Ruminations on the Beauty of Safecoin


#1

I’ve been thinking over the different aspects of Safecoin and find it beautiful.

There are so many things to say about the value of the network as a whole that it could fill volumes. I’m, here, just expounding on the specific attributes of safecoin, especially when compared to any other currency, crypto or otherwise, which I’ve not seen pulled together in one place.

Representation of a valuable resource: Each safecoin betokens resource (drive space, cpu, bandwidth, etc.) which has been actually contributed and already found useful to the network. This is not completely unique to Safecoin, as Bitcoin and other altcoins represent reward for serving the network, but with Safecoin it is done in a way that doesn’t involve so much excess energy because it is so granular and based upon cooperation rather than competition. This seems to fit the Austrian Economic concept of marginal utility, as in underlying resources such as gold or silver, but I’m not an expert on that.

Granularity of Contribution: Security of the currency is achieved by the very mechanism which is used to access and participate in the network, down to the interface level. This is granularity of contribution. Every device connected to the network will contribute to its security. Bitcoin and altcoin mining is a specialized function which tends to become centralized by necessity. Such centralization doesn’t invalidate its usefulness, but it causes the currency to issue from much more concentrated points, after much effort. (That effort is worth doing, because it enables the security and transaction aspects of the currency–platform, really, since bitcoin and others can do a lot of other worthwhile things.) This then requires that these currencies use separate mechanisms to become broadly dispersed.

Granularity of Distribution: Unlike blockchain currencies which have much more centralized contribution of resource, and thus distribution of currency, Safecoin will be spread much more evenly amongst users/resource-contributors, because most anyone who can access the network can contribute to it, and thus many , many people, all over the world will acquire Safecoin. This is fantastically important as far as bootstrapping Safecoin as a currency goes. Almost everyone can farm safecoin. From a planter on the window sill (smartphone/tablet), to the squarefoot garden on the porch (laptop), to a backyard garden plot (desktop), to the larger operation (dedicated server arrangement). Everyone who wants to, can have some safecoin, anywhere in the world that they can connect to the network and run the software. This allows one to very directly and easily purchase additional resources from the network, but also to start to exchange safecoin for other things VIA the network. The only analogy to the “Bitcoin Millionaire” will be those who were actually rich in bitcoin, or used existing wealth to buy bitcoin, and used it to purchase a lot of Safecoin in the crowd sale. There are a lot of others who contributed in the crowd sale, who will have varying amounts of safecoin from the beginning, but the bulk of Safecoin will come into existence on a very granular and dispersed pattern, making it so that almost anyone can have some. It’s sort of like watering your plants because you want the flowers or veggies you grow, but finding a piece of silver turn up every now and then. The only others who get rich with Safecoin will be those who provide products and/or services which are valued by others and get paid for it. Early adopters should do well, but that is by virtue of providing service to the network early on, when it is most needed by the network to get up and running. Likewise for those who contributed early in the crowd sale, when resources to get the network live were most needed.

Anonymity: Using safecoin, it will be possible to achieve true anonymity of transaction–or fully verified identity, as well. Possibly Bitcoin’s greatest feature is that it is NOT truly anonymous, only pseudonomous. It can be used anonymously to a degree, but the value is in a public ledger. Safecoin will have none such. It will truly be digital cash. Few people will have great quantities of it at the start, so no purchase of WMDs right out of the box, thank you very much. The potential of privacy of value exchange will slowly return to the picture.

Transaction speed: Safecoin will transact at network speed, which should be quite fast from the start and get faster as the network expands. When confirmed, which should approach nearly instant, it is done. No waiting for further confirmations before being able to spend your Safecoin.

Transaction scalability: Because of the nature of Safecoin, the number of transactions per second has no foreseeable limit. As the network expands and demand for transactions grows, so will the capacity to accommodate them.

There’s probably tons more that can be said about the beauty of safecoin, not to mention the exponentially greater aspects of the network as a whole, but those are the ones that I just wanted to clear my breast of.

Not great news to a lot of you, but I had to pull it all together in words before I blew up. Would love to have these expounded upon.


#2

Great summation, I had a very similar epiphany when I first read the white paper back in March-April. It sure has been an exciting ride thus far. I feel very fortunate to have seen the unprecedented value so early on.


#3

Let’s not forget the near instant , fully verified, transactions too. No more waiting for multiple network wide consensus, even for obscenely large transactions.

The scaling to tens of thousands of transactions per second is also massively too.


#4

Several good points I hadn’t thought of in terms of Safecoin. Thanks @fergish


#5

Thanks, of course! I’ve added these points.


#6

Thanks for summing all of this up so nicely, I may need to refer some people here. For instance I saw a comment on a blog post yesterday where someone who had heard of MAIDSafe, and seemed to have a positive impression of it, didn’t even realize that it would have its own currency. And it’ll take a long time for people to grasp how it works without a distributed ledger. We’ve seen and I think can expect a lot of push back from some parts of the crypto community … I mean it’s the ONLY coin that doesn’t use a distributed ledger(!) Most people will not think it’s possible. But that’s what they said about Bitcoin. Seeing is believing though… so they’ll come around :wink:


#7

You might also want to mention that safecoin is secure up to an 88% attack vs the standard 51% attack for ledger-based coins.


#8

Is that in the form of blog posts/articles or more so comments? Interested to know who’s doing the dissing, besides just the patent dig…


#9

I was referencing the patent article, and also the fact that people tend to misunderstand and think that MaidSafe will use a blockchain (based on comments I’ve seen). When you try to tell someone that there is no blockchain but the currency will be secure … you’re going to have a tough time convincing them until the network is live.


#10

Thanks for the great read @fergish

I’ve read/watch ideas of money from Bernard Lietaer for a while. The only conclusion that I can draw is that Safecoin is the best idea of MONEY period. Unless quantum cash is around the corner…


#11

I wouldn’t be surprised if Mr Irvine had some plans… :slight_smile:

He’s very very far-thinking, so who knows!


#12

I have long been a skeptic and though that SAFEcoin was best used for maintaining MaidSAFE…

But it is growing on me.

It is easier to explain than bitcoin… Coins that have permanent addresses are a lot more tangible than chains of inputs and outputs… The “neighborhood watch” change of title is much more tangible of an analogy than Millions of miners solving sudukus for sport (With the side effect of a ledger)

I will like to see it in action. The actual transaction seems like it might be a little odd to me as I understand it. If I pay you 10 coins, I need to get consensus from 280 computers scattered all over the world – It seems to me that the latency might cause some confusion, as they would drop in like coins falling into a vending machine – That works fine so long as I am doing one transaction at a time – but if I had 3 or 4 it might be kinda odd… I am sure it is all do-able and documentable, but I will be interested to see how it comes to fruition.


#13

Me, too! ===========