please excuse my line work.... its a touch/track pad

Thank you Xeroc from all the post and videos i had looked at i never felt i was fully understanding the mechanics as the were developed.

much clearer in my mind now; appreciate all your efforts, even if it is only for the next month or so

Cheers,
GC

Hi Guys,

Thanks you kindly for your responses;
I have read a bunch more posts and the wiki and hope that someone could please point out any issues or misunderstandings in the verbose situation below.

##############################################
I short 1 BitUSD at price of 350BTS/1BitUSD @ APR(interest) of 1% p/a; this will lockup 2 * the price (700BTS) as collateral in the network as assurance.
The action of creating a short lodges a sell order for 1 BitUSD @ 350BTS on the market.

Situation A)
Alice buys my BitUSD she now owns 1 BitUSD and the 350BTS she paid is also locked up in the network (now collateral = 1050BTS)

Situation B)
I buy my own BitUSD short now I own 1 BitUSD and the 350BTS I paid is also locked up in the network (now collateral = 1050BTS)

##10 Day Later##: The price of Bitshares has risen 100% against BitUSD and I wish to cover my short position.

Situation A)
I purchase the initial 1 BitUSD + 0.000273973 BitUSD (10 days interest =((0.01/365)*10) * 1 BitUSD) + 0.005 BitUSD (transaction fee) that I owe to the network at the market price of 175BTS/1BitUSD and 'cover' my position which destroys the 1 BitUSD I have and releases the 1075BTS collateral locked up in the network; Therefore I have made a 174.077054725BTS profit after paying the transaction fee and 10day interest)

Situation B)
I still own the 1 BitUSD I brought from myself so no need to purchase BitUSD at market to cover position. Therefore I have not made any capital gain on the back of the price increase, but I may have made some % in interest; (BitUSD interest is ~5% p/a for holding BitUSD and a cost of 1% p/a for my short position); Therefore my net profit is 4% - 0.005 BitUSD (transaction fee)
##############################################

Questions
-Is the interest paid on short positions an average of all short position in existence similar to the interest paid for hold BitUSD? or is it the rate which was specified when creating the short sell (1%)?

-If the above is correct and interest is based on the rate specified when creating short sell, Situation B seems like an attractive way to hold BTS while also pulling in some interest from the network... yes?

Phew..
For those of you still reading, Thank you very much for the time in considering the situation above.

Cheers,
GC

Brownies sent... I can't say anything to all that but..

Thank you kind Sir...

not sure what happened, its not in my sent items either.
Just sent it through again looks better - i observed a bit of feedback from Bytemaster that why i was not sure if it would be any better than what you have.

did anyone else experience the same? if not and you have a recording please forward on to emailtooaj

-Was jcalfee there?
Yes from what i can see he connected pre-hangout and disconnected sometime after the hangout completed and made 4 text comments during.

Quote from: GChicken on August 26, 2015, 02:53:45 pm

No Worries Fuzzy, Anytime.

Also I couldn't see a couple of guys (below) on the list; not sure if you have them under another name or shared account but thought i would mention it.
-jcalfee
-Vrontis (not listed in your 'after' screenshot but i cannot see a disconnection message within the logs - so i believe he was there for the entire chat.)

-Was jcalfee there?
-Vrontis does not have a bitshares wallet to my knowledge but I will inform him of the opportunity. 

Hi Fuzzy,

My name is not on the list of attendees or marked as attended in the spreadsheet.
as for proof my name is in the screenshots and i provided the recording for this session.

Thanks heaps,
GC