Hi i'm a new poster on the forum and i'm not a tech guy so please bare with me. I maybe completely wrong with some of my thoughts so please excuse my ignorance and put me right. The way i'v read bitUSD is-
People want exposure to the USD because they figure it is less volatile than even the most stable cryptocurrancy.
BitUSD is decentralised on the block chain the government cant touch it or tax it, and bitUSD guarantees a 5% interest rate return. Most high street rates are around 0% so its a great store of value. Sounds very promising
The market dictates whether bitUSD is worth 1:1 for a dollar, its not set by any institution (NXT/XRP) its a question of decentralised concensus.
'Toast'
''It works because everyone else thinks it works. If you don't think it will work, you will lose money by trading the wrong way, because you disagree with the majority. So the only people that stay in and make money are those that agree''
Are we talking game theory here along the lines of the ''prisoner's dilemma''
rational cooperative bitUSD
vs
unrational uncoperative bitUSD
Maybe we could have separate markets?
Is it the greedy ''pump and dump'' blag artists who are going to wreck this experiment?
Greedy people looking for a quick return?
Nash equilibrium.............pardon the pun but maybe most people don't have such a ''Beautiful Mind''?
Iv studied logic and bizarrely i'm tempted to bet it will fail, even though it will cost me money?
?? will short term greed & pessimism kill bitUSD?
Your thoughts please, i'm new posting on the forum even though i have followed it for a number of months. I'm really enjoying watching the Bitshares project pan out.