Author [EN] [ZH] [ES] [PT] [IT] [DE] [FR] [NL] [TR] [SR] [AR] [RU] [EN] [ZH] [ES] [PT] [IT] [DE] [FR] [NL] [TR] [SR] [AR] [RU] [EN] [ZH] [ES] [PT] [IT] [DE] [FR] [NL] [TR] [SR] [AR] [RU] Topic: CFSBTC limited sale begins  (Read 762 times)

0 Members and 1 Guest are viewing this topic.

Offline Rune

  • Hero Member
  • *****
  • Posts: 1120
    • View Profile
CFSBTC limited sale begins
« on: February 13, 2015, 10:47:47 PM »

Hey guys.

Riverhead is working hard at finishing up the hedgebot system that will allow us to offer the super tight spreads for bitUSD and bitGOLD on bter that traders crave. We're also going to have talks with elmato of Bitwallet and Monsterer and Shentist of Metaexchange about how to create a large amount of liquidity for the bitwallet once it releases (we want to have really high limits so you can send or receive up to 25 BTC as bitUSD or bitGOLD at a 0.5-1% fee)

Up until now we have been hedging all our bitcoin exposure using bitfinex leveraged trades. However if we want to really be able to offer the lowest spreads we will need to borrow our BTC directly from the community. We will do this in the form of a new CFS asset, CFSBTC. The idea is that CFSBTC will eventually function as an interest paying gateway asset, however at first it will just reside on the bitshares blockchain as a normal CFS asset like CFSGOLD, and will have a limited sale directly to early funders, manually by private message.

Here's the benefits of holding CFSBTC:

Steady returns from the market making of our HedgeBots: Since we fully hedge all exposure to other assets every time someone buys or sells into our market making walls on bter we are a guaranteed a small return on the difference in the spreads from where we sell (bter) and where we hedge (huobi). This results in a slow but steady income stream that is almost risk free (except in the event of an exchange default). 70% of the gross income from this goes directly to CFSBTC and results in an increased NAV. At issuance, each CFSBTC will be sold for 1 BTC each, but over time they will be bought back at higher and higher amounts as the BTC increase from our market making operations. At first while we are still at low volume this will income and NAV increase will be close to zero, but over time as we get more volume and more markets the return will increase.

continuos buy back/withdraw at any time: For every CFS asset there will always be systems in place to do instant withdrawal of all the funds they have deposited with us at the NAV. If there is large demand within a short period of time there can sometimes be up to 24 hours of waiting as we transfer money from the bots in order to pay back funders.

Early funder perk 150000 CFSCOIN sharedrop to CFSBTC holders: The biggest reason to buy into CFSBTC at this point (in addition to helping bitshares with bitasset liquidity) is the CFSCOIN sharedrop that all early funders get. This sharedrop is compensation for the fact that CFS assets are temporarily more risky than they will be in their final state (when they are insured by the value of CFSCOIN against exchange default risk). We will be releasing a lot more news regarding CFSCOIN and why it will soon become a really desirable investment as it takes on a life on its own as a DAC-coin that lives on the bitshares blockchain and gains 30% of all income earned by all CFS assets.

If you would like to become a funder of CFSBTC in our limited release sale then please send me a PM and you will get a bitcoin address where you can send you investment to, and will receive your CFSBTC at a price of 1:1. There is a minimum limit of 1 BTC to buy in. You will be able to withdraw your BTC again by exchanging your CFSBTC at any time at at least a price of 1:1, and possibly higher if NAV has increased (at first this this will also have to be done manually). At first there will be no fee on deposit and withdrawal, however once CFSBTC becomes a gateway asset that gets issued by a gateway there will be a deposit fee of 0.1%, and the income of this deposit fee will also go towards the NAV of the asset.

Also a short update on CFSGOLD. We're using all the bitgold we collected so far to either make sell and (hedged) buy walls on bter https://bter.com/trade/BITGLD_BTC or do continous buybacks at the CFSGOLD:bitGOLD market on the bitshares exchange (you can go there and withdraw your bitGOLD at any time). Volume has been quite low so far, but we have still made some income since we're still trading at a large spread, and might be able to do our first NAV increase soon. We're considering declaring a NAV increase and moving the buy and sell orders every time NAV increases by 0.1% rather than at specified points in time.

on CFSCOIN sharedrop. There will be a lot more news about CFSCOIN soon, along with a bitcointalk announcement thread and the new cryptohedge.io website. We are still considering when the best time to do the CFSCOIN sharedrop will be. The most important thing is that once the sharedrop is done we need to be sure that the CFS assets are "insured", (i.e. they can ensure all CFS assets stay at their current NAV if one of the centralized exchanges we operate on defaults). This means we will likely do the sharedrop some time after we've seen bitasset volume pick up, and have launched our buy&burn bot, which is the mechanism we will use to increase the price of CFSCOIN from 30% of the income of the HedgeBots so that CFSCOIN has a healthy, liquid market.

Have any questions about Cryptohedge, CFSBTC, CFSGOLD, CFSCOIN? please let me know and I'll answer. :)
« Last Edit: February 14, 2015, 02:11:38 AM by Rune »

Offline yellowecho

Re: CFSBTC limited sale begins
« Reply #1 on: February 13, 2015, 11:31:55 PM »
What are the expected returns for CFSCOIN and CFSBTC based on current tests?  Will you accept BitBTC rather than BTC?  Is there a way to invest in CFSCOIN right now?  I see the current supply of CFSCOIN is 1M while the max supply is 100M.. are there any future plans to increase CFSCOIN supply or dilute for any reason? 
696c6f766562726f776e696573

Offline infovortice2013

  • Board Moderator
  • Hero Member
  • *****
  • Posts: 521
    • View Profile
    • BitShares en español
  • BTS: traderx
Re: CFSBTC limited sale begins
« Reply #2 on: February 13, 2015, 11:40:21 PM »
What are the expected returns for CFSCOIN and CFSBTC based on current tests?  Will you accept BitBTC rather than BTC?  Is there a way to invest in CFSCOIN right now?  I see the current supply of CFSCOIN is 1M while the max supply is 100M.. are there any future plans to increase CFSCOIN supply or dilute for any reason?
+5%
New Keyoteeid: 5rUhuLCDWUA2FStkKVRTWYEqY1mZhwpfVdRmYEvMRFRD1bqYAL
new08/21 id 5Sjf3LMuYPSeNnjLYXmAoHj5Z6TPCmwmfXD6XwDmg27dwfQ

Offline Rune

  • Hero Member
  • *****
  • Posts: 1120
    • View Profile
Re: CFSBTC limited sale begins
« Reply #3 on: February 14, 2015, 02:10:22 AM »
What are the expected returns for CFSCOIN and CFSBTC based on current tests?  Will you accept BitBTC rather than BTC?  Is there a way to invest in CFSCOIN right now?  I see the current supply of CFSCOIN is 1M while the max supply is 100M.. are there any future plans to increase CFSCOIN supply or dilute for any reason?

Good questions. I expect returns for CFSBTC and other CFS assets to be up to 1% per month (12.5% yearly), however in the first couple of months it could be as low as 0.1% to 0.5% per month as we reduce the spreads in an attempt to get volume to pick up. Right now we have earned quite a lot, especially on the bitUSD bot, but this is because our spreads are between 3-4% as we still do the hedging manually. (CFSUSD still hasn't been up for public sale yet but will be soon). The earnings of CFSCOIN is quite difficult to predict because it depends on the total amounts of all CFS assets raised, as it gains 30% of all earnings made by trading with CFS assets.

Taking bitBTC instead of BTC will be possible for a small amount. I will put up a sell order for 5 btc on the internal market as test later.

There is no way to invest in CFSCOIN right now, the only way to get it is to either work for cryptohedge and get paid a bounty (more to come on this soon) or to buy a CFS asset and secure a part of its sharedrop. We will offer a smaller amount for sale on the market as a mini-ICO when we do our altcoin announcement and start the buy&burn bot that transfer income into the coin by buying and burning supply.

Regarding the total supply my idea was originally that once smart contracts are on the blockchain we would issue all the CFSCOIN and put them all in a locked contract with a number of restrictions that could be controlled by CFSCOIN holders voting with the UIA. The only reason why CFSCOIN supply will increase is if it's necessary to compensate CFS asset holders if an exchange we are actively trading on defaults. The ability to pay out this insurance is what entitles CFSCOIN to its share of the income from all the CFS assets. I'm open to suggestions about what the best way to handle this would be - I've realised that it will be a lot easier for people to trust the coin if total supply can't arbitrarily be changed like the current situation (even if initial supply is still fully controlled by a centralized group), and we might choose to issue and burn all supply in excess of the current 1 million if we can find a way to provide decentralized insurance for the CFS assets without having the ability to increase CFSCOIN supply.

Offline joele

  • Sr. Member
  • ****
  • Posts: 466
    • View Profile
Re: CFSBTC limited sale begins
« Reply #4 on: February 14, 2015, 02:41:13 AM »
Any plan to offer CFSBTS ?

Offline CLains

  • Hero Member
  • *****
  • Posts: 2610
    • View Profile
  • BTS: clains
Re: CFSBTC limited sale begins
« Reply #5 on: February 14, 2015, 05:10:32 PM »
How many CFSCOIN will there be total? (or what is the percentage drop CFSBTC holders get of CFSCOIN?)
Vote for BTS-2 witness: spectral (1.6.30)

Follow https://steemit.com/@clains

Offline ubits

  • Full Member
  • ***
  • Posts: 54
    • View Profile
Re: CFSBTC limited sale begins
« Reply #6 on: February 15, 2015, 03:17:02 AM »
Sent BTC to address provided by Rune, and received CFSBTC to my wallet.

Now wait, and collect yield  +5%

Offline xeroc

  • Board Moderator
  • Hero Member
  • *****
  • Posts: 12339
  • ChainSquad GmbH
    • View Profile
    • ChainSquad GmbH
  • BTS: xeroc
  • GitHub: xeroc
Re: CFSBTC limited sale begins
« Reply #7 on: February 18, 2015, 02:41:54 PM »
Taking bitBTC instead of BTC will be possible for a small amount. I will put up a sell order for 5 btc on the internal market as test later.
not seeing it ..  :-\
Give BitShares a try! Use the http://testnet.bitshares.eu provided by http://bitshares.eu powered by ChainSquad GmbH

Offline Rune

  • Hero Member
  • *****
  • Posts: 1120
    • View Profile
Re: CFSBTC limited sale begins
« Reply #8 on: February 18, 2015, 03:24:27 PM »
Taking bitBTC instead of BTC will be possible for a small amount. I will put up a sell order for 5 btc on the internal market as test later.
not seeing it ..  :-\

Yeah, sorry. For some reason I can't get the CFSBTC:bitBTC market to show in my client so I just gave up for now. Will keep trying and put it up if I can get it to work.

Offline ubits

  • Full Member
  • ***
  • Posts: 54
    • View Profile
Re: CFSBTC limited sale begins
« Reply #9 on: February 18, 2015, 04:00:27 PM »
Taking bitBTC instead of BTC will be possible for a small amount. I will put up a sell order for 5 btc on the internal market as test later.
not seeing it ..  :-\

Yeah, sorry. For some reason I can't get the CFSBTC:bitBTC market to show in my client so I just gave up for now. Will keep trying and put it up if I can get it to work.
I can see the pair, but this error on top of page   
  Cannot get market status. Probably no orders have been placed.   

 

Google+