Cardano ADA Charles Hoskinson on Effectively On-boarding People to Build CryptocurrencyFebruary 15, 2020
Ivan asked Charles Hoskinson stating, so, with all of these use cases you have talked about, it automatically gets me to thinking about the hyper ledger Cardano and IBM.
They have really spent so much money on marketing and doing all kinds of pilot projects and whenever I speak to corporations they say, oh hyper ledger, Oh Cardano, Oh IBM, we just met with them IBM and we tried out their solution.
So, what is your view on all of these corporate block chains like bicorporate, for corporate, they have nothing to do with crypto, nothing to do with being traded on an open market and how will you play in to this ecosystem. Will you integrate with them as you said? Because you need a kind of private-public approach or how do you view them?
Cardano ADA Charles Hoskinson on ETALON Project
Charles Hoskinson replied, that is a good question. So, we created the ETALON project just for this very reason. So, first off every corporation or government loves permissioned ledgers until they don’t. And, they love it until they love the idea that they can control it, but the problem is that you are talking about federations of agencies, not just one entity.
So, you know just looking at fertilizer transport, you could be looking at 200 to 300 different organizations. And, so, then there is this issue of well that who runs this consensus nodes and who runs the provisioning rules and how do you go around the system, update the system, then there is tons of regulations. So, permissioned ledgers are little bit more difficult in practice to install in production systems that are multi agent.
So, you can certainly do that, especially when it is a government initiated project, because the government will run the infrastructure, but when you are talking about transnational trade between public and private partners it makes a lot more sense to actually use open infrastructure like Ethereum, Cardano, or EOS or these types of ledgers. Because, then you need not answer the question of well who is going to run it. You just have to say it is a service, it is an oracle and we are just simply going to put things on it.
So, we have permissioned solutions and we certainly installed them with ETALON and it is interoperable with Cardano, and anyway it is a benefit to anybody in our industry, whether you are on the crypto side or on the DLT side, because what you are doing is you are creating cryptographic credentials for people.
You are creating identities, addresses, and private keys and once you have that infrastructure it is very easy to move between permissioned ledgers and permission-less ledgers.
Cardano ADA Charles Hoskinson Onboarding people to build cryptocurrencies
So, you are effectively onboarding people so that they can build cryptocurrencies. And, so once they are in the grid, then you can start talking about stable coins and loans and other things. And, the most natural place to do that will always be on the public space.
So, I think it is a spectrum and it just depends upon who is your controller, how your people are organized and the nature of what people are trying to accomplish, and also who wants to maintain the infrastructure when you just start having those conversations. It makes a lot of sense to make use of a public open ledger as opposed to a permissioned closed ledger. But then again, there are other considerations. For example, privacy this is a big topic.