Follow up thread "BitShares Music" mumble session 3.10.13 with cob

[cusknee]

Really looking forward to the release of this DAC. Thanks for the audio link.

[gamey]

Below is the mumble session.  Great listen to understand what Cob is proposing.  It isn't highly technical.

https://soundcloud.com/beyond-bitcoin-hangouts/beyond-bitcoin-music-dac-edition-2014-10-03-starring-cedric-cobson

Sorry about wrong name in the title.

0:00 Cedric Cobban gets his mic working and it is showtime. He introduces himself and Itnom / Tautalent of BitSapphire.
1:03 Cob starts talking about where things have moved with the Bitshares Music DAC.
2:52 Talk about how dilution will be a feature of the Bitshares Music DAC.
3:49 Cob talks about the exact split as currently planned.
5:40 Discussion about how the web wallet being introduced will not be focused on crypto-types.
6:34 Will the DAC be independent of the website ? What is the interaction of Peertracks website with the DAC.
9:03 How will the storage of the files work ? Ownership? How is revenue from artists separated out from DAC revenue ?
10:55 What are NOTES ? More discussion about where revenue comes from. A very extensive description of how it will work.
17:40 How do the owners of the NOTES realize a profit ?
25:15 Itnom explains the evolution of the Music DAC idea and what his Ahhhh Ha! moment was.
27:42 How about moving this from audio to movies ?
30:50 Explanation of how an affiliate system will be used to generate revenue through links to help incentivize.
31:50 How about having enough capacity for infrastructure ? What all can be sold ?
35:00 Talk about piracy concerns and how the Music DAC would work internationally across the localized music sites. What all can be sold ? It can go to access to the artist ?
40:00 What PeerTracks is for.
41:13 Why not have all sales go to burning up the coins ?
44:00 How about insider trading on your own coin as an artist ? Fuz talks about being oiled up naked walking around.
45:44 Is a lightweight client needed to protect wealth in the DAC when used without a website ?
46:36 The artist can decide on what percentage is burned ?
49:45 Fuz brings up how a mother could buy up the shares of her bitCocaine addicted wannabe rockstar son and lift him up from his lowlieness.
50:46 How does Peertrack make money ?
Modify message

[santaclause102]

Thanks cob for attending the mumble session yesterday! The following questions remained with me or others in the community.

What would be modifications to BTSX other than the possibility for dilution?

How will your legal set up be for the presale (if you are allowed to say anything about that)?

How does the dilution exactly work? Say 1 delegate is running a campaign promoting he will dilute notes to raise capital. Then that delegate is voted in. By how much can that 1 delegate dilute all the shares or is a 51% majority of delegates required for dilution? Is that dilution caped?

Fact: Ethereum and others that did a fundraiser in btc lost quite a bit of their funds? Solution: Not raise in Bitcoin or exchange to USD/BitUSD/BTSX as soon as funds are received .

I would encourage you again to allocate enough funds to your company so you don't have to take a service fee which would be a principal (shareholders) - agent (peertracks) problem. http://en.wikipedia.org/wiki/Principal%E2%80%93agent_problem

Allocation specific (that is just my opinion): 30/30/10/30 would give those that buy into the presale the feeling that they are welcome and treated fairly.
Worth considering imo would be to split up the fundraiser into two presales. The second one would bring in more money probably when you have proven that the business model and the software is working.

Suggestion: Advertise the PTS Snapshot -> drives up PTS market cap which is great marketing for BitShares Music -> then do the presale which will bring in more money because PTS market cap is higher and presale price will be roughly according to PTS market cap.

Joeyd suggested to to either fix the allocation so that PTS investors know what they are actually getting from the Snapshot or to confirm that the allocation is not known yet and that PTS investors should be prepared for anything.