Tutorials - Electronic Cash Supply

Topic 2.1

For the purpose of electronic cash development, the developer must use https://ecash-dummy.web.app to create dummy electronic cash, which can be used for development and testing.


Electronic Cash Supply Overview

The electronic cash Supply is not an open-source electronic cash library. Instead, it is a repository designed to enable the creation of electronic cash (electronic cash) through the collective agreement of multiple approving entities. These entities authorize the issuance of electronic cash in the form of a loan or bond granted to a borrower.


Key Principles

Decentralized Issuance: No single entity has the authority to create electronic cash. The source code that powers the electronic cash system is distributed among the approving entities, ensuring that creation requires consensus.

Democratic Creation: electronic cash can only be issued when a borrower is approved. This borrower must be accountable for the loan or bond, which gives the electronic cash its underlying value.

Borrower Verification: A borrower must be verified and qualified to repay the loan within an agreed timeframe in order for the electronic cash to be issued.


Functionality

The Electronic Cash Supply Library allows for the assembly of electronic cash from the distributed source code held by approving entities. These entities must agree on the borrower’s request before any electronic cash can be created or supplied.


Structure of Approving Entities

Approving entities can take various forms, and may include the following:


1. Lending Institutions or Banks

Where the borrower initially applies for the loan.

2. Central Bank Representatives

Responsible for approving the issuance of digital money.

3. Public or Government Offices

May represent public interest and provide regulatory approval.

4. Private Companies or Institutions

Tasked with managing the risk, ensuring repayment, and recovering the funds in case of default.


This is the general concept behind the formation of electronic cash supply, but it can vary depending on its purpose and application.