BitShares Forum

Main => Technical Support => Topic started by: Possum577 on March 17, 2015, 04:33:38 am

Title: Why do I want to track a BitAsset?
Post by: Possum577 on March 17, 2015, 04:33:38 am

So I'm still new to Bitshares and all, hence the post in the Newb section.

The first real question I have is why do I (or anyone) want to track a BitAsset? I can understand linking bitcoin to a fiat currency or gold to enable stability, sort of. If I want the stability of gold or the Dollar, why don't I just buy gold or the Dollar. Tracking bitcoin to a stable asset makes sense, but not to multiple assets.

Can anyone help me think through this a few steps beyond the obvious-to-me but I'm sure naive objections?

Thanks.

Title: Re: Why do I want to track a BitAsset?
Post by: JA on March 17, 2015, 04:38:11 am

Quote from: Possum577 on March 17, 2015, 04:33:38 am

So I'm still new to Bitshares and all, hence the post in the Newb section.

The first real question I have is why do I (or anyone) want to track a BitAsset? I can understand linking bitcoin to a fiat currency or gold to enable stability, sort of. If I want the stability of gold or the Dollar, why don't I just buy gold or the Dollar. Tracking bitcoin to a stable asset makes sense, but not to multiple assets.

Can anyone help me think through this a few steps beyond the obvious-to-me but I'm sure naive objections?

Thanks.

send me a piece of gold over  the internet in a decentralized fashoin. in less than 10 seconds

Title: Re: Why do I want to track a BitAsset?
Post by: fundomatic on March 17, 2015, 07:42:05 am

Quote from: Possum577 on March 17, 2015, 04:33:38 am

If I want the stability of gold or the Dollar, why don't I just buy gold or the Dollar.

If you want to keep the value of the dollar or gold, you can buy them (buying and keeping gold would already present some difficulties).

Now when the time comes to exchange the value, their utility isn't that great anymore: you can't send your dollars and gold to any place in the world under 10 seconds paying very low fee for any amount. And there's no counterparty risks.

Edit:

With BitUSD, BitCNY, BitEUR, BitGOLD, BitSILVER you can have the value of assets they represent and the convenience of exchanging them for goods and services.

Title: Re: Why do I want to track a BitAsset?
Post by: Stan on March 17, 2015, 01:39:15 pm

I like being able to go back and forth between a wide variety of assets as they cycle against each other in the market.

I can switch between BTS, BTC, Gold, Silver, CNY, EUR, and USD for about a penny in ten seconds as often as I like.

I can also create my own basket of currencies and adjust the mix as often as I like for pennies.

And I never encounter the delays, costs and risks of passing through fiat space.

Where else can you do that?

Title: Re: Why do I want to track a BitAsset?
Post by: karnal on March 17, 2015, 06:06:10 pm

Quote from: Stan on March 17, 2015, 01:39:15 pm

I like being able to go back and forth between a wide variety of assets as they cycle against each other in the market.

I can switch between BTS, BTC, Gold, Silver, CNY, EUR, and USD for about a penny in ten seconds as often as I like.

I can also create my own basket of currencies and adjust the mix as often as I like for pennies.

And I never encounter the delays, costs and risks of passing through fiat space.

Where else can you do that?

This.