Adam said:
rfrazier said:
Thanks for this info. I've written a couple of blog articles for the Let's Talk Bitcoin blog and look forward to doing some here as well. I've always liked the idea of being able to receive tips, etc., from the readers.
I've listened to Adam's first two ltbcoin podcasts and am trying to get my head around the strategy. I understand some of the goals in creating an internal coin. But, it seems to me, a walled garden approach, and would appear to create some disincentives for participating, as opposed to being compensated in bitcoin or litecoin or dollars.
Here's what I mean. I have several incentives to participate as a content provider. An intrinsic desire to see cryptocurrency succeed is one. A desire to have my writing published and gain exposure is another. And, I like what LTB is doing.
But, when it comes to financial goals, accumulating bitcoin, or litecoin, or ltbcoin doesn't do me any good unless I can spend it on what I want.
So, let's say I accumulate lots of ltbcoins for contributing in various ways. The only thing I can buy with them is other stuff in the ltb network: content from someone else, editing services, hangout seats, etc. If I have need of those things, that's fine, and as someone pointed out on the podcast, it's like credits inside of something like World Of Warcraft, etc (not sure if that's exactly what they said). But, it's also limiting. Suppose I want to get some new computer tech as a reward for my work that I'm contributing. I probably cannot do that with ltbcoin. I probably couldn't do it with litecoin directly. I probably could with bitcoin, and I certainly could with dollars.
It's kind of like having store credit at a local coffee shop, or having it at Target or Walmart, or having it at Amazon, or just having cash. If I want to get any gift card for Christmas, putting aside the emotional issues where some people don't want to give cash, then the most desirable of all these is cash, since I can then buy at Amazon, or Target or Walmart, or the coffee shop, or anywhere else.
So, speaking strictly of the financial incentives, would I be more likely to spend my time writing for LTB where I can only earn ltbcoin? Or would I be more inclined to write for some other xyz blog that would compensate me in something I can actually spend outside the walled garden? Well, I'd probably be inclined to be contributing to whomever give me the most universal compensation.
Now, as I said, I have other interests and motives for participating here, and I anticipate doing so. But, I see the internal currency as reducing my incentive to spend my time rather than increasing it. It may be that, at some point in the future, that will have enough value that it will be a strong incentive. I don't know.
Like Adam said, this has never been done before, so it's hard to predict the implications.
Sincerely,
Ron
Ron, you can sell your ltbcoins for bitcoin if you want. Point is, i can't create new bitcoins because you make content but we can LTB
Somehow I agree with both Adam and Ron on this. I'm eager to participate in LTBCoin regardless of how LTB executes it. Adam and LTB Team, a question and observaton:
Creating our own micro economy that will essentially be the backing and the reason that LTBCoin will have and maintain value is, I think, the exact approach we should be taking. Not only for the LTB network, but for many other business models. You guys have my full support on this. Why did you guys decide against using a proof of burn model for LTBCoin? I understand the wishing well analogy you use. It's a great idea. But I'm curious if you thought of this approach that I'm going to describe, and why you did not use it. You could use LTBCoin distribution to raise money for LTB network. Ltbcoins themselves could be like shares. Based on predefined terms, you could distribute dividends according to ltbcoins on something like a quarterly basis, in the situation that LTB network turns a profit after expenses. That's very simplified, but conceptually accurate. Sort of like an indie, DIY crowd funding campaign, but instead of getting a free t-shirt or discounted product like you might on Kickstarter, you get ltbcoins which can be spent at the LTB network or held onto like a dividend paying "share" in the network's success.
I'm not saying your strategy is better or worse, just wanting to know the reasons you went with it over one like I described. Regardless, keep up the great work!
