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Daimler Uses Blockchain to Issue Bonds

67 pointsby caublestonealmost 8 years ago

8 comments

bo1024almost 8 years ago
I&#x27;m not a blockchain &quot;expert&quot;, but this seems somewhere between misguided and insane to me. How could this possibly better than a secure web server and http user interface by any metric?<p>- security: how could this possibly be better than a system under your own IT&#x27;s control?<p>- security part 2: introduces a whole new set of vulnerabilities and ways for things to go wrong. e.g. a miswritten &quot;smart&quot; contract.<p>- speed: how could this be faster than a web interface and a single server?<p>Blockchain solves one main problem: Decentralization. The reason for decentralization is the lack of a single trusted authority who says e.g. whether a particular transaction has occurred or not. In this setting you still have and need Daimler to be the trusted authority (unless I misunderstand), so the sole raison d&#x27;etre for blockchain is gone.<p>When you add that to all the downsides and security risks ... let me know if there is an easy way to bet against this.
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WheelsAtLargealmost 8 years ago
This is proof of concept. This changes everything. The article talks about the company not being ready to use Blockchain to issue all it&#x27;s bonds due to regulatory questions that still need to be answered but , i suspect, it&#x27;s only going to be years not decades when this will happen. This spells out big problems to the staff employees associated with Finance.<p>Anyone in the Financial Industry should start getting ready for the big Finance disruption that&#x27;s coming in the near future.
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legolassexymanalmost 8 years ago
This is the main application for Bitcoin IMO: custody and trade settlement in securities. I have wanted to do this exact thing, issue bonds on a blockchain for some industry or government, since I found out about Bitcoin. Unfortunately, I do not have the kinds of connections necessary to be in the same room as major corporate bond sellers.<p>Between this news and the DTCC using blockchain for CDS it seems to me that Bitcoin is going to get left behind by the old world companies it sought to replace. Blockstream seems too happy to sit on their hands while the speculative value of Bitcoin increases, not realizing that the chance to actually matter in the world of finance is slipping through their fingers.<p>Bad news for Bitcoin: <a href="http:&#x2F;&#x2F;m.nasdaq.com&#x2F;article&#x2F;dtcc-to-launch-blockchain-credit-default-swaps-reporting-in-early-2018-cm794771" rel="nofollow">http:&#x2F;&#x2F;m.nasdaq.com&#x2F;article&#x2F;dtcc-to-launch-blockchain-credit...</a>
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reviconalmost 8 years ago
Twitter link to article to bypass paywall: <a href="https:&#x2F;&#x2F;twitter.com&#x2F;infosblockchain&#x2F;status&#x2F;885940500666003456" rel="nofollow">https:&#x2F;&#x2F;twitter.com&#x2F;infosblockchain&#x2F;status&#x2F;88594050066600345...</a>
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asdfaoeualmost 8 years ago
&gt; Regulators do not yet allow issuances via blockchain only, so we had to test it in parallel with the conventional issuance process.
omioalmost 8 years ago
Is this what they are going to use?<p><a href="https:&#x2F;&#x2F;www.hyperledger.org&#x2F;projects&#x2F;sawtooth&#x2F;bond-case-study" rel="nofollow">https:&#x2F;&#x2F;www.hyperledger.org&#x2F;projects&#x2F;sawtooth&#x2F;bond-case-stud...</a>
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cowmanjoealmost 8 years ago
How is something like this funded? Charity organizations? Is Google just paying for it?
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empath75almost 8 years ago
Is this on ethereum?
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