Why isn't the bitUSD:BTS market also similarly subject to a raised settlement offset? maybe 2%, 3% ??
I've been observing that market all week and the settlement order book will be getting as long as a Dead Sea scroll pretty soon.
If bitUSD sellers have this "discounted escape valve" then it will artificially reduce BTS buy pressure on the DEX and I wonder if therefore this can be considered real "price discovery"... (regardless of the manipulations taking place on Poloniex).. If everyone ( except CEX and predatory whales ) wants to see the universe of BTS expand to rival BTC and Ethereum, etc. then this market mechanism that is unique to the BTS exchange
has to be managed in an effcient and fair manner so as to not disadvantage one party and discourage the creation of bitAssets and also leads to a chronic undersupply.
From the perspective of a shorter it wouldn't be reckless to open a few short positions this past week, but even though it seems like a reasonable bet, is it really worth the risk that the shorter could become entangled in some mercenary whale's huge dump of forced settled bitUSD?
If I wanted to short I would have to maintain a defacto collateral ratio of 400% - 600%. if I wanted to get a good night's sleep.
The situation we have now is a rather frustrating "chicken and egg" problem subject to the machinations of any mercenary whales in a thin market
and furthermore with the cumulative amount of bitUSD removed from circulation continues to stymie the growth of the bitUSD ecosphere.
Looking at the Settlement Order book....the amounts range from a low 10.14988 bts to an avaricious 186,801 bts, which as of the moment
of this writing is = bitUSD 1.086 - 19,997.. Why would anyone want force settle for a $1.09 worth of BTS

!!
Obviously under current market conditions and trading volumes the 24 hour settlement delay is not a sufficient disincentive...I always thought that forced settlement was to be used only under some sort of dire circumstances or market imbalance ? Did bytemaster ever say why the delay was 24 hours and not maybe 36 or 48?
So I think at the very least the Witnesses need to stay on top of this and provide a more accurate feed price that actually reflects the realities of what's going on in the markets and if not they should be voted out because they are undermining the rate of BTS value appreciation and the DEX cannot be considered as operating at an INDUSTRIAL grade performance level ready for PRIME time adoption by the rest of the world.
With BTC busting through the $8k mark...is it realistic to think that any trader would short into existence any significant amount of bitBTC
if he knows that he could be prematurely forced to close his position

?! even though he was willing to take a ri$k that a BTC correction would be coming in the near future?
This situation is only good for SUPER ASTRO MEGA-WHALES....I on the other hand need my sleep.!