Trust is Risk: A Decentralized Financial Trust Platform
Imagine a new type of Bitcoin wallet in which your digital currency can be shared with a close friend of your choice with a 1 of 2 multi-sig address. All of your friends do the same with their coins. This approach exposes all users to some risk from their friends, but also creates a web-of-trust structure by which one user can query how much he can trust another, previously unknown, identity. This web of trust can provide a lot of insight on the qualities of unknown people, similar to word of month, but more automated.
Orfeas writes, “The logic behind this approach has sociological justification. There is a relevant study. In my talk I will explain how this work appears to be a solution to the decentralized identity issue, and shows how cryptocurrency, being “smart money”, can do much more than fiat money can. I believe that decentralized systems can change the world, and for this reason it is important to keep thinking of innovative ways to use money for different applications.”
Orfeas is a researcher at The University of Edinburgh’s Blockchain Lab. There he focuses on decentralized marketplaces, payment channels and decentralized content curation, among other subjects. The “Trust is Risk” wallet will be used on OpenBazaar as an alternative rating measure.