On 17 Apr 2001, at 18:42, Paul Vahur wrote: > GoldMoney - electronic money backed 100% with gold. Unlike physical gold > can't (is not allowed to) be used in frb, thus enabling it to be used only > as a means of exchange. Hello Paul, Goldmoney is a digital currency 100% back by gold, exactly like e- gold. Like e-gold, it can be use by a third party to make up a reserve that can be leverage through fractional reserve banking. However, both e-gold and GoldMoney will not have liabilities, make loans or enter into FRB practices. In that regard, they are exactly the same. The differences between the two are at 3 levels I think: 1) the owner of a goldgram is the owner of that portion of gold in the vault. In the e-gold system, the gram of gold in the vault is held in trust by The Trust on behalf of the beneficiary of the e-gold account 2) A goldgram cannot have an encumbrance created against it by its owner. in other words, the goldgram cannot be pledged as collateral value in a contract. I think that is not true of a gram of e- gold. However, both goldgrams and grams of e-gold can be loaned. 3) A different distribution approach: E-gold has a main exchnage provider that also acts as the guardian and the operator of the e- gold system. That is Gold & SIlver Reserve who is the only entity that can bail gold bars in the system. GoldMoney relies on independent cambios to market the goldgrams. These Cambios have nothing to do with the operation of the GoldMoney System. Any cambio can bail in a gold bar. In other words, in the GoldMoney System, there is total separation between the system operator and exchange providers. Such is not the case in the e-gold system. Which way is better...time will tell. That is how I understand the differences between both system. Claude --- You are currently subscribed to e-gold-list as: archive@jab.org To unsubscribe send a blank email to [EMAIL PROTECTED]
