03-30-2013, 03:03 PM
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The People's Post
Industry Role:
Join Date: Dec 2008
Location: invisible 7-11
Posts: 63,914
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ok, so that reference to LETS above, ripple uses that
http://www.gmlets.u-net.com/
Quote:
Ripple Concept
How do I collect my money?
When you get paid through Ripple, you are left being owed by one or more of your neighbours. You may use those obligations to purchase whatever you can by paying them to someone through the system. Of course, you may pay them right to one of your neighbours for whatever they have to offer you, including cash.
Until there is a critical mass of users, buying exactly what you want using Ripple may be difficult, therefore if settling in cash is important to you, you should make this clear to your neighbours so they will not be surprised when you ask them for money. Also, take care to not offer credit limits that are too high, or collecting may become a problem. Remember, someone may become indebted to you not just for what you or they have done on the system, but also for what others have done through the connection between you!
Why would I want to use Ripple when I can use regular money?
In short, because it is cheaper to use and because your friends are a more wholesome source of credit than banks. Not only will your friends be more understanding if you need to miss a few payments for a good reason, but they will also be more likely to help you out if your spending habits are getting unhealthy.
For a more detailed perspective, see the essay.
Is Ripple a barter system?
No. Ripple is a monetary system, with all the benefits of money over barter, such as not having to find someone who wants exactly what you're offering before you can get something you want. In a sense, all monetary systems are about providing a way to flexibly store value to enable more efficient exchanges, which could be called "delayed-gratification barter". But no, Ripple has nothing to do with barter.
Is Ripple a LETS system?
Ripple was inspired by the LETS concept and the writings of Michael Linton, and was conceived originally as a way to bring more accountability into the spending of credits in a LETS system. Unlike LETS, which only tracks obligations to and from a single central intermediary, Ripple tracks obligations between individuals in a social network. In practice, many LETS users and administrators have complained that LETS provides little incentive to make good on one's obligations other than the desire to have the system work. In Ripple, obligations are never to "the system", or to some other collective entity, but in specific amounts to specific individuals who have agreed to trust you, and the loss of whose trust would have a tangible effect on a participant's life should they decide to renege on their obligations.
Put another way, Ripple is like an interconnected network of LETS systems, each operated by an individual participant. The subscribers to each individual's LETS are his or her neighbours. Each participant acts as a broker to exchange between the LETS currencies they subscribe to.
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https://classic.ripplepay.com/faq/ |
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