Topic: Ripple versus Open Transactions (Read 1422 times)

This thread should be moved to Economy > Marketplace > Currency exchange. What's being discussed is the exchange part of Ripple, not XRP the built-in currency, and Open Transactions isn't even an alternative currency to begin with.

Found the answer(s):

http://bitcoin.stackexchange.com/questions/7682/what-is-the-different-between-open-transactions-and-ripple

Looks like something very nice will pop up if you combine Bitcoin, OT, Bitmessenger and Ripple.

Comparing OT to Ripple is like comparing OpenSSL to Google+.

OT is late to the party = DOA...
Ripple accounts went from 10,000 to 15,000 in the last week or so...
You can watch Ripple's geometric growth on Ripplecharts... then click Dashboard.

https://ripplecharts.com/

They've given out about 1.5 billion XRP (out of 100 billion capped)...
And have managed to keep the price in 6,000 to 8,000 per BTC range...
Which puts Ripple Market Value at about $30,000,000.

People with *** legacy BTC business interests *** are shitting bricks...
Because Ripple/XRP is being rolled out by experienced professionals...
And 1000s of engineers are brainstorming how to leverage and build on Ripple features...
Like instant transactions between ANY currency.. and disruptive stuff like Custom Currencies.

When another large exchange joins Bitstamp on Ripple (MyGox ?)...
Ripple will fucking explode.

This is all gonna be great for Bitcoin...
But it may be bad for *** legacy BTC business interests ***.

I am sorry, but I disagree. I am not here to discuss XRP. I am looking for a solution of one of the real weaknesses of Bitcoin, transferring fiat to BTC and vice versa. Ignoring this problem doesn't solve it. IMHO Ripple and Open Transactions do have properties which would enable Bitcoin to open a huge market: FX and related to that remittances.

I believe it is in the full interest of the Bitcoin community to solve these problems. For now I see Bitcoin exchanges which charge extremely high fees, do require full disclosure of who I am, do not have any SLA in place, and a complete community bashing MTGox.

So, now back to my OP. I understand that ripple and OT is like comparing oranges and apples. What I am struggling with is to get a full overview of the similarities and differences, more from a customer point of view.

My experience so far is that with Ripple I can move various commodities, BTC and currencies around the world at low cost, anonymously and fast. What I don't like about it is the OpenCoin "Federal XRP reserve" system. As I am not a geek I haven't been able to experiment and test with OT. I have gone through their videos, understand what it does, but just lack a complete overview, hence my question: Is Open Transaction an alternative for Ripple?

Both Ripple and OT are great for buying and selling Bitcoin, which is a hugely important issue for Bitcoin. The discussion should stay right here. Discussion of XRP on the other hand could move elsewhere.

But exchanging between fiat and crypto is a killer application, I don't find it surprising people are focusing on it.

Indeed.

Ripple and decentralization does not go into the same sentence. It is not even decentralized even if it is open source - you have to trust nodes via Ripple.txt. If you do not want to trust OpenCoin Inc's nodes, you will be operating on a separate network.

This. "Bitcoin Discussion" is for discussions about Bitcoin, not Ripple or Open Transactions.

This has nothing to do with bitcoin and should discussed in another forum. Ripple has nothing to do with bitcoin discussion.

Ripple and OT really are apples and oranges. I think the reason people keep comparing them is because there is some overlap, specifically similarities in the currency trading (or at least the trading if OT is combined with Bitmessage.) But even that is accomplished in very different ways.

This is a good question.

Basically, all cryto-currencies and transaction systems operate in grey area...
But the Feds have limited resources and have to pick and choose.

So a corporate entity like Ripple with high profile investors...
Andreessen Horowitz, FF Angel IV, Lightspeed Venture Partners, Vast Ventures and Bitcoin Opportunity Fund....
Plus Google Ventures (who we hear put in less than $200,000) and IDG Capital Partners...
Likely has a strategy for long-term compliance, is lawyered up... and is actively talking to the Feds.

So the Feds go after low hanging fruit like LR.

Ripple has a decentralized concept (but is not operating very decentralized atm), OpenTransactions is more centralized in it's concept but proposes a general standard that would allow for decentralized operation too.

In my understanding OpenTransactions is something like stock exchanges: If you want to trade, you need to find your partner and go on the same exchange server (this is where BitMessage would maybe help in the future) to do your trading. You can take your personal stock certificates with you.

Ripple is rather like a huge marketplace, where (not currently, server code han't been released yet) lots of different people have their stands and fair prices are agreed on by taking a look over the whole market hall and comparing, since everyone posts their trades in the public. You can even have agents (=Ripple software) that look for the cheapest path (selling A for B and then B for C instead of A for C if that is cheaper).

As far as I've heard, Ripple is a subset of OpenTransactions, meaning OT can do what Ripple can + more, on the other hand Ripple seems a bit more focussed and at least has (kinda) working client implementations in the wild, compared to OT.

The main thing that's missing in Ripple is the server code, the main thing that's missing in OT is a usable client or at least someone actually using it.

Is Open Transaction an alternative for Ripple?

I like the Ripple concept, however to my understanding the centralized concept makes it vulnerable for seizure like what happened with Liberty Reserve.

Any thoughts?