Quote from: Samupaha on April 03, 2016, 04:18:35 am

Quote from: Moon on April 03, 2016, 02:34:04 am

hey man,If you think that is not fair, you can buy more BTS

If somebody thinks that situation where we are now is bad, then wouldn't it be better to sell everything and wait. After a while BTS price will crash because customers are abandoning Bitshares. Then BTS can be bought back with better price – if the project has any credibility left.

I can't see from blockchain that there are customers using BTS that is responsible for holding the current marketcap(tansaction record,fee income) . Can you ?

If you can't show me why bts has value now then why should I consider your opinion on how to increase it?

Idea for Bond market. This is just a quick idea i came up with. It not fully thought-out but like to see if it's worth spending more time fleshing out.




Smart Bonds

Smart Bonds gives the ability of users to loan money to the Bitshares network. Users buys a Smart Bond asset at 1:1 with their BTS. These funds go into a pool for the network to use.The 0network pays out yield to the bondholders. The funds will be held on a 30 day cycle. The holder can have the bond auto renew at the end of the 30 days. If the holder buys more bonds during the 30 day period, the term length is extended 30 more days from the day of purchase with the new balance. Interest is calculated daily based on the amount of coin days that day in the bond. Interest will be vested and only available for withdrawal at the end of the Bond term. There will be a 5% penalty for closing the Bond early along with loss of interest.The interest percentage is based on a 30 day rolling average set by the network. If the user has not auto-renewed or bought more bonds during the cycle, the bond officially ends. The principal is then returned in BTS with the accumulated interest in BTS.

The Smart Bond supply will be used for generating Smart Loans,Smart Asset supply, Market-making and other uses. A maximum of 40% of the Bond will be used for loans, up to 10% for asset creation. A minimum of 20% of the Smart Bond supply will kept in reserve in order ensure liquidity of Smart Bond holders.



Smart Loans

Now that the network has all these funds from the Smart Bonds, what should it do with them? Well one use is to lend them out. A Smart Loan is a loan made to users who wish to trade on margin for Smart Assets. In order to get a loan, the borrower must put up collateral. This is done by buying Smart Bonds. A maximum of 40% of the total supply of Smart Bonds will used for Smart Loans at any giving time. Smart Bonds will be the collateral for Smart Loans. The maximum margin for lending will 2.5x. The borrower chooses the Smartcoin they wish to borrow (usd,gold,silver), the length in days (2 to 30 days), and then assigns the amount of collateral. Whatever amount remaining in the Bond is treated as Bond with the terms at creation.There is no penalty for converting some or all of the bond to a Smart Loan. The conversion is one-way. The borrower can not convert the Loan back to a Bond. Interest is calculated daily based on the rate at creation. The borrower can add more collateral but the rate and margin are fixed to the original terms of the loan.  For each Smart asset loaned into existence, the network reserves will 100% collateral. This insures the assets a backed by 200% collateral. This will allow the borrower to trade the coin on the market.

The borrower can close the loan at any time after but will have to pay penalty if it is less than the original term length. At the end of term  the borrower can renew the loan. The loan will renew with the current interest rate. At close of the loan the borrower's remaining collateral is returned along with any profit to their bts account. The loan will closed out automatically if the collateral backing the loan is lost.

The mechanics would work similar to POLO, have not worked through the formulas yet.


Interest Rate

The Interest rate will be set by the ratio of supply and demand. We Will first need a basis rate. Let’s assume an initial daily rate basis of 0.5%. Then the rate can be calculated by,

(Smart Loan / Smart Bond)  x 0.5 = Daily rate

Of course this will need adjusting based on the ratio. The ideal rate should float between 0.2% to 5% roughly.


Smart Coin Supply

A portion of the Smart Bond can used to generate Smart Coins. 10% of the supply will be set aside for coin creation. The assets will be created at 200% collateral and created in proportion to amount of demand based on outstanding loans for that asset. A minimum of 125% collateral must be maintained at all times. If the collateral falls below 125%,  Coins will be destroyed until minimum is reached.

Still working out rest...

They are moving big amounts funds between their wallets, even their cold storage which is destroying coin-days. At those amounts they don't need to move often to destroy a lot of days when they do.

http://cryptofresh.com/u/poloniexcoldstorage

It's rewarding those who hold and keep their BTS in their account. It's those people who more than likely care about the long-term value of BTS. Short-term people are ones most likely to sell or keep their BTS on other exchanges. Therefore they should not have as much sway in decisions. At minimum they maintain the votes they currently have.

In many places there is a minimum age requirement to vote. What if voting stake was based on coin days? Those that care about bts for the long term will get their vote and voice amplified. Those that want to make a quick buck will have less sway on decisions.

Yea, Bitcoin developers work for free
 https://www.google.com/url?sa=t&source=web&rct=j&url=https://medium.com/mit-media-lab-digital-currency-initiative/announcing-a-900-000-bitcoin-developer-fund-6e8b7e8b0861&ved=0ahUKEwjEz9SS1-TLAhVB9GMKHe_jBeIQqG8IGjAA&usg=AFQjCNGX8JwqgVM6Q5hrb4plP8Ktno7omg&sig2=bduSMtX6LAOInbqLl7pPMw

The GUI is not ready for the masses. There needs to be mouse over tips and help for the average person. There needs to be explanations on the site on how thing works. It's a website to the average user, not a wallet. They will not the difference. We deal with it because we love the tech and the potential. The average person won't. If they the slightest reason to thing their money is at risk, they are gone. It's that simple.