Quote from: donkeypong on August 28, 2014, 03:00:10 am

Market peg is holding up GREAT.

It really is amazing, isn't it??

  It's great, exciting stuff!

Can't wait to fast forward a month or so from now when most teething problems are out the way and more traders and longs are in the market.

'When this baby hits 88 miles per hour, you're gonna see some serious shit'

Another problem is we don't have BitBTC or BitCNY. We need both. Most people are dumping into BTC or CNY, not the USD.

Yes I agree with this BitBTC is the big one that can help a lot. Actually excited now!

A lot of people have a mental block where they keep their crypto investments separate from their fiat.
Keeping fiat in crypto form either requires a lot of faith in the BTSX system (in which case your a BTSX bull & would prefer to short) or a huge amount of distrust in the regular financial system. (BTSX is very new and can't engender that level of trust yet nor does it have any BitUSD utility yet.) So in the short term <3 months you're relying mainly on traders etc. vs. a lot of demand from people who actually want to keep a position in fiat on the blockchain.

However very few people could resist moving some of their BTC position into BTSX if people are effectively paying them high interest shorting below the peg.

The BitBTC peg will be tighter and effective BTC interest will be more of a talking point. Confidence in BitBTC on BTSX will be easier and more natural than fiat. So you will attract a lot more BitBTC longs than BitUSD longs in the shor term. That peg being tighter will help the BitUSD peg.

"I didn't fail, I found 10,000 ways that didn't work" - Thomas Edison.

 

The BitUSD/BTSX peg is not super tight because people are bullish on BTSX as a result it may peg below the dollar and not a lot of BitUSD may be created.

Also BTSX is currently quite volatile, low liquidity and can potentially be manipulated by the exchanges. BitUSD will have a wide peg at any time based on bullishness/bearishness.

What about gold pegs?    G-USD/Gold

G-USD can be created by people shorting not based on the price of BTSX but on the price of gold.

This is far more stable less volatile. This peg will be super tight

If you are bullish on dollar vs gold you go long or if you just want G-USD (for the same reasons people want BitUSD but G-USD more stable I think) If you are bullish on gold vs. dollar you short. When two trades meet G-USD is created.

It should work exactly the same except a G-USD will always get you very close to a $ worth of BTSX because the gold/dollar peg will stay very tight unlike the dollar/BTSX peg which has the problems cited above.

We are pegging around the gold to dollar even though the collateral is still BTSX vs. pegging BTSX to dollar.

It's 3am here. I'm sure there's a simple reason this couldn't work just putting it out there

The network charges a small fee when you send a transaction or register an account. These all contribute to the daily income.
The 101 delegates I mentioned earlier that maintain and process the transactions are paid a portion of these fees, this is the daily expenses. The left over amount is burned.

Whenever BTSX is burned, you now own a bigger % of the total. This is the dividend.
(This is the opposite of Bitcoin that charges you via inflation paid to miners. Whenever new Bitcoins are created (The opposite of burned) it means that you now have a smaller % of the total.)

(Burning the BTSX has the same effect as distributing those BTSX evenly to everybody based on their holding)

You will probably not be able to buy shares in listed companies like overstock for a while.

http://bitshares.org/overstock-to-cryptostock/

As exciting as it would be to see Overstock or another company issue a crypto-stock in the next few months, I think it would do far more harm than good. Forging blindly ahead with issuance of a crypto-security before taking the time to make sure regulatory and business objectives are met could create confusion and distorted public perceptions, thus substantially delaying the day that crypto-securities are widely accepted among market participants. Careful evaluation of the various issues and risks from regulatory and business perspectives can help ensure that the amazing potential benefits of being able to issue shares on a crypto-ledger are realized.

But you can already trade BitAssets. If you go to the markets section you can go long or short BitUSD, which aims to track around the price of a USD.

  I've got no clue about the technicalities involved, but yes a super simple to use BitAsset specific wallet  has the seeds of a brilliant idea imo.

Click on your account. If it is registered it should say something like

Registration date: 26 August 2014

Does it have that? If it does you should be able to withdraw to it. If not maybe bter is a bit slow recognising new accounts or something. I had a similar problem the other day where bter said

cancelled:BTSX account is not registered or memo is too long

It worked later though. If it says that maybe wait a bit and try again. (You can also send them a support ticket if you want.)

I agree about not leaving on the exchange that's why I'm hoping to get this registration problem fixed, ASAP.

They need to develop a way for me to hold the funds off the exchange, even if I am registered or not. Even if I can't send it to a delegate just yet but I will at least have the my own set of keys and it won't be in the hands of anyone else.

I dislike the Chinese exchanges very much. Having BTSX show up on one or two more exchanges seems like it would help mitigate some of the problems I am having currently (for example I could shuttle the funds from one exchange to another, in case of an emergency).

While I wait on getting the registration problem fixed, I still have a lot of research to do for my article. If anyone feels like taking a look at the questions I posted above and feels like taking a crack at them, I'd greatly appreciate it.

Yes normally the way it works is you choose an account name, someone just sends you 1 BTSX, you then register that account name and you can then withdraw from the exchanges to that account name in your wallet (Which you control.)

The entire process can take under 10 minutes.