Will Reputation Capital Become The New Credit Score?

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In 2008, studies were conducted at theNational Institute for Physiological Sciences in Japan that led to the conclusion that our brains neurologically compute personal reputation to be as valuable as money. Not only is currency emerging around trust, but that currency is being fueled by reputation as calculated via social data, community participation and other factors. This is not about how often you’re on Facebook or Twitter, it has more to do with how often we’re online, transacting and building “reputation capital” through everything from Lyft, to Kickstarter to Airbnb.  

This illuminating TED talk by Founder of The Collaborative Lab, Rachel Botsman (an innovation incubator focused on the collaborative economy), speaks to how society, the new economy and the way we consume are all being transformed around these new metrics. It’s not only government and the economy, the opportunities for big businesses to reinvent traditional business models by engaging in collaborative partnerships are abundant. Botsman cites the examples of Google who invest in Lending Club and Uber, BMW’s investment and partnership with JustPark, Marriott’s partnership with Liquidspace, and GE’s with Quirky and Taskrabbit.


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