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: Creating Asset and what's next?  (Read 250 times)

0 Members and 1 Guest are viewing this topic.

Offline clayop

Creating Asset and what's next?
« on: August 27, 2014, 11:47:06 PM »

A friend of mind owning a company is thinking about creating asset in Bitshares X. The company will sell its shares in BTC.
In this case we have a couple questions.

1. How to distribute asset to investors (Get a memo of their BTSX name and issue to them?)
2. If the company makes annual profit, how can we share with asset-holders?
Bitshares Korea - http://www.bitshares.kr
Vote for me and see Korean Bitshares community grows
delegate-clayop

Offline robrigo

Re: Creating Asset and what's next?
« Reply #1 on: August 27, 2014, 11:52:49 PM »
A friend of mind owning a company is thinking about creating asset in Bitshares X. The company will sell its shares in BTC.
In this case we have a couple questions.

1. How to distribute asset to investors (Get a memo of their BTSX name and issue to them?)
2. If the company makes annual profit, how can we share with asset-holders?

I believe that the legal distribution of regulated securities is something that is possible within the BitSharesX system but it hasn't been completed yet. Have you read BM's blog post regarding a cryptostock? It's a good outline as to what needs to be done. http://letstalkbitcoin.com/blog/post/overstock-to-cryptostock

A big problem seems to be passing the Know Your Customer info along as BTSX is designed to be anonymous, so I don't think this could be accomplished within the current release. New features to allow the registration / verification of an identity will need to be solved. I'm pretty sure the VOTE DAC is working on a similar concept for establishing the identity of voters.

Offline clayop

Re: Creating Asset and what's next?
« Reply #2 on: August 28, 2014, 12:03:45 AM »
I believe that the legal distribution of regulated securities is something that is possible within the BitSharesX system but it hasn't been completed yet. Have you read BM's blog post regarding a cryptostock? It's a good outline as to what needs to be done. http://letstalkbitcoin.com/blog/post/overstock-to-cryptostock

A big problem seems to be passing the Know Your Customer info along as BTSX is designed to be anonymous, so I don't think this could be accomplished within the current release. New features to allow the registration / verification of an identity will need to be solved. I'm pretty sure the VOTE DAC is working on a similar concept for establishing the identity of voters.

Thanks. Legal problem is not important in our case. Can you have any idea about question #2?
Bitshares Korea - http://www.bitshares.kr
Vote for me and see Korean Bitshares community grows
delegate-clayop

Offline luckybit

Re: Creating Asset and what's next?
« Reply #3 on: August 28, 2014, 12:11:21 AM »
A friend of mind owning a company is thinking about creating asset in Bitshares X. The company will sell its shares in BTC.
In this case we have a couple questions.

1. How to distribute asset to investors (Get a memo of their BTSX name and issue to them?)
2. If the company makes annual profit, how can we share with asset-holders?

Right now as far as I know you cannot have legal contracts on the blockchain. Tell your friend that in order to issue securities he has to issue them in the real world, then treat the asset/tokens as IOUs on the Bitshares blockchain. When people want to cash them out into legal securities then there has to be a Ripple/Stellar Gateway which acts as stock broker. The Gateway would purchase the legal stock on behalf of the owner of the IOU and then transfer ownership basically like a stock broker.

The reason we aren't doing this yet is because no one has set up the Gateway or financial institution to make it possible to turn IOUs into real stock. Really though it's no different than saying whoever has the paper coupon is owed the legal security and they would have to redeem that through the Gateway.

Don't take this as legal advice but as technical advice. The best I think he can do is issue a market pegged asset on the Bitshares chain which tracks the buying power of his real life stock. There would be no dividends as it would at best just be a simulation of the buying power but it would allow us to trade something which acts like the stock prior to the ability to redeem it for a real security.

There is no guarantee he would redeem these IOUs, no legal promises, nothing like that. When crowd funding becomes legal or when there is an institution set up then he can redeem.
« Last Edit: August 28, 2014, 12:15:07 AM by luckybit »
https://metaexchange.info | Bitcoin<->Altcoin exchange | Instant | Safe | Low spreads

Offline luckybit

Re: Creating Asset and what's next?
« Reply #4 on: August 28, 2014, 12:17:50 AM »
I believe that the legal distribution of regulated securities is something that is possible within the BitSharesX system but it hasn't been completed yet. Have you read BM's blog post regarding a cryptostock? It's a good outline as to what needs to be done. http://letstalkbitcoin.com/blog/post/overstock-to-cryptostock

A big problem seems to be passing the Know Your Customer info along as BTSX is designed to be anonymous, so I don't think this could be accomplished within the current release. New features to allow the registration / verification of an identity will need to be solved. I'm pretty sure the VOTE DAC is working on a similar concept for establishing the identity of voters.

Thanks. Legal problem is not important in our case. Can you have any idea about question #2?

It's not a big problem long term. The solution is Bitshares can connect to a Gateway on Ripple which handles all the KYC stuff. Bitshares is not a financial institution and in my opinion never needs to try to become one.

Ripple on the other hand wants to interface with financial institutions such as banks and all we need is a stock brokerage which accepts Ripple IOUs in exchange for securities. Those IOUs would purchase the securities basically allowing our BTSX to buy securities. Since buying power is 1:1 or close to it due to the peg it is obvious how you could simply connect dots.
https://metaexchange.info | Bitcoin<->Altcoin exchange | Instant | Safe | Low spreads

merockstar

  • Guest
Re: Creating Asset and what's next?
« Reply #5 on: August 28, 2014, 12:35:38 AM »
A friend of mind owning a company is thinking about creating asset in Bitshares X. The company will sell its shares in BTC.
In this case we have a couple questions.

1. How to distribute asset to investors (Get a memo of their BTSX name and issue to them?)
2. If the company makes annual profit, how can we share with asset-holders?

my answer to both questions is wait for BitShares ME to be integrated into the client.

search this forum for "Dividends 2.0"

 

Google+