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Topics - bitcrab

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A worker proposal will be created soon with below setting:
Code: [Select]
            "owner": "1.2.0",
            "work_begin_date": "2018-04-01T00:00:00",
            "work_end_date": "2035-12-31T00:00:00",
            "daily_pay": "20000000000",
            "name": "committee controlled open market operation fund",
            "url": "",
            "initializer": [
                "pay_vesting_period_days": 0

we now have 2 committee controlled open market operation accounts: committee-cnytrader for CNY relevant operation and committee-trade for USD relevant operation.

the worker proposal mentioned above has a daily pay of 200k BTS, which will be transferred to the 2 operation accounts for subsequent use, with the collected bitCNY and bitUSD market fees.

below are some suggested principles for the open market operation, surely the principle will be refined in the future. 

1.the purpose of the fund is to adjust the supply of smartcoins, so operators need to decide depend on the market condition, borrow smartcoins and buy BTS while the smartoin is in shortage, sell BTS and reduce debt position while the smartcoin is over supplied.

2. operators need to take good care while operate with debt positions, as an initial rough principle, when BTS price is under 2CNY:
while collateral ratio > 4, borrowing more smartcoin is allowed.
while 4>collateral ratio>3, smartcoin income can be used to buy more BTS, but borrowing more smartcoin is not allowed.
while 3>collateral ratio, smartcoin income need to be used to reduce debt position, buying more BTS is not allowed.

3.when more than 10M BTS are accumulated in one operator account, the account need to be locked by setting both active key and owner key to committee-account, a new operation account will be created for subsequent operation.

hope the worker proposal be approved then we can get great power to cultivate the smartcoin ecosystem and also the whole BTS ecosystem.

This is an upgraded version of the last post "suggestion for an official market value management infrastructure"

After reviewing the last post, I now feel it's better to call them "open market operation" than "market value management", here the operator is like central bank, it trade in the market to adjust the supply of smartcoins and BTS.

Now smartcoins like bitCNY have big demand, but are always in serious shortage, this limit the adoption of smartcoins and also the development of trading in DEX.

So currently the main policy of the open market operation is to buy more BTS, and create more smartcoins, mainly bitCNY  by borrowing.

As the income from market fee is limited, normally 10k-30k, so I suggest to add fund from reserve pool with a worker proposal.

Now Bitshares has daily budget of about 310k, among them about 240k are go into refund400k work proposal and return to the reserve pool.

I suggest to create a new worker proposal “committee controlled  open market operation fund” to replace refund400k, each day about 240k BTS will be collected, with a higher than 4 collateral ratio, more than 50k bitCNY can be borrowed and be used to buy BTS.

We need to make good use of the 1 billion BTS in reserve pool,

I understand that borrowing smartcoin based on collateralizing public BTS bring risk to the system, however the risk is tolerable.

The operation account is a multisig account of committee members under public supervising, not possible to set too lower collateral ratio. When BTS price is under 2CNY, it will be safe enough to set the collateral ratio higher than 4, right?

Committee-account has continuous smart coin income to reduce the risk.

Even the worst thing happen, the result is that the collateralized BTS be sold at a price 10% lower than the market price, no further hurt to the system.

On the other hand, if we just leave the 1 billion BTS sleep in the reserve pool, surely we avoid all the risks, but at the same time we give up the chance to supply more smart coins, create more purchasing power and income and make BTS great.

I believe  a community with courage and vision will select to go ahead with tolerable risks.

I'll collect feedback and build details on this suggestion

Frankly speaking, Bitshares ecosystem, especially smart coin ecosystem is facing bottleneck, recently the whole cryptocurrencies is in bear market, BTS price also wander in low level, consequently, margin calling happen frequently and smartcoins like bitCNY is in big shortage. When I wrote this, in magicwallet  traders need to pay 1.12 fiat CNY to buy 1 bitCNY. AEX, the first central exchange that open bitCNY market, now issue CNC, a token similar to USDT, and adopt it as base currency because now they are not confident that bitCNY can work well and fulfill the exchange demand,if we cannot find solution to overcome these hurdles, “make Bitshares great again” will be hollow words.

The current margin call rule has some flaws, which give BTS shorters big chance to make benefit and bring BTS longer big risk, hopefully the flaws will be solved by a planned hardfork with “sell only required collateral while margin call” feature in 1-2 months, however, even the hard fork happen without delay, it still do not solve all the problems,  Bitshares need some infrastructure to do BTS market value management, to bring the ecosystem to a more stable an active level.

I now propose to do “official market value management” to add power to Bitshares, below is the planned steps:

1. Charge market fee for smarcoins like bitCNY and bitUSD.

2.Use the collected fee to buy BTS. 

3. Borrow bitCNY/bitUSD by putting the bought BTS into collateral with high collateral ratio and continue to buy in BTS.

With this procedure, more and more BTS will be locked as collateral and more and more smartcoins will be supplied, all this will create incentive and also the expectation for BTS price to go up, consequently this will speed up the grow up of the smart coin ecosystem and then the whole Bitshares ecosystem.

what a market fee for smartcoins is appropriate?  

the fee rate should be low enough to keep the user experience as almost same as before, and also should be high enough to provide enough fund for  market value management, considering all this, 0.05% should be a good level.

how to manage the whole operation procedure?

create a trading account for each smartcoin, for example create committee.cnymaker for bitCNY operation,  the account will be owned by committee-account and the active key will be set as say 3/5 multisig, normally the accounts in the multisig structure are from committee members.

operation will follow some predefined rules, taking bitCNY as example:

Rules for placing/canceling orders to buy BTS:

1. while bitCNY is priced lower than 1 fiat CNY in market, then stop placing new buy orders.
2. while bitCNY is priced higher than 1 fiat CNY in market, place order to buy BTS, with the price at least 1% lower than the top buy order in market.
3. if any exist buy order A is with a price more than 10% lower than the top buy order, cancel order A.

Rules for borrowing bitCNY:

While borrowing bitCNY, the collateral ratio should be set as no less than 3, while the collateral go down to less than 3, stop buying BTS and use the collected bitCNY to reduce debt until the collateral is higher than 3.

Now more decentralized exchange appear in the market, CYBEX,a decentralized exchange forked from BTS with adding many ICO friendly features, is planning to get big share in the market, Bitfinex also plan to develop EOSfinex on the coming EOS platform, if Bitshares cannot make big advance by making good use of its specific advantages, no one can guarantee a good future. I hope everyone can carefully check the proposal and suggest constructively, I hope we have chance to make such a change happen and make bitshares great again.

General Discussion / A proposal to update the margin call process
« on: February 04, 2018, 02:45:31 pm »
according to the current margin call rule, when the collateral rate of the debt position fall under 1.75, all the collateral are put into an order to sell at the price of settlement price * 0.9.

a big problem generalized by this rule is, when there is a huge debt position be margin called, a huge sell order will be there, this enhance the trend of the price go down, and speed up the coming of more margin call, this positive-feedback always lead to a disaster.

speculators realize that there a big chance to make money by shorting BTS and buy back BTS from the margin call order, they keep there eye on this and find chance to manually create margin call, the result is, users who generate smartcoin to cultivate the ecosystem are always in danger and be hurt now and then, and the price of BTS are in a big limit to go up.

actually it is not a must to sell all the collaterized BTS when the debt position is margin called, it's possible to split the debt position into 2 parts, give one part(let's call it reserve part) a higher collateral ratio(let's call it reserve collateral ratio) and put the other part(enhance part) into sell with a lower collateral ratio(let's call it enhance collateral ratio), this can reduce the quantity of sell orders and slow down the price to go down.

here we need to introduce 2 global parameters:

reserve collateral ratio (RCR) and enhance collateral ratio(ECR).

when a debt position are margin called, a process will be trigged to splict the position to 2 parts, the ratio for collateral that be put into reserve collateral part are:


suppose MCR = 1.75, RCR = 1.8, ECR = 1.5, then r = 85.7%
suppose MCR = 1.75, RCR = 1.85, ECR = 1.5, then r = 75.5%

I believe this will help BTS a lot.

I wonder whether this is possible from development perspective and I hope this topic can be discussed more.

General Discussion / please leave poloniex
« on: February 02, 2018, 04:47:34 pm »
each time BTS are in serious market situation, poloniex is maintaining BTS wallet and users cannot withdraw BTS, I cannot understand this without supposing poloniex is in collusion with some whales to manipulate the BTS price and make money.

this always put Bitshares into dangerous place.

if you love BTS, please leave poloniex, witnesses, please remove poloniex price from price feeding.

General Discussion / plan for "Graphene DEVCON"
« on: December 27, 2017, 12:46:15 pm »
in 20th Jan 2018  there will be a meetup called "Graphene preDEVCON" in Shanghai, we invite some developers/entrepreneur to share their Graphene relevant projects, some possible topics are:

1.YOYOW's roadmap
2.ChenWei: A Graphene based IoT system.
3. MagicWallet's mission.
4.Introduction to DECENT
5.GXS, a data trading network
6.Harvey: oracle chain and EOS

we called it "preDEVCON" as we regard it also as preparation to a real "DEVCON",  up to now some friends from abroad are also interested in this meetup, surely everyone is welcome however we begin to plan the real international "Graphene DEVCON".

firstly we need to decide the date for the DEVCON, it will be in March or April, now we need to collect more info to decide the exact date.

definitely we hope BM can come to Shanghai and share his ideas, so at first we need to check with him whether he would like to come and what period is ok for him.

any suggestions on this DEVCON, please reply here, your input is important for us.

Stakeholder Proposals / proposal to create bitXCD
« on: December 12, 2017, 01:37:08 pm »
in the past several months I have met Mr. Zheng Xiaojun several times, he is the board member of the Caribbean Free Trade Zone and is very interested in blockchain application. we discussed a lot about the possibility on creating one blockchain currency to solve a lot of problem generated in this area as the finance service there is far from developed.

I introduced Bitshares smartcoins to him and finally he agreed that this is a great solution to solve the problems in payments, exchange in that area. he would like to cooperate with Bitshares community to issue bitXCD and make it wildly used.

XCD is the symbol of Eastern Caribbean dollar, which is designed to peg USD at the rate 1USD=2.7XCD, more detail of XCD can be found here:

I suggest we create bitXCD soon to open a big area for smartcoin.

Mr. Zheng(left 4) and his team with Prime Minister of Dominica and other government officials

Mr.Zheng and his team with Prime Minister of Saint Lucia

Mr.Zheng is also the lead of World Blockchain Organization and Caribbean Institude of Block Chain Industry.

General Discussion / [ANN] Bitshares gateway GDEX is launching
« on: November 27, 2017, 12:38:22 pm »

After long time preparing, now GDEX is launching.

at first GDEX only list BTC, in recent future we will list ETH, NEO, QTUM, BCH, IOTA…etc.

Now users can only access GDEX through, hope soon it can be integrated in the reference wallet.

GDEX is operated by OBSIDIAN TECHNOLOGY CO. PTE. LTD.  a company incorporated under the laws of Singapore Republic, the support team work in the office in Shanghai, China. 

GDEX focus on introducing high liquidities of main cryptocurrencies into DEX, we will pay much effort on market making, our goal is to make everyone in the world can trade in DEX with same or even better user experience than the best central exchange.

come on and enjoy!

General Discussion / review for price feeding
« on: November 18, 2017, 03:11:52 pm »
hi, [member=7312]ElMato[/member] [member=6601]wackou[/member] @verbaltech2 could you please check your price feeding and update the script? your feeding price is far below the reasonable figure.

the price from poloniex need to be removed.

General Discussion / plan to raise the bitCNY force settlement offset to 5%
« on: November 13, 2017, 04:41:42 pm »
firstly let's review what happened in the passed several days:

poloniex, the exchange with highest BTS trading volume,  has some issue and stopped processing BTS withdrawl.

BTC/BCH war lead to big fluctuation of BTC price and also the blockchain traffic jam.

thanks to China goverment, now people from China feel trouble to buy cryptocurrencies by CNY.

all these lead to a big gap between the BTS price in bitCNY and the settlement price, and this lead to endless settle orders, speculators come and exploit shorters.

Settlements purpose is to provide a last resort guarenteed exit.  In a healthy market it is not needed. 

settlers need to pay for this convenience while forcing this inconvenience on to the shorters. this is the settlement compensation ratio, and now it is set to 1% for almost all the smartcoins.

now bitCNY ecosystem has developed to an extent, which makes settlement of little sense, there's no scenario that bitCNY holders need to submit settlement to claim the value of bitCNY. on the other side, when sometimes the market is in inefficient or disrupt status, the settlement provide the opportunity for speculators to exploit the shorters and also hurt the ecosystem. this is not we want from settlement.

bitCNY is in shortage, these 2 days because of the settlement exploit it is in more serious shortage, however, now exchanges such as and are beginning to open bitCNY market, we can expect that the demand for bitCNY will rise rapidly to above 1 billion level. to meet this demand we definitely need to prevent the shorters from being hurt unfairly and avoid the happening of settlement exploition.

surely price feeding is a key factor  and should be improved, but in such a fragile market, feed disparity is bound to happen. we cannot expect the price feeding always be adapted in time to fit the latest market status.

what I suggest to solve this problem is to raise the settlement compensation offset to 5%, only for bitCNY, leave other smartcoins unchanged.

as now settlement contribute little to a healthy bitCNY economy, raise the offset to 5% do not hurt the peg of bitCNY and will encourage shorters to provide more bitCNY to meet the demand.

I plan to create such a committee proposal soon as the settlement exploition is still on going and no one knows when it can come to an end.

any ideas, please discuss here.


now there are endless bitCNY orders waiting to get cheaper BTS from shorters:

why this can happen?

the traffic jam of BTC blockchain and the BTC price fluctuation are the factors that lead to this.

and also there are something abnormal in exchanges, for example, poloniex has stopped processing BTS withdrawl for 5 days. does not begin process USDT withdrawl yet.

on the other side, because of magicwallet, people can get bitCNY much more easily than before...

all this lead to the result that the settle price in bitCNY has been 3-5% lower than DEX price for several days. and lead endless settle orders.

this is unfair, and will hurt shorters and also the whole BTS economy, we need to take actions to stop this.

my suggestion:

while witness get price from exchnges, check the prices first, if one BTS price from some central exchanges is 3% lower than the price in DEX, just ignore this price.

this can only apply to bitCNY and is just to handle current abnormal conditions.

if any other better ways, please share, anyway we need to protect the endless settlement from happening. thanks!

General Discussion / AEX.COM plan to open smartcoin markets
« on: November 04, 2017, 03:36:42 am »
aex is the updated version of btc38, they now plan to open markets of bitCNY, bitUSD, bitJPY, bitKRW...

General Discussion / account hacked today
« on: September 27, 2017, 03:17:02 pm »

today my daily trading account was hacked and I lost about:

22.4 BTC
119.5 ETH
4.19M BTS
264k bitCNY

I paid heavily to my carelessness, I should not put so much assets on a daily trading account, but recently I was busy and forgot the necessity to use multi-sig account to keep big amount of assets, then the assets in accumulated more and more before I was aware of that.

there was a debt position of more than 20M BTS there, fortunately the hacker haven't lower the collateral ration and stole other several millions BTS.

I use this account in my laptop, win10, and I also receive mails, chat in QQ, browse webs, watch videos in the same laptop.

I use this account both in light wallet and the web wallet

sometimes I connect Internet via public wifi.

yes I do not have a good habits, hope my loss can warm more users.

however I still think that we need to do some update to the wallet for higher fund security, for example, YOYOW have done some change to key management, the owner key is not saved locally but other medias, and with owner key one can update the active key to a new one by one click,  hope this can help to make the wallet more safe.


22.4 BTC
119.5 ETH
4.19M BTS
264k bitCNY



使用windows系统,而且是在同时接受邮件,QQ聊天,浏览各种网站,看视频的笔记本上使用,还轻钱包和网页钱包 都有使用,还没少使用公共wifi。。。总之,首先应该责备的的确是我自己。

然而,我们的确还应该从软件上提高钱包的抗风险能力,比如, YOYOW钱包就做了很有意义的改动,主控私钥不存在本地电脑中,而是另外存储,可随时一键更新交易私钥。这些创新也很值得更新到BTS 钱包中去。


Because magicwallet now already provide an easy and flexible way for users and currency dealers to handle the bitCNY deposit/withdrawl business, transwiser will stop the deposit/withdrawl service of bitCNY.

Transwiser page will be removed from BTS wallet.

From today the goods "100bitCNY" will be unlisted from the transwiser taobao shop.

bitCNY withdrawl service will last until 2017/10/1 0:00 UTC+8, after that all the bitCNY that send to account transwiser-wallet will be sent back to the from account.

I greatly recommend all the users to use magic wallet to handle bitCNY deposit/withdrawl business and enjoy the flexibility and efficiency brought by the mobile client.

Android users can download the App from:

iOS version will launch soon, now iOS users can use the web version instead:

magicwallet team are developing the general APIs for currency dealer service that can be integrated in all kinds of BTS wallets, kindly wait.








鼓鼓钱包团队正在开发承兑商服务的通用API, 将来所有BTS钱包都可以方便地集成承兑商服务。

中文(Chinese) / 对BSIP18要干什么的解释
« on: July 14, 2017, 06:21:16 am »

当市场急剧下跌,爆仓的smartcoin空仓无人接盘,继续下跌就会出现黑天鹅 - 当抵押率最低的空仓抵押率已经小于100%,已经资不抵债了,就是黑天鹅发生了,黑天鹅价格 = 抵押率最低的空仓的债务量/抵押物量。


假设bitCNY发生了黑天鹅,那么按照设计,系统会自动启动global settlement,就是系统用黑天鹅价格向所有空仓提供bitCNY以帮助其平仓,同时系统获得相应的BTS,多余的抵押的BTS还给空仓所有者。之后,只有系统拥有bitCNY的空仓,但这个空仓并非是足额抵押的,抵押物数量=债务量/黑天鹅价格 。此时bitCNY依然可以交易,转账,但不能借出。


一不用多讲, 对二来说


当抵押物涨幅足够大导致系统空仓已经足额抵押了,那么发行者拿来“”系统空仓“的抵押物”,创建一个同样的空仓同时平掉“系统空仓” 的债务,之后一切恢复正常。


committee is scheduling to reduce the witness payment from 3BTS/block to 1BTS/block. it will happen soon.

details can be found here:

some relevant discussion can be found here:,24104.msg306298/topicseen.html#msg306298

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