Yes. Similar to a bank. There is going to be a huge market for lending and the ability measure risk and insure both sides is data driven and possible to achieve via decentralized technical means rather than statist institutions.

Reply to this note

Please Login to reply.

Discussion

ability *to* measure …

decentralized = trustless. why would you lend to someone you don’t trust?

Reputation can be established and credit worthiness, just like in the current credit market. Lenders and borrowers can be pooled and the risk can be predictable and accounted for with the interest rates and insurance. It’s a very mature market, but currently tainted with regulatory burden that could possibly be avoided to make it even more sophisticated.