I am looking for help producing a concise rationale for why SmartCoins are needed, what makes them unique and special. What makes them secure. I would like to consider the following rules for describing this:
1. We shouldn't talk about HOW they are created (don't mention collateral, market, etc)
2. We should talk about why they are more secure than bank deposits.
A quick list of all implementations of "smart coins" and how they achieve meet the criteria of being special and better than IOUs.
I guess a SmartCoin is NOT an IOU and thus NOT a liability of anyone else. How can we express this in a POSITIVE form, ie: define what it is without saying what it isn't?
SmartCoins track the value of any currency, such as USD. They exist as smart contracts on a secure, distributed, and autonomous (self-healing) network.
Your SmartCoins are secured by SmartKeys. Nobody can access your funds without these keys; in fact, should you lose them, your funds are inaccessible for all of eternity. Fortunately, it's easy to keep your keys backed up, safe, and secure.
The keys themselves are protected by a password, and optionally by *other* keys or smart contracts. This allows for endless security configurations--including any combination of multi-keys, either-keys, co-approvals, time delays, and more. It makes 2FA weak by comparison