Read it,,, gonna need to read it a view times LOL
So on the surface bitcredit appears to be a competitor (alternative for better word choice) to something like cashu and ecash.
Would that be a fair categorization?
Discussion
I‘m trying to learn what is… I might be wrong. I understood that it is a Layer 2 solution to ad flexibility of money on a Bitcoin-Standard (Important: its flexible credit money yes, but NOT inflationary). According to the german podcast #WasBitcoinBringt they use ecash tokens for that.
I jnderstood, that Bitcredit is an open-source project aimed at promoting the adoption of Bitcoin in the real economy. It provides a decentralized solution for peer-to-peer Bitcoin credit by utilizing electronic #promissoryNotes issued by businesses for goods sold and services rendered. These notes are converted into Bitcoin credit tokens by so-called “Mints,” which can be redeemed 1:1 in Bitcoin. This system enables businesses to improve their liquidity without relying on traditional banks and helps reduce Bitcoin’s volatility by aligning the money supply with demand.
Kind of freebanking but on a Bitcoin-Standard.
I appreciate the further explanation.
Have you found a video on this by chance?
The way you explained it, it’s starting to make sense to me.
So not so much like cashu and ecash, rather more like Lightning (albeit LN is a protocol L2 like you said and theoretically other things could ride on top of LN rails…)
I guess maybe Bitcredit combines the idea of LN + cashu / ecash…
Here is my main source:
https://youtu.be/trI5nxp_ScM?si=Y-oKihTVkOaPT8h6
#WasBitcoinBringt
if you don’t understand german, i hope the automatic subtitles work for you.
I understood bitcredit as a real credit on top of L1 Bitcoin to meet real needs of real goods economy. hopefully the video is helpful to you.