what are the costs?
there are 3 costs on a blockchain platform:
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converting currency into coins “minting” banks to blockchain
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transferring coins wallet-to-wallet blockchain to blockchain
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converting coins into currency “burning” blockchain to banks
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software = access is fixed $ fee per user, transactions are unlimited
vs.
blockchain = access + wallets are free, but transactions cost a % fee
Most project wallet providers charge a % fee to the receiving party (like a credit card fee). Tying the expense to the party who receives the greatest gain of the platform.
how does buildwallet work with my accounting?
user wallets (everyone) are treated as a digital bank account.
project wallets (Owner/Contractor) are treated as a special purpose bank account created for the project, showing the inflows and outflows of funds.
Can the Owner/Lender see what the Sub/Supplier is paid?
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No, the Owner sees the value of the Smart Subcontract, but not what was issued to the Sub/Supplier.
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NOTE: The difference between the two "profit" stays in the phase until released by the Owner and paid directly to the Contractor.
what are the applicable industries?
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construction- residential / commercial
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software development
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supply chain & manufacturing
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film & entertainment production
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ship building & aerospace
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mining & resource extraction
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telecommunications
vocabulary
approve to pay – single action to both approve work & release reward instantly
blockchain – platform for the storage / organization / trade of digital value
contract – primary agreement between Owner + Contractor
Contractor - team leader & responsible for project execution
invoice – nested inside subcontract (Sub/Supplier’s goal)
Lender (optional) - financial stakeholder
OH&P – Overhead & Profit
overhead – contracted value directly to Contractor
Owner – primary stakeholder & decision maker
phase – sub-grouping of contract value (Contractor goal)
project wallet – Owner’s single-use wallet to hold project funds
profit - value in contract less the subcontracted amount
stablecoin – value of exchange on blockchain (pegged to currency - typically $1 USD)
smart contracts – self-executing if/then agreements
subcontract – nested agreement between Contractor + Sub/Supplier
Subcontractor - labor suppliers (multiple per project)
Supplier - material suppliers (multiple per project)
trust – mutually predictable action
user wallet – individually owned by the participating party
wallets – self-custody storage of stablecoin on blockchain