What the Internet of Money really is and how to build it

@pmarca The new #web3‌‌ infrastructure based around a Decentralised Key and Rights Management System (DKRMS) will revolutionarise commerce and this is why @realDjuno is building it. 24/24

@pmarca Another area which will benefit from the new #web3‌‌ infrastructure are financial applications dealing with tokenized assets. Application builders will need to focus only on business logic rather than repeatedly reproducing the building blocks of infrastructure for every project

@pmarca Such new DKRMS-based #web3‌‌ infrastructure will make it easy to build applications for the automated licensing of assets, which can revolutionise the world of digital media, starting from photo and video, designs and eventually any asset that can be represented in digital form.

@pmarca The new cloud infrastructure will have a Decentralised Key Management System (#DKMS) at its core, which by adding rights monetisation functionality will become a Decentralised Key and Rights Management System (DKRMS). 21/24

@pmarca Similarly, the use of a smart contract for the Beneficiary role could enable implementing a complex business logic when allocating the proceeds, such as the various “waterfalls” in financing agreements. 20/24

@pmarca The fact that roles are identified by wallets enables granting them not only to humans, but also to smart contracts, or to decentralized autonomous organisations (DAOs) – for example, the role of Price Setter, where the price is set by an algorithm or a voting process. 19/24

@pmarca Considering that identity is context specific, in the world of exchange of value users should be identified by their digital wallets that store value, the same way as when information is exchanged they are identified by their emails. 18/24

@pmarca Only by implementing this new type of cloud infrastructure that allows the granular definition, pricing and trading access rights, which also include such rights as Price Setter and Beneficiary, we it be possible to build a proper “Internet of money”. 17/24

@pmarca If the original cloud, built by Google and Amazon, focused on the easy scaling of infrastructure without the need for capital outlays (#IaaS, #SaaS), the next generation #cloud will be built around the addition of a new approach to identity and access management.

@pmarca Price may also be differentiated by type of entity to which a right is granted and so on. We expect a whole new level of complexity to develop around these fundamentals in order to address specific business needs. 15/24

@pmarca Custom roles can involve restrictions on the basic roles (e.g. limiting the number of times a file can be viewed, or restricting the time period over which it can be viewed, in relation to the Viewer role). 14/24

@pmarca Identity and access management (IAM) of the Internet of Value should include the following basic roles: Viewer, Editor, Price Setter, Beneficiary and Rights Administrator (owner) which can be held separately or together. As in Web2, some roles may be held by more than one entity.

@pmarca The owner sets the price and receives the money once the transaction has taken place, acting as the price setter (for the “asking price”), as well as the recipient of the sale proceeds. This implies that Owner also incorporates two more basic roles: Price Setterand Beneficiary.12

@pmarca In the Internet of Value every access right can be bought and sold. 11/24

@pmarca For rights to be monetized it should be possible to attach a monetary value to them – every role should have a price for which its owner would be willing to dispose of it, the same way as a stockholder can sell shares that represent ownership right over a fraction of a company.10

@pmarca However, this basic identity and access management (IAM) infrastructure addresses the requirements of Web2 (or “Read and Write”) but does not meet the needs of the Internet of Value (“Own”) or the monetization of such rights. 9/24

@pmarca The Viewer has the right to retrieve information, the Editor can modify it, and the Owner can do all of the above and in addition has the right to assign (or revoke) rights to others. 8/24

@pmarca We at @realDjuno that on the Internet of Value the equivalent of claims on other assets are the access rights (e.g. the rights to access information), usually defined through such basic roles as Viewer, Editor and Owner or more granular pre-defined or custom roles. 7/24

@pmarca So now that the payment issue on the Internet appears to be resolved, what is its equivalent of the broader “financial assets” that would represent the bulk of the Internet of money? 6/24