Quote from: xeroc on September 16, 2014, 06:04:14 pm

Quote from: trader on September 16, 2014, 05:59:42 pm

Quote from: xeroc on September 16, 2014, 05:55:42 pm

Quote from: trader on September 16, 2014, 05:51:42 pm

Informative and engaging video.
Is Brian still resigning as head of marketing? I think we have found a replacement.

What the ... ??! 

Well there was this discussion a month ago now:
https://bitsharestalk.org/index.php?topic=6845.0

I am sure you know my post counter .. I do know about this thread .. and I do know about the ongoing discussions .. but I do believe you are mixing things up ...
brian has not "resigned" .. he founded an own company for the purpose of marketing bitshares ... not just btsX .. and as far as I know noone from the community is paying a penny for that .. so how come you dare speaking like this?

honest question: do you even know what Brian is doing all-day long?

It's I3s and DSLs decision to hire a marketing guy .. if you don't like it .. hire an own one

FYI Brian hired me.

Quote from: bytemaster on September 10, 2014, 04:05:08 am

When attempting to value a company one of the primary metrics that can be used is the earnings per share and the resulting P/E ratio.   You can view BitShares systems as companies that earn revenue from transaction fees and have expenses paid to people providing resources to the company.

I have put together a basic chart that shows the earnings BTSX would see at various transaction rates and trading volumes and then assumes an industry average 20 P/E ratio to derive an expected market cap valuation for the network.


Based upon these numbers the valuation of BitShares X with 1 transaction per second and $500K volume per day on the internal exchange is $62 million dollars.   However, if the internal exchange volume reaches similar levels to the external exchanges today, then the expected transaction rate would yield a valuation of $300 million dollars.    Once the exchange volume hits $10 million per day, the resulting transaction volume of 10 transactions per second the valuation would be about $700 million dollars.   

These valuations are based entirely on P/E ratios which are clearly not sufficient for valuing a crypto-currency.   Bitcoin for example has huge negative earnings, a transaction rate of less than 5 TPS and a valuation over $5 billion.     Using Bitcoin as a metric we could claim that a network is worth about $1 billion per TPS.    The vast majority of Bitcoin transaction volume occurs on exchanges, with BTSX many of the on-exchange trades will move onto the protocol itself and thus BTSX should have on-network transaction volumes equal to Bitcoin in a much shorter period of time.


The assumed P/E ratio of 20 implies a 5% ROI; however, most banks these days give depositors less than 1% ROI.   If BTSX is able to maintain its peg by backing bitUSD with BTSX and can share the transaction fees with bitUSD holders, then the demand for bitUSD will be enormous.   Due to the collateral system that requires effectively 3x the value of all bitUSD deposits to be held as collateral in BTSX, we can estimate the value of BTSX to be about 3x the demand for USD deposits at 5% ROI.   Considering the vast sums of money currently tied up in low-yield treasuries, savings accounts, etc the demand for bitUSD will be enormous. 

Of course, the more bitUSD that is created and “held” without corresponding transaction volume, the lower the ROI will become until supply equals demand. 

All of this is to say that the fundamentals on BTSX are very strong when analyzed like a traditional business and even stronger when compared to other crypto-currency systems on the market.

It all depends on time to market and other difficult to predict factors. If Bitshares X can market BitUSD effectively so people know about it and tell their friends then the opportunity for 5% yield could perhaps go viral. How do you engineer taking BitUSD viral?

You also have many competitors who will copy or try to copy BitUSD so it's a matter of quickly rolling out the features while also always continuosly adding new features. It is likely that the competitors will achieve feature parity in a short amount of time which means any particular set of features which look like they would bring in enormous demand today might not be as novel in a few months.

So for September 2014 BitUSD is quite novel and BitUSD with 5% is even more novel. The question is will the Bitshares platform win the innovation arms race? I see it as an innovation arms race and I tend to invest in the companies which have a 6 month lead in that arms race. If Bitshares can maintain their innovation lead then there will always be new investors who will want to invest in the most innovative technology.

There will be forks, clones, and other communities which attempt to copy the innovations from Bitshares and what matters is the rate at which team Bitshares pushes out new innovations. This way people who just copy and paste cannot keep up because the newest ideas will always come from the main chain.

tl;dr

Make Bitshares X as contagious and sticky as you can.

I've decided I'm going to remove the 0% trading fees and replace it with 10% interest. I will clarify exactly where the interest comes from so it won't sound too good to be true. Thoughts?

EDIT: Anyone know what the official BitShares font is? The one in the logo?

Quote from: xeroc on September 09, 2014, 06:11:31 pm

Quote from: MeTHoDx on September 09, 2014, 06:09:41 pm

Should we start calling the "rainy day fund" the "rewards fund"?

*confirmed*
"rainy day fund" sucks ..

but I am unaware of a community consensus about the new name

Rewards Fund is good.

Quote from: MeTHoDx on September 09, 2014, 10:15:07 pm

Quote from: trader on September 09, 2014, 09:32:16 pm

Methodx I like your poster .

How about a section about how BTSX holders receive dividends instead of 10%/year inflation.

I want to put that in the infographic but can I really claim 10% yield/interest? It'll end up being whatever the exchange takes in as fees, which could be anything.

Right, I would avoid anything that (a) can not be kept for sure or (b) is too good to be true. That always turns on the "Scam" alarm in my head.

my friend just made this.  He lifted some stuff, and added a piece of text.  We will be doing more additions.

Quote from: James212 on September 08, 2014, 12:29:16 pm

Methodx, great job.   A few suggestions: I would change the word "Anonymous" to "Private".  It gives a more positive connotation and less ominous/aggressive.     To me "Private" is the simple natural state of being,  while being "Anonymous" denotes and active tempt to evade.   Also Keeping in mind that the intention is for this message to reach the largest amount of people, I would suggest keeping the terminology a bit more universal:   Changing the word "Crypto" to "Digital Currency"  and "Blockchain" to "Public Ledger" would help in this objective IMHO.     

Then again, if this is just for the Crypto Community, strike my last two suggestions.


PS: on point #3, suggest to change "price stability with derivative assets" to "price stable derivative assets"
      on point #4, "Near 0% fees"  is kind of confusing.  Is it zero fees or not zero fees?

All great points James!

Here is my thinking: we are the innovators and we need to get the early adopters on board. So the language should be targeted at "hot buttons" specific to early adopters (i.e. bitcoin people). We're still a few years away from targeting the early majority.

I'll make the other changes you suggest.

Question: What should I say in place of 0% fees? The copywriter in me likes the "0%" lol.