Quote from: abit on May 10, 2019, 10:26:20 PM

It didn't work.

What are the problems with the current bitshares program?  I know Bitshares X didn't work because of liquidity issues on the shorts side -- eg they are taking too much risks.

Quote from: biophil on April 30, 2019, 03:41:44 PM

Quote from: axismoto on April 29, 2019, 10:17:47 PM
This is awesome.  On a similar note, I have been research myself into this regarding the evolution of Bitshares from when the peg first broke in 2014 August.  Can someone point out or know by memory how the orgininal Bitshares X worked when the peg was first introduced?  I always felt that was the most viable model for stablecoins.  Not sure why Bytemaster went off of it.

You're talking about the original oracle-free mechanism? I don't recall the specifics, but one of the reasons Dan abandoned it was that it allowed for large deviations from the peg which resulted directly from BTS price swings. In principle, those deviations would eventually correct themselves, but it wasn't meeting the goals of accurate price-pegging. There was certainly some controversy over the change and allegations that it wasn't fully tested.

I'm interested in your paper and look forward to your written work. I've been looking back through the threads and coming up with a timeframe of how Bitshares evolved and what led to the changes.  Seems like:

July 2014 - Original Bitshares launched without feed.

August 08, 2014 - Bitshares X proposed with introduction of a live feed. 

The price you short at is the "median price feed"

September 17, 2014 - Second set of changes proposed to Bitshares Market Engine. 

prioritize shorts based upon collateral rather than fee.   All short sell orders with the min limit below the feed execute *at the feed price* prioritized by collateral.

September 30, 2014 - Bytemaster adds 30 days shorts (note this is where I thought things went downhill in terms of functionality of the market engine)

When your short order is executed you will be given 30 days until a mandatory cover (without fee) is executed.

January 27, 2015 - Changes to Cover Rules - Eliminate 5% fee

(Note: shorters take on asymmetric risk of shorting + 5% fee, so bytemaster thinks removing it will help attract more shorters to bitshares)

April 16, 2015 - Bitshares 2.0 changes are proposed. This is more or less what Bitshares currently has today if I am not mistaken.

Allowing forced settlement that is initiated by LONGS after a certain number of days; the short with the least amount of collateral is forced to cover.  This LONGS get guaranteed floor on the value of BitUSD of $1.00. Forced settling merely keeps the peg closer than without it.

There is a daily limit to forced settlement; i think around 1%.

Anyhow I have the links of the actual postings if anyone wants it.  Let me know if this is all correct or not.

This is awesome.  On a similar note, I have been research myself into this regarding the evolution of Bitshares from when the peg first broke in 2014 August.  Can someone point out or know by memory how the orgininal Bitshares X worked when the peg was first introduced?  I always felt that was the most viable model for stablecoins.  Not sure why Bytemaster went off of it.