Monday, January 23, 2017

Personal identity in the sandbox

The rules of the sandbox are money rules, it measures the probability of arrival of some good to some human.

All it needs to know about the human are two things, the human possesses the smart cart,and thumbprints the card now and then. This is all done with the card ID, it is a key, shared between bots and not exposed to humans.  One or more public services can validate this card ID. The services share a public key with the cards in an arrangement that allows a any trading bot to verify the card and human.  The card itself understands that it needs a thumbprint now and then, it will report a missing human.

The no hedge conditions works best when inside information flows most freely.  But low cost liquidity makes it harder to steal significantly, the out of balance deposits, from fixed prices, get predicted, and hedged rapidly.Honest folks begin to share in your stolen profits until the cops catch you at the smart contract layer. This is how it always works, we will just be more efficient at doing it.

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