Say I already lent EUR 100.00 to a friend, in cash, quite informally. Can I use Ripple to keep track of it? If so, how?

I guess I need to get him sign up at ripple.com (or get another Ripple client).

Then I grant him > EUR 100.00 trust.

Then he can just "send me" EUR 100.00.

Is that all? Or is there anything more to it? Does my friend need trust from anybody else in Ripple in order to be able to do that?


Yes, Ripple is created precisely for such purposes. Both you and your friends need some small balance in ripple first to "activate" your accounts. After that, you need to grant your friend trust for at least the amount he will owe you, and then he needs to send you money. After that, you will see a net positive amount on your account, and they will see a net negative amount.

If you don't trust your friend with the money but you are connected through a web of trust, there is still a possibility of them sending you money. The transaction will appear from them, but your balance will show some other friend owes you money, and in part your borrower will owe them money.

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    I would love to do it, problem is I still don't trust Ripple enough. Has anyone used it for real world purposes / nontrivial amounts yet? – ripper234 Feb 26 '13 at 12:36
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    @ripper234 Well, you don't need to trust ripple too much if you only trust people you trust (it's confusing to talk about it, ain't it?), and just use it as some ledger of how much someone owes you and so forth. If you don't try turning it into a web of trust where your IOUs can shift easily, then you should be fine. – ThePiachu Feb 26 '13 at 15:00
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    @ripper234: People are using it for real world purposes, but not in non-trivial amounts yet. You could use it for non-trivial amounts now so long as you double-check transactions and are prepared to switch to a backup system should something go wrong with Ripple. – David Schwartz Feb 26 '13 at 15:24
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    ThePiachu and @DavidSchwartz, I don't want to enter my debts into both Ripple and a backup system, my txs are too complex as it is. So ... I'll wait for it to graduate out of alpha/beta. – ripper234 Feb 26 '13 at 16:31
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    @imz--IvanZakharyaschev If he doesn't send you the virtual money in Ripple, then you can't track the debt this way through Ripple. If he does send you the IOUs, you can transfer the debt to other people. As long as your friend agrees that the debt is transferable, he should uphold the debt to anyone who has the IOUs. This is essentially how new money is created. – ThePiachu May 23 '14 at 17:07

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