usually in the form of a crypto like ripple XRP. If your favorite gateway goes belly up, you just find another gateway processor. No centralization at all!
the problem is definitely with FIAT. if your swapping actual regulated fiat person to person 100 times a day (day trader style) then the red flags of AML will pop up.
this is why its easier to trade a digital database that resembles fiat and then the regulations only kick in when you fully withdraw.
i think an altcoin was trying to develop this. by having the altcoin pegged at $1 value forever and used as the medium for internal trading and then exchanged back into dollars when people want to cash out
Exactly what I thought a couple months back. Create an alt pegged at a dollar, for lack of a better exchange rate. Make sure that that system of things is on the up-and-up as much as possible, operated by honest folks, regardless of the color of their skin.
Its only purpose is to get funds in and outta of the exchange.
Alt X is would be easily exchangeable for BTC. In fact, it probably would only be used by traders, serving no other purpose.
BTW, did I mention NO BOTS in this ideal exchange?
This is actually in the works, and it's called BitUSD which will operate under BitShares X.
Great! Any notables involved, or all unknowns?
just like Taras said, decentralized exchange is what bitcoin needs. However i assume USD conversion will be a challenge since that requires some form of centralization.
Actually (in a perfect world) a decentralized exchange would just use payment gateways for getting money in & out. You deposit (or withdraw) money at the gateway. They give you some type of verification usually in the form of a crypto like ripple XRP. If your favorite gateway goes belly up, you just find another gateway processor. No centralization at all!
the problem is definitely with FIAT. if your swapping actual regulated fiat person to person 100 times a day (day trader style) then the red flags of AML will pop up.
this is why its easier to trade a digital database that resembles fiat and then the regulations only kick in when you fully withdraw.
i think an altcoin was trying to develop this. by having the altcoin pegged at $1 value forever and used as the medium for internal trading and then exchanged back into dollars when people want to cash out
Exactly what I thought a couple months back. Create an alt pegged at a dollar, for lack of a better exchange rate. Make sure that that system of things is on the up-and-up as much as possible, operated by honest folks, regardless of the color of their skin.
Its only purpose is to get funds in and outta of the exchange.
Alt X is would be easily exchangeable for BTC. In fact, it probably would only be used by traders, serving no other purpose.
BTW, did I mention NO BOTS in this ideal exchange?
This is actually in the works, and it's called BitUSD which will operate under BitShares X.
Descentralized is utopia, not possible.
Holding private keys would make it slow, not a live exchange.
Holding private keys would make it slow, not a live exchange.
Decentralization IS possible, and it IS coming. Lots of projects being worked on right now. I think OpenTransactions will be one of the front runners to open up the new technology.
It is not possible if it involves actual money.
Sorry, but you are clueless.
Descentralized is utopia, not possible.
Holding private keys would make it slow, not a live exchange.
Holding private keys would make it slow, not a live exchange.
Decentralization IS possible, and it IS coming. Lots of projects being worked on right now. I think OpenTransactions will be one of the front runners to open up the new technology.
It is not possible if it involves actual money.
Descentralized is utopia, not possible.
Holding private keys would make it slow, not a live exchange.
Holding private keys would make it slow, not a live exchange.
Decentralization IS possible, and it IS coming. Lots of projects being worked on right now. I think OpenTransactions will be one of the front runners to open up the new technology.
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