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Western Union doesn't transfer value, it creates and settles credit.
by garydevenay 4y ago
Western Union doesn't transfer value, it creates and settles credit.
- Kbelicius 4y agoWhat is the difference?
- kevinak 4y agoIt creates risk and slows things down because you can’t trust your counterparties
- Kbelicius 4y agoSo it is transferring value just somewhat different?
- garydevenay 4y agoNot exactly. Credit creation creates an asset and a liability. The creation of credit facilitates the ability to create liabilities in excess of the underlying asset (e.g fractional reserve banking). By introducing the ability to transfer a scarce asset globally you resolve the requirement for credit, as no one ever needs to redeem. Credit is a hack, Bitcoin is the fix.
- Kbelicius 4y agoThat still sounds like you are transferring value just in different ways.
- deleted 4y ago[deleted]