What about making liquidty pools just like NBT has?
I think the answer could be paying users to risk their own bts rather than risking the networks bts directly.
Lets say a third party set up a program to promote liquidity. You could register an account with them, and then your trades would be watched. An algorithm would decide how much each of your trades/positions helped liquidity. You would then get a monthly payout to the top n liquidity supporters paid for from a worker proposal.
The dilution is low and known. The risk is held by the traders, and they are compensated for that through the worker proposal.
@kingscrown @puppies This is how liquidity pools in Nubits works... users front their own funds for the operations. I think we should seriously consider this avenue as well. However, Nushares still dilutes their shareholders to provide sufficient incentive to liquidity pools. Bitshares would have to endure "real negative dilution" to make that work, but it still may be less risky for BTS shareholders to have users front the funds used in the liquidity operations. They will of course need something in return to front those funds and take that risk, thus "real negative dilution" would have to occur. I am also not sure exactly how many people would be willing to front funds for this. I suppose Nubits hasn't had any trouble with this (finding people willing to take the risks), so maybe it is not a big deal.
Another option is using the liquidity pool to fund my proposal rather than dilution. Over time, assuming the liquidity operations are profitable, the amount of liquidity it is able to provide will grow.
There are a few good ideas floating around regarding liquidity. I think most of the ideas are not true long term solutions, but I have read a handful of solid ideas that would actually have some sort of effect on long term liquidity operations. There are actually so many decent ideas that it is challenging to find which would work best. I am going to continue to improve on my idea in the meantime (because I am biased
). After I feel like I cannot improve on my idea any more, then I will proceed look at the other ideas and write a similar paper on each. I see liquidity as being Bitshares number one problem right now, so I will continue to work towards having a liquid DEX.