Hello dear readers. Today I will share my notes about Bit Trust System.The Bit Trust System was the first blockchain network based on system-level trust between accounts. It employed blockchain transaction records and trust algorithms to evaluate the reputation value of a given transaction object of an account, recommend, and match.
Firstly I am going to write what it tries to solve. Despite the fact that the bitcoin system solves the issue of using electronic cash, it fails to address the issue of trust in decentralized online transactions. Concerns about confidence in transactions involving the issuance of tokens on the main network can be addressed using Ethereum.To build a network, smart contracts are employed. However, in a wide range of blockchain application scenarios and P2P transactions, such as digital money and legal cash, commodities, and services, the industry has received no substantial response to trust concerns.
There are three stages in the evolution of human society's trust.In the agrarian society, customary trust exists, in the industrial society, contractual trust exists, and in the information society, cooperative trust exists.Personal ties, a trust-intermediary-secured contract, and an information system all contribute to the corresponding trust. Contractual trust mechanisms, which were created during the Industrial Revolution, are now widely used in traditional online transactions.Traditional Internet-based electronic transactions, according to S. Nakamoto, require a centralized organization as a third-party institution to create trust evaluation for both parties, which is a model based on a contractual trust mechanism with high transaction trust costs and requires the transaction parties to provide unnecessary private information, according to the Bitcoin White Paper.
It uses the Bit Trust System to allow for free transactions. There is no way to create interpersonal/contractual confidence because there is no third-party middleman.with the counterparty to the transaction.By addressing crucial concerns about trust rebuilding in the new economy and new finance, the Bit Trust System is a key to unlocking the door to the digital economy for developers, merchants, and Internet users.
So basically Bi Trust system makes easier to trade. And makes the system more trustful. It can change whole direction of industry.Tam incelemeye bakın