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In the near future there could be a world wide market for data center/public cloud capacity. Just like the stock market, it would have regulations and rules, but this would bring true competition to the market for data center capacity of all makes and sizes. The stock market has been one of the most efficient forms of buying and selling anything, where a 100K transaction cost less than ten dollars. This itself has been brought about by the tech revolution and its time it feeds on itself. The tech sector needs a stock market like model for all its products services that aren't custom, for it is by far the most efficient way of handling transactions with true price competition and transparency. Just like the stock market, it would have true transparency where companies and individuals face severe penalties and jail time for breaking the rules. This model could bring even more efficiencies to the tech sector world wide, just like the financial and commodities market. This is just a very brief introduction and some study on the world wide markets would show it would be an excellent model for the tech sector for it is built on the tech sector itself and has been one of the tech sectors greatest achievements, a world wide cost effective, regulated market spanning the globe.
There are blockchain applications that are targeting this. Essentially the tokens, which are freely traded on crypto exchanges are used to purchase distributed CPU power and storage.
Count, I feel the market is far more efficient, faster and safer than the blockchain system and a true lower cost. Blockchain could never handle the volume and speed the market demands, it isn't even remotely close, by several factors.
Count, I feel the market is far more efficient, faster and safer than the blockchain system and a true lower cost. Blockchain could never handle the volume and speed the market demands, it isn't even remotely close, by several factors.
Count, I'm comparing it to me doing a 100+k transaction for less than five dollars and it taking place in a second. Compare that to block chain costs and Bitcoin that can handle only 7 transactions per second at last report at far, far higher cost.
Bitcoin's scaling problems are artificial due to developers intentionally handicapping it to push for their lightning network. Other blockchains don't have the same issues. Also, it's like saying in 1995 that the internet couldn't do streaming video because the fastest internet connections then were 56k. C'mon, you know better.
Block chains get more and more cumbersome as time goes on, when the commodity, stock and other markets are well proven and well shaken down, but still advancing ever decreasing costs while increasing speed and versatility. The technology behind the various commodity, financial instrument, materials and many other things not only are well thought out and working all while advancing technologically all the time. I've been active at 100k plus levels for a long time and have seen the technology advance many fold. I don't see block chain catching up on many fronts. I have studied block chain and compared to the current markets I feel the markets will advance faster and stay ahead.
Block chains get more and more cumbersome as time goes on, when the commodity, stock and other markets are well proven and well shaken down, but still advancing ever decreasing costs while increasing speed and versatility. The technology behind the various commodity, financial instrument, materials and many other things not only are well thought out and working all while advancing technologically all the time. I've been active at 100k plus levels for a long time and have seen the technology advance many fold. I don't see block chain catching up on many fronts. I have studied block chain and compared to the current markets I feel the markets will advance faster and stay ahead.
You are demonstrating a very shallow understanding of the technology. This is not really true, in that not every transaction needs to be stored on every node. Just because that's the way it works now doesn't mean that's the way it always needs to work. Have a look into sharding.
How long and at what level have you been doing financial transactions, including international and what has your overhead cost been. Bitcoin and the other crypto currencies are costly when converting and very slow. Please give me the cost of converting various crypto currencies to a more usable form. Most transactions can't currently be done in crypto currencies and the time factor involved. Also there is the danger of being ruled illegal or illiquid in many countries and markets. Please explain how you can do a high speed margin trade in a major market at a total cost, including borrowing cost of less than a tenth of a percent using crypto currencies. I have done this many times with standard currencies and not worried about vault robberies that happen all the time with crypto currencies.
Many crypto exchanges already offer margin trading. Speed and cost depends on what you are trading. Bitcoin is slow and expensive, other coins are faster and cheaper. With the exception of Bitcoin, which is artificially crippled, costs are generally much lower than traditional financial transactions.
Also I personally don't exchange in speculation and trading of cryptocurrencies (as I'm adverse to speculation and trading in general, when it comes to investments I'm the long term and fundamental sort), although I'm very interested in them from a technical standpoint.
I don't think you have done any rapid trading or even short term trading at all. My interest costs are under 1/100th of a percent and trade cost of less than 1/100th of a percent and could be substantially lower if I switched brokerages. Please let me know the specific exchanges where I can come even close to this. The cost I have stated are available at the major discount brokerages. Please give me the rates with conversion factors using any crypto currency. I know they aren't even remotely close. If not, post name and link and execution quality rating.
I don't think you have done any rapid trading or even short term trading at all. My interest costs are under 1/100th%/day of a percent and trade cost of less than 1/100th($5.00/100K+ transaction) of a percent and could be substantially lower if I switched brokerages. Please let me know the specific exchanges where I can come even close to this. The cost I have stated are available at the major discount brokerages. Please give me the rates with conversion factors using any crypto currency. I know they aren't even remotely close. If not, post name and link and execution quality rating.
Bitcoin Cash, which was forked off of Bitcoin to address the problem of artificially high transaction costs, currently has an average transaction cost of around 10c for your $500k transaction. That 10c is regardless of the size of the transaction, because transaction sizes are measured in terms of how many bytes they consume on the block rather than the dollar value. Even Bitcoin, which is notable for it's extremely high fees, would also cost you around $5 for a $100k transaction. Transaction fee data is updated live on a number of websites, you might try www.bitinfocharts.com
The conversion costs (ie bid/ask spreads) can be a little higher, but this has to do with the exchanges and the amount of volume they service rather than any limitations of the technology. You can't really compare the high volume high liquidity equity and forex markets. The spreads are comparable to small cap stocks. I'd expect the spreads to come down over time as volume increases and volatility falls. In fact, I'd expect all the major brokerages to eventually adopt blockchain tech for execution and settlement of currency/equity/commodity trading.
On top of this you have to add the crypto currency cost, because I know of no major exchange that takes crypto currency directly. Also many crypto currency banks so to speak have been robbed. I don't know of one pro trader, that has been robbed dealing with know institutions. I don't have any bid and ask spread on the dollars that I use, none and 0 time delay due to conversion. I have done many transactions, some for trade, some for long term in the last one hundredth of a second and have shown many disbelievers the time stamp on the transaction. On top of all this are numerous legal, regulatory and operational issues to be worked out. This was done to strategically to get better pricing since it shifts very fast sometimes at closing. They are still a microscopic part of the world financial system and have the threat of being ruled illegal in many jurisdictions. Can you explain the IRS regulations on crypto currencies, that I would like to hear.
The IRS essentially treats them as commodities for now. The legal and regulatory issues surrounding them are no worse than those surrounding self driving cars and medical IoT, yet you seem to have no doubt about the future of those technologies.
For 6 figure amounts, fees look to be in the 0.2% range, with another 0.1% fee on deposits via bankwire. However if you are dealing in 7 figure amounts the fees drop as low as 0.1% and if you are a maker (adding liquidity to the market) 0%.
Fees are generally dropping over time as the exchanges pick up in volume and compete with each other more fiercely.
