Capabilities are bearer instruments for rights, and message passing is the secure rights transfer primitive. Simple programs can then express Smart Contracts, arrangements granting derived rights to the participants, where the terms of the contract are enforced by the program's execution. The next layer above distributed capabilities, ERTP , does provide these properties. Only electronic rights manipulable via ERTP are called erights . ERTP is a simple protocol involving only 4 types and 9 methods.
Money is exclusive , fungible , and non-exercisable .
Money transfers should be blinded, but this implementation provides only non-blinded transfer. These erights are exclusive , non-fungible , and exersizable . As Nick explains in Contracts with Bearer , since these erights are non-fungible, nothing would be gained by blinding their transfer. ERTP has been independently implemented as part of the Waterken Sea package, which also defines many particular erights. The Pencil, the Brick, and the Law To be presented at Austrian perspectives on the New Economy Much improved restatement, thanks to The Mystery of Capital by Hernando de Soto .