The Economics of Safecoin (presentation)

Date and time: Monday, March 2, 2015 from 7:00 PM to 9:00 PM

Location: Bitcoin Embassy (3485 Boulevard Saint-Laurent, Montreal, QC)

RSVP on Meetup and Facebook

Following the recent release of the Safecoin paper, I was considering organizing a meetup on Safecoin. I am really glad to announce that I have found someone to help me organize such a meetup.

About 2 months ago, I met @joelfinn at the Bitcoin Embassy when he started working at the co-working space. I’ve been talking to him about the SAFE Network whenever I see him and he’s been studying it on his own.

Joel and I have decided to prepare a presentation about the economic principles behind Safecoin.


The presentation will be divided in 3 parts:

  1. The purpose of the SAFE Network
  2. The role of Safecoin in the SAFE Network
  3. Advantages and use cases of Safecoin

Here are some of the resources that we’ve used to prepare this presentation:

In preparation for this presentation, we also interviewed Daniel Dabek, CTO of Infinity Algorithms (Daniel is currently working on a decentralized exchange (e.g. safecoin/bitcoin) on the SAFE Network) and Nick Lambert, COO of MaidSafe.


6:45PM - 7:00 PM Arrive before the presentation starts and meet other Safecoin Enthusiasts

7:15 PM Final preparations before the start of the presentation

7:30 PM Listen to the presentation on the economics of Safecoin

8:15 PM Question period

8:30 PM - 9:00 PM Stay around to talk with other Safecoin Enthusiasts


Joel Finningley is an entrepreneur and consultant with experience in developing new digital business models. Through his company, LumosForBusiness, he has collaborated on a number of innovative projects around the world, from crowdfunding platforms to social networks, and is now focusing on the future of digital currencies.


The Bitcoin Embassy

Savoir-faire Linux


Hi @frabrunelle, are you planning on recording the presentation?

Yes, the presentation will be recorded! :smile:


Where can we watch the video?

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I’ll upload it to Youtube in about a week. There’s a bit of video editing to do. :smile:

I’ll share the link here as soon as it’s uploaded!


Any news on the video?

Here is the video of the presentation by @joelfinn:

Thanks to Christian Aubry from Savoir-faire Linux for doing the filming and video editing!

You can also find Joel’s slides here.


And here is the video of the presentation by @dallyshalla:


Excellent, clear concise, informative and well presented…great vids guys.


@joelfinn @dallyshalla Great work!! Great T-shirts! Great presentations! Thumbs up for all of you!


Excellent @joelfinn thanks for creating this. Great delivery, really helpful slides, really important topic. I’d like to hear any ideas you have for those mind blowing applications… when you’re ready :slight_smile:

@dallyshalla I’m sooo excited about SAFEx. Apart from trading bitcoin, “SAFE bay” assets, it would be incredible if mainstream financial instruments came over. Is that feasible, not just technically, but would the industry consider this? Great presentation man!

I’m still trying to understand the implications of all this :smile:

BTW guys, and @frabrunelle, can we start a share of handy diagrams, jingles (brilliant), photos etc so others (points to self) can easily browse them and pull them into their presentations. @N1ckLambert sent me some earlier presentations, which are great, and I recognize one diagram at least from these, but it would be handy to have a gallery - something like a google images search rather than having to search inside presentation files. What do you think? A Dropbox share with all usable diagrams in it would do, with folders for differen types (photos, illustration, system diagram etc) and topics (architecture, farming, applications, economics etc)


Hey everybody, thanks for your feedback on the presentation!

I was a little under the weather for the presentation, hence the hairdo and the choppy delivery, but I’m glad the concepts were clear.

@happybeing in terms of my own ideas for ‘mind blowing applications’ I am really interested in some of the potential applications to the world of finance.

For example, I was doing some research on micro-finance, which is based on the concept of tiny, repayable loans, and how part of the big problem was the administrative burden for MicroFinance Institutions (MFIs) that comes with issuing tonnes of tiny loans.

Based on what I was seeing, because SafeCoin is instantaneous and without transaction costs, it could vastly streamline the process and break it out of the ‘interest zone,’ which is partially a response to the escalating admin costs that many MFIs and banks encountered (greed also a factor of course).

I know this doesn’t seem ‘mind-blowing,’ but I think it illustrates how a more ‘frictionless’ system could bring finance to the unbanked. And of course, any applications that would work in that context could be scaled into mainstream markets in a similar way that M-Pesa has scaled into many countries throughout Africa.

I know all of this would be later-stage in the SAFE evolution, as it principally a data-storage network … but it was just an ‘if-then’ projection on my part, where if the initial rollout of the network was successful and SafeCoin did begin to have a more fluid ‘cash’ feel than comparable digital currencies, then people would naturally be inclined to start looking for way to invest or share their SafeCoins with others on the network.


Love the hair!!! :stuck_out_tongue_winking_eye:


@joelfinn :

I know this doesn’t seem ‘mind-blowing,’ but I think it illustrates how a more ‘frictionless’ system could bring finance to the unbanked. And of course, any applications that would work in that context could be scaled into mainstream markets in a similar way that M-Pesa has scaled into many countries throughout Africa.

I think that is mind blowing! There was a TED talk which focused on the numbers of “unbanked” and how much global economic activity could be released by helping them access finance and financial services. It was very impressive to me, though my memory hasn’t retained it. I might have a note - do you know the talk I mean?

Definitely worth sharing ideas like this. I think it would be great to have just a handful of different kinds of amazing things that SAFE could enable, and this is a great example.


I did not fully understand why this protocol is essential for a decentralized exchange/marketplace…
I though escrow and arbitration are more important in this context, or even doing the whole thing on a blockchain like e.g. Ethereum (there are also problems, because you can’t store private keys on the blockchain, and you have to somehow get confirmations from another currency onto the blockchain).
Who guarantees me that the cup is shipped after I pay the 10 safecoins, and how is this decentralized?

No I don’t think I saw that talk, would love to see it if you had a link.

I try to put ‘mind blowing’ in context because everyone has a different definition of it, but yes the impact of tapping into the ‘unbanked’ would be staggering and I think that it’s within the realm of possibility, which is why I love thinking about it.

Agree that it would be good to have a collection of these big ideas, I imagine many others have some amazing ideas as well for different applications. Thanks for your thoughts.

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@joelfinn I haven’t found the talk itself, but searching for “unbanked” and “banking the unbanked” seems worthwhile. I found this guy Dug Campbell who gave a TEDx talk at Edinburgh in 2014: Bitcoin: More Than Just Money which is relevant. I wonder if he knows about MaidSafe, or if @dirvine knows about him.

Yes :wink:

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A lot of sharks moving into this space under the pretense of helping the unbanked. More like getting the underdeveloped world into debt to keep the western game going.

If SAFE could be used to bring interest credit free credit to the ‘unbanked’ that would be a game changer and thwart the debt parasites.

I get the feeling Project SAFE may have missed a trick here though…where is the x% of the Safecoin pool that could have been used to supply the micro credit? Where is the credit going to come from if these guys cannot farm for coin…are we still stuck with the donation model.


@chrisfostertv I am seeing that easily being implemented :slight_smile:

The network will only work if it is sustained with real materials as well as the digital data; after all the network is composed of vaults

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