From: Anonymous User <nobody@c2.org>
Date: Sun, 28 Aug 94 11:06:54 PDT
To: cypherpunks@toad.com
Subject: Bootstrapping a free banking economy
Message-ID: <199408281805.LAA01701@zero.c2.org>
MIME-Version: 1.0
Content-Type: text/plain


Pr0duct Cypher writes:
> To those at the Nexus who are using Magic Money: thank you and good luck.

Is the Nexus Bank still up?  Reference to it seems to have been removed
from the c2.org web page.  Also, what are the current money supply
figures for the various banks?   I, for one, would like to develop
for digital cash (perl, C, Unix, sockets, etc.) but I'm looking
for a bank that is commited to turning their barter tokens into an active
economy over the long term, so that I will have some choices
about how to spend those wages.

> So far you are planning to accept Magic Money as payment, and to pay out
> Magic Money to a few people who write some code or otherwise help you out.
> This will not get it into widespread use. Instead, [rebate in NexusBucks]

I think both service fees and the rebate are a good idea.  Two more 
good ideas might be :

- Loans, in NexusBucks, to independent developers of online services
who expect a future digital cash flow stream from their service

- Consumer loans to developers who expect a future wage stream
in NexusBucks

What is the best way to bootstrap the information services economic
cycle?   What is the minimal size of economy needed -- how many
online services, how many developers, how many skilled believers
willing to invest sweat equity to bring us to that pint?

"Cypherpunks write code -- for digital cash"