[PKop]

You would always need a central authority to reconcile the state of the physical world with the digital ledger. At that point what is the blockchain for? Or, what does the network look like that "runs" the blockchain? Surely there isn't any mining or proof of work, because there's no internal token to produce this way; the value is all external.

And you cant trust random people to create the token or to reconcile (lie) about the physical/digital correspondence. Entangling digital with physical seems to devolve to just a database with a trusted authority administering it. I don't see any other way.

[swalsh]

My design philosophy is to use the blockchain for the parts where it's a good solution, and to not use it for the parts where it's not. For physical products that means adding some trust into the system. For pure digital systems, that means identity, money, or owned objects etc. can go on-chain. Things that are just transient data can go in a traditional database.