BitShares Forum
Main => General Discussion => Topic started by: Gleepower on December 24, 2017, 05:05:39 pm
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Hey guys,
the BTWTY Smartcoin based on the crypto etf http://www.bittwenty.com/ currently (2017/12/24 17:00 GMT) has a settlement price of 446,681 BTS/BTWTY yet people are buying this at prices more than double this, at
1,094,101 BTS/BTWTY.
If you were allowed to short this market, you could sell the long position for more than the collateral you put in to short it, since the market price >= feedprice * 1.75. I don't understand why people are buying this smartcoin at such an incredible premium. Do the purchasers not understand that their effectively buying a callable loan for £5 for £12?
As an aside, why is no one allowed to short this? Doing so might allow its price to go to a reasonable level - giving us a nice diversified etf in crypto secured on the blockchain.
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It has too few price feeds. But yes, when price feed is established it will be a good profit opportunity for shorters. Thanks for bringing this up.