[86664] in Cypherpunks
Re: GAK will probably be economically impossible
daemon@ATHENA.MIT.EDU (jf_avon@citenet.net)
Tue Sep 16 10:12:14 1997
From: jf_avon@citenet.net
To: e$@thumper.vmeng.com, cypherpunks@algebra.com
Date: Tue, 16 Sep 1997 09:04:49 -0500
In-reply-to: <v0311071fb042f4760f25@[139.167.130.248]>
Reply-To: jf_avon@citenet.net
On 15 Sep 97 at 10:19, Robert Hettinga wrote:
> In fact, even if all transactions remain book-entry ones, the exploding
> total transaction volume and competition to make those transactions
> efficient will make GAK economically impossible, because it provides no
> tangible benefit to those who use cryptography for business. There's no
> economic return on the additional cost.
>
> The cost of anything is the foregone alternative, and the cost of GAK
> causes you to forego a lot of money and potential revenue and doesn't buy
> you anything in return.
In the long term, you are right. But taxation doesn't buy much in
return that you couldn't buy by yourself either but they still do
it...
But again, the incentives are differents from their standpoint...
Ciao
jfa
