Author Topic: nuBits: 9$ - nice peg  (Read 5333 times)

0 Members and 1 Guest are viewing this topic.

Offline edilliam

Yupp, remember BitCNY has traded for as high as 1.51 and as low as 0.61 CNY on BTER. With actual trades happening.

Yep, that has happened, though it's important to note that our peg does not exist on external exchanges but on our own exchange on the blockchain accessible via the client. We do not run (currently) any MM bots on the external exchanges. As far as I am aware and someone correct me if I am wrong, NuBits peg only exists on the external exchanges where they do run their bots to maintain their peg.

Edit: So, if for example I convince a friend to try out BitUSD. He is unsure of its value and only offers me $0.61 for 1 BitUSD and we then make that trade and then 5 more of my friends agree to the same trade, it doesn't mean the BitUSD peg is slipping, because the peg does not exist in this new market between my friends and I.
« Last Edit: February 07, 2015, 01:13:20 am by edilliam »

Offline Markus

  • Sr. Member
  • ****
  • Posts: 366
    • View Profile
Yupp, remember BitCNY has traded for as high as 1.51 and as low as 0.61 CNY on BTER. With actual trades happening.

Offline edilliam

Does anyone know why their market maker bot was offline? Do they only have the one bot per exchange? Who maintains the bot, what happens if they are unable to maintain it (sickness, travelling etc)? Isn't this a big human error-like weakness in their system? How do we know their MM bot is actually making money? What if it is making a loss, will it one day just switch off, never to return? Do they publish this information anywhere?

Offline gamey

  • Hero Member
  • *****
  • Posts: 2253
    • View Profile
Lol it is also a good tactic to steal the investor's money.

edit - ok maybe I'm being dickish because I do not mean to accuse anyone of anything.  That is the reality of this sort of tech and their approach. I wouldn't be harsh on Nubits if they didn't make ridiculous claims that IMO mislead people.

Nubits or Nushares didnt steal anyone's money.

Some trader "stole" someone's money by having a tricky order in place (looked good but off by a decimal place) when the market maker bot was down or adjusting. 

Note that if this had been on bter, the trader would have gotten a big warning message when they tried to trade saying that their trade was far away from the recent price of the item, and asking them if they are sure they want to confirm the trade.  I had had this happen once when I missed a decimal place, and it saved me from essentially doing the same thing.

I'm not saying anyone stole anything.  I'm saying that given that the price was up at $9 it could happen by a bot going off due a bug. Thats just the reality of it. shrug. The bug could be purposeful or not. One never knows.

One of the things about crypto blockchains is that things are traceable and we can see what is happening at all times.  Nushares took a completely different direction. People by and large are complete rubes in what they'll believe.  Transparency is the biggest weapon against this sort of thing because it lets people 'who understand' to point out what is going on.  Don't shoot the messenger ...


I speak for myself and only myself.

Offline Ander

  • Hero Member
  • *****
  • Posts: 3506
    • View Profile
  • BitShares: Ander
Lol it is also a good tactic to steal the investor's money.

edit - ok maybe I'm being dickish because I do not mean to accuse anyone of anything.  That is the reality of this sort of tech and their approach. I wouldn't be harsh on Nubits if they didn't make ridiculous claims that IMO mislead people.

Nubits or Nushares didnt steal anyone's money.

Some trader "stole" someone's money by having a tricky order in place (looked good but off by a decimal place) when the market maker bot was down or adjusting. 

Note that if this had been on bter, the trader would have gotten a big warning message when they tried to trade saying that their trade was far away from the recent price of the item, and asking them if they are sure they want to confirm the trade.  I had had this happen once when I missed a decimal place, and it saved me from essentially doing the same thing. 
https://metaexchange.info | Bitcoin<->Altcoin exchange | Instant | Safe | Low spreads

Offline gamey

  • Hero Member
  • *****
  • Posts: 2253
    • View Profile
Seems the bot has lost one digit and was buying nubits until it reach 10x the original price  :D
So probably one custodian is now out of the game  :'(


edit: I just saw your above message  :)
It looks like someone screwed up a decimal place on the BTC price and the bot went bonkers lol

so a good tactic is to have open sell orders about 8 times the dollars price... it will happen again for sure  8)
(and maybe open buy orders at  8 times lower price)

Lol it is also a good tactic to steal the investor's money.

edit - ok maybe I'm being dickish because I do not mean to accuse anyone of anything.  That is the reality of this sort of tech and their approach. I wouldn't be harsh on Nubits if they didn't make ridiculous claims that IMO mislead people.
« Last Edit: February 06, 2015, 09:57:20 pm by gamey »
I speak for myself and only myself.

Offline hpenvy2

  • Sr. Member
  • ****
  • Posts: 217
    • View Profile
the circlejerk is strong in this thread

Some hit the circle, some go at it alone. Plenty of jerking for all comers.

Offline VoR0220

https://metaexchange.info | Bitcoin<->Altcoin exchange | Instant | Safe | Low spreads

Offline Chronos

I found the cause.

Someone got scammed on the NBT/BTC pair on CCEDK exchange. They thought they were buying NBT for 0.004493201 BTC each, but there was no sell wall from NuBot, so they paid 0.04493201 BTC instead, and they spent 1.89 BTC. This means they tried to buy $420 of NBT and received only $42 worth. Ouch!

Because of this trade (there was more than one, but this was the largest), CMC thought NBT were worth $10 each. That skewed all NBT trading pairs, market caps, and volumes by 10 times, which is why the NBT volume showed as $1.5M instead of $150 000. That's also why it showed NSR as being worth many times more than reality, because of NSR/NBT pairs with NBT valued at $10.

Offline edilliam

You guys should stop salivating over one low volume trade where some guy fat fingered an order and was off be a decimal place.

Pegs don't prevent the price from ever going away from the peg value for a short time due to things like this, they just ensure that it will go back.


The same exact thing could happen in bitUSD and the Nubits people could laugh at us, but you guys would point out that it was just a brief blip.  Give them the same amount of credit.

Not really salivating, just curious to know what was going on with them. We're all really into this stuff, it's not like we are just going to sit here and not talk about a giant elephant in the room. It's how we talk about it that's important.

Edit: Well I'm not salivating anyways. Can't talk for others.
« Last Edit: February 06, 2015, 07:14:13 pm by edilliam »

Offline toast

  • Hero Member
  • *****
  • Posts: 4001
    • View Profile
  • BitShares: nikolai
the circlejerk is strong in this thread
Do not use this post as information for making any important decisions. The only agreements I ever make are informal and non-binding. Take the same precautions as when dealing with a compromised account, scammer, sockpuppet, etc.

Offline yellowecho

You guys should stop salivating over one low volume trade where some guy fat fingered an order and was off be a decimal place.

At the time of the post the volume appeared huge.  No salivation here.. just found it amusing and curious.  :-X
696c6f766562726f776e696573

Offline Ander

  • Hero Member
  • *****
  • Posts: 3506
    • View Profile
  • BitShares: Ander
You guys should stop salivating over one low volume trade where some guy fat fingered an order and was off be a decimal place.

Pegs don't prevent the price from ever going away from the peg value for a short time due to things like this, they just ensure that it will go back.


The same exact thing could happen in bitUSD and the Nubits people could laugh at us, but you guys would point out that it was just a brief blip.  Give them the same amount of credit.
https://metaexchange.info | Bitcoin<->Altcoin exchange | Instant | Safe | Low spreads

Offline Mtinie

  • Newbie
  • *
  • Posts: 11
    • View Profile
It's returned to normal now. But, here's another screenshot:

If you look again you'll see that everything is normalized. I don't have an answer for why CMC showed that other than the outlier orders from CCEDK's market somehow affected CMC's global calculation for NBT's average price.

Edit: Actually, I do. All of the markets you highlighted in the screen capture use NBT as the base currency.

If CCEDK's NBT/BTC price (which was the dominant market during the timeframe) was showing ~$10, then CMC would use that price to set the new baseline prices for all of the NBT denominated markets.
« Last Edit: February 06, 2015, 05:06:50 pm by Mtinie »

Offline btswildpig

  • Hero Member
  • *****
  • Posts: 1424
    • View Profile
NuBot wasn't involved on either side of these outlier trades. Someone had a manual order placed at at 10x the going rate (most likely to sucker someone into buying it who wasn't paying attention) and another trader erroneously bought those NBT during a wall shift.

What happens to those buy orders ? Why the buy orders for NBT are so thin on these few days ?
« Last Edit: February 06, 2015, 05:14:25 pm by btswildpig »
这个是私人账号,表达的一切言论均不代表任何团队和任何人。This is my personal account , anything I said with this account will be my opinion alone and has nothing to do with any group.