The primary market is bit20 vs collateral asset, which is BTS. We need liquidity for this pair in order for MPA procedure to work.
ELI5 on why BTS was chosen instead of USD?
Also, regarding the no settlement price on USD / CNY / BTC / etc, surely this is not related? I'm not too familiar / have forgotten some of the fundamentals, must the witnesses who provide the BTWTY price feed also provide for USD / CNY / BTC / etc, or can the engine internally perform the conversions ?
Either way, wouldn't it be a good idea to have the price feed for a few more other than BTS?
Those who seek for profit from price volatility are welcomed to short it.
Realistically speaking though, since for now and likely for a long time to come, mostly only crypto enthusiasts appear to use the stuff, how likely is it that enough people will be betting that not one, not two, not five, not even ten, but the twenty top cryptos will devalue enough to bother shorting it?
(I'm genuinely curious)
- Related to the above, and assuming one is in the camp that believes bit20 is headed for an extragalactic moon, why isn't everyone shorting USD and using it to buy BTWTY?
Because it is illiquid at present state.
USD you mean?