CC
MasterCard, Visa, and AMEX - the big 3 of the CC biz - are underpinned by a 60 year + business model.
They enjoy large market caps (126B, 141B, 97B respectively)
However - I've heard their "costs" to operate include 40% for fraud protection, detection, remedy, etc..
MasterCard does about $8B revs per year, Visa around $12B, Amex a little less.
For Ethereum to effectively disrupt the financial services industry - it must include a solution for credit.
I propose NO MORE CREDIT CARDS, just FAIR CREDIT! Such a theme, meme, will help to usher in the era of fair credit.
We need a consensual credit system to uproot the incumbent model. Ethereum could play that role.
Yet, we need a financial backer that "believes" that a new business model for credit on a new foundation of a consensual
block chain based digital currency and "rules" - has a chance to win - and achieve success in financial industry cc "change".
Someone or a "pool", needs to step forward and provide liquidity to "fund" this "change". "Change" that could steamroll
an industry ripe for "change".
We can architect it, we can code it, but we can't fund it alone.
Thoughts?
Dave/comtechnet
3 ·
Comments
If you do not mind joining forces, I'd love to help get more people on board this train.
We need a pool of funders that want to go up against the incumbents and "win".
A Winning combination of marketing, awareness, etc. will provide a major intro for us.
Tesla was scoffed at by the car companies 10 years ago, even 5 - not now.
Tell me about your team members, resources, etc.
Dave (comtechnet)
Will need a pool of investors - like the kiva shoe string
Then will nudge Andreson and Andreeson! and other big wheels
months now.
Please come: http://honestcoin.createaforum.com/general-discussion/
(stupidly speculating at what it might be)Suppose you could have a 'dollars' subcurrency. But issueing and de-issueing would require too much trust. A rich entity R could stabilize the price(for liquidity) by selling under- and buying over-price if the price isnt what is desired, but it would be expensive. Or you could have a premine for it, but again too trustful.
Need a pool of $ - whereby they r provided a reasonable return
Need a trust and reputation mechanism
Transparency will be a hallmark of the new consent credit system
Thoughts?
Not sure what my thoughts are. Trust and reputation systems arent solved problems.
Credit is a notoriously hard problem. It's not even solved in the physical world. The partial solutions are reputation systems, escrow, law enforcement... All currently need a trusted third party.
Ethereum doesn't magically turn every human relationship into a trustless protocol. It may or may not be doable, so before calling for investors you should describe a solution and why you think it will work.
So, Alice needs X monetary units to complete one of her projects. Why would Bob lend her money (as an individual or as part of a pool). What guarantees does he have that she won't run away? What are his incentives? What are *her* incentives to not run away?
I just joined.
being in the payments field I would be interested in this discussion too.
what is the status? if any...