Overstock Files to Offer Stock That Works Like Bitcoin | WIRED

Overstock Files to Offer Stock That Works Like Bitcoin | WIRED

Very interesting step forward for that project. It’ll be interesting to see what form it does eventually take. CounterParty dev Robby Dermody @SymbiontIO talked of their differences recently: https://www.youtube.com/watch?v=FUZJ0QRjVUI&feature=youtu.be https://twitter.com/epicenterbtc/status/591290466001358849
So, unclear then what direction Overstock is taking now, though lots of chatter recently about private blockchains.

Do you mean in terms of Overstock’s plans or in general?

In general, I know nothing of the specifics of Overstock. It seems there’s been a number of indicators and talk about the prospects of that being an option for large institutions. I suspect it’s not the better option in many cases but might help some make baby steps to having confidence in their own capability to use a public blockchain. It’s an interesting idea perhaps especially for those issuing digital tokens that are proof of ownership in the real world… land registry; etc. Still distributed might be better in all cases?

Once it’s your own money (or shares, as the case may be), then it becomes interesting.

In some cases you may prefer the convenience of private blockchain, or even “off a blockchain” storage, but MtGox did that and it didn’t work well.
But in some cases it may be okay to use private blockchains, for example in case of low value transactions.

Eitherway, the weak link in real world asset ownership, is the legal consensus. Public - as in official Government blockchains, might be a different case too. So long as there is trust and consensus, then anything is possible?..

By default public blockchain obviously works but perhaps we’ll see other models attempted by olde school industries that need to be sure that the network will not become vulnerable. Managing a PoS internal to the industry might be easier than having a public blockchain or a network that could be vulnerable to attack??.. I don’t know.

To have a distributed blockchain, you need to have an incentive, either participants have an interest in the network stability or they get something as reward for maintaining it. Private PoS might be cheaper to run?

Unless everything is bound to a chain like BTC and cheap for that, then the cost of maintaining blockchains might be a drain on any industry that asks others to host their blocks. If they can do it for free, why would they pay for it?..

That seems to be the idea behind a number of projects, but how different is that vs. the current RDBMS approach?
PoS is in some way security through obscurity.
For this particular application (buy and hold) I’d prefer the blockchain.