Cisco universal money platform
Money is the blood of economy. Without it there is no real production, trade and consumption. If you look at the history of money, then we will see extraordinary progress. In the ancient world they used shells, then they were replaced by metal coins, then paper. At the present time money represents a set of "0" and "1" in computer. And its movement is simply information transfer across the network. Let's leave out the issue of "material support of money"; it is all a matter of faith and trust (in government, in the value of gold, dollar stability).
The development of network technologies was accompanied by the rapid growth of card systems (Visa, Maestro, etc.), the payment terminals in shops set in a network made it possible to abandon cash. It is logical to assume that further development of technology will follow the path of the personal terminal use, and it will certainly be the cell phone. Since, as we have said, in the modern world, the function of cash payments is a simple exchange of information, modern cell phone will perfectly cope with this task (see the idea of "Cisco E-Pocket").
This fact is followed by several key findings:
- KEY FINDING: Availability of personal payment terminal unbinds users (buyers and sellers) from the use of existing terminals of payment systems. Thus the monopoly of Visa, Maestro etc. on the running of our daily payment transactions will disappear.
- KEY FINDING: The absence of monopoly would lead to growth of proposals from companies offering alternative payment transactions service.
- KEY FINDING: Nothing will keep buyers and sellers from conducting the payment using different systems and different currencies.
- KEY FINDING: The reliability of the whole system will be determined by the reliability of network infrastructure and network services.
- KEY FINDING: As this trend can not be prevented, it must be lead.
The idea is to give the market the technology (platform + services) to conduct full-cycle cash flow and all the processes associated with it. Business (represented by companies or even individuals) with the help of this platform will be able to:
- emit own payment unit (if necessary);
- allow a credit;
- make payments in emitted currency or any other;
- provide maintenance of customer accounts;
- carry out calculations in other computational units with other users of "Cisco Universal Money Platform".
Users will be able to:
- use their cell phones as payment terminals (See the idea of "Cisco E-Pocket").
- Pay for services and goods.
- Receive and transfer money to other users.
A possible scenario:
A typical transition town. Such towns have already appeared in many different countries - USA, Japan, Australia and Italy. Their residents prefer to use local money, local products and services provided by representatives of local business, typical products of the global economy.
Municipality decides to introduce its own local currency "IPPOINT" for the development of the city. Having considered possible options, the municipality came to the conclusion - the best way to implement this project is to use "Cisco Universal Money Platform".
- At the portal "Cisco Universal Money Platform" municipality:
- registered a new currency;
- defined the settings of the emitting center (bank) (Person, who, when, how, etc.);
- adjusted the properties of currency (demurrage, loan interest, etc.);
- configured the security settings (the generation of the necessary certificates, keys, etc.).
- Residents of the city installed the Java application "Cisco E-pocket" to turn their cell phones into the personal payment terminals (See the idea of "Cisco E-pocket").
- Bank grants loans to the residents, making transfers to their electronic wallets.
- Residents are ready to conduct business operations (buy, sell, pay taxes, etc.).
It should be noted that there is no need to pre-arrange a bank account for each user. The account will appear at the time of the payment transaction.
Topic is relevant not only for the "transition towns", but also for other communities of people seeking to organize joint activities in a context where government financial and social institutions do not provide the desired support.
For example the owner of a small business can emit its own currency. He may pay part of the salary (or the whole) to the employees in this currency. A large company, rather than issuing shares or bonds may be interested in issuing its own payment unit. This can be of great interest e.g. for the power generating companies. Their emitted currency will be popular and demanded, because it can be supported by real assets.
Ideas "Cisco Universal Money Platform" and "Cisco E-Pocket" are complementary and are able to maintain a significant market share of payment transactions.
Competition is needed for the healthy development of society. It helps reduce the prices of goods and services and encourages the level of quality. There is competition between companies concerning the production of goods and services, competition among politicians in the form of elections, but there is no competition in concerning the use of payment units. The platform "Cisco Universal Money Platform" is able to fix it. This is especially relevant now, in the context of the ongoing global financial crisis.