The My Trade Tokens platform or MYTC is the pioneering entity to make bartering possible over blockchain and with its flexible, transparent and secure network, it is attempting to build on the existing advantages of bartering and work on removing the challenges the barter system poses.
Please Note: This is a Press Release
Before money came to be used as a uniform, standardised unit of exchange, mankind relied on barter or reciprocal exchange of goods to meet their needs. Exchanging goods directly for one another offered certain advantages. Its simplicity vis-a-vis the complicated money economy of today, for example, is one of them. Since barter system promotes production of goods only to the extent required by the society and not for market economy, it helps to check wastage of resources. Problems of balance of payments do not exist and since there is no storability of goods in barter, it eliminates the possibility of concentration of economic power in a few hands. Barter system also promotes efficiency by hinging itself on division of labour where people produce goods they have expertise with, and exchange them for the produce of others who have varying kinds of expertise.
The My Trade Tokens platform seeks to make the most of these advantages even in the context of modern economy and by building an ecosystem of small and medium enterprises, with a common token for them to conduct their exchanges against, MYTC is working on enhancing the pros of the system. It uses blockchain to promote security, transparency in its largely automated and intuitive service and allows firms to engage in simple exchanges using Trade Tokens that can be stored for buying something on the same platform some other time. In this way, it retains all the advantages and only makes them better.
However, there are several challenges that the Barter System poses too. Firstly, the system requires a double coincidence of wants, where both parties to the exchange must be willing to buy and sell at the same time. MYTC removes this compulsion by making barter flexible. On this platform, users can buy now and sell later or vice versa.
This makes it possible for them to overcome the problem of finding a suitable buyer-seller pair.
In addition, the lack of a common measure for value makes it difficult to decide how much of one commodity must be exchanged for how much of the other. By introducing Trade Tokens as common currency, MYTC allows users to tide over this difficulty. Bartering also lacks the comfort of divisibility. Breaking up a commodity or service to exchange it for a smaller commodity becomes impossible without destroying its utility and this problem can be solved by the MYTC since is allows one to buy one commodity now and sell later based on the accumulated trade tokens instead of going for an inadequate fit.
Barter system also has the problem of wealth storage for making sure one has enough purchasing power available at hand. This problem too can be tackled by the flexibility allowed by MYTC.
Deferred Payments are also not available in the original bartering system since it becomes difficult to reach conclusions on the terms of such a deal. MYTC eliminates this problem too. Users can coordinate over the platform to make deferred payment hassle-free and maintain the original value without any difficulty.