bitUSD : dead ?

[R]

Read this:
https://steemit.com/bitshares/@bitshares.fdn/how-global-settlements-work

This doesn't help me 

The post says you don't have a sufficient BTS balance, are you logged in as the correct user? Do you have a positive balance of BTS? If not, get some BTS to cover the fees.

[bitsharesbagholder]

Read this:
https://steemit.com/bitshares/@bitshares.fdn/how-global-settlements-work

This doesn't help me 

[xeroc]

Read this:
https://steemit.com/bitshares/@bitshares.fdn/how-global-settlements-work

[bitsharesbagholder]

https://steemit.com/bitshares/@frdem3dot0/bitshares-black-swan-and-the-troubles-of-stablecoins

What happened with bitUSD is that each coin is now exchangeable to BTS at the rate when the Black Swan was triggered. But this conversion is not done automatically but users have to click a button. I have no idea why it was implemented this way as a lot of people still believe that bitUSD is somehow linked to USD. But it only was until the moment of settlement. Now it is just another token that is worth 20 BTS. It has exactly the same risk profile as BTS.

bitUSD may get restarted in the future when all positions are closed or the settlement fund is at 175% collateral again. But for now it is just 20 BTS. Many still argue that buying bitUSD is great because the peg will eventually return. But for that to happen BTS must rise in value first. So it is really no different to hold one bitUSD or 20 BTS!

I tried that button hopping it would sells my bitUSD for 1$ each 



the feed price corresponding of 1$ of BTS:



but well... it sold my BTS at market price almost instantly (19.xx BTS) 

Update:

Although it shows the amount sold at market price in my wallet dashboard, I can't transfert it:

[Victor118]

Is it possible to refund bitUSD pool to reduce GS price just sending some BTS to the pool ?

[Victor118]

https://steemit.com/bitshares/@frdem3dot0/bitshares-black-swan-and-the-troubles-of-stablecoins

What happened with bitUSD is that each coin is now exchangeable to BTS at the rate when the Black Swan was triggered. But this conversion is not done automatically but users have to click a button. I have no idea why it was implemented this way as a lot of people still believe that bitUSD is somehow linked to USD. But it only was until the moment of settlement. Now it is just another token that is worth 20 BTS. It has exactly the same risk profile as BTS.

bitUSD may get restarted in the future when all positions are closed or the settlement fund is at 175% collateral again. But for now it is just 20 BTS. Many still argue that buying bitUSD is great because the peg will eventually return. But for that to happen BTS must rise in value first. So it is really no different to hold one bitUSD or 20 BTS!

[bitsharesbagholder]

can I know what is being done right now to help the bitUSD peg ?

[R]

It's not dead, just in a global settlement state which means no new bitUSD can be created until the state is over. If you miss this functionality you could always use Hertz or bitCNY

[matle85]

It's been holding the peg pretty well and at current prices we've been lurking around people can still settle bitUSD for $1

The repeated sharp drop in price and, (in my view) some of the experiments we were running which hampered margins being eaten as the price fell, meant that Global Settlement (GS) occurred.

That means all margin positions were closed and no new bitUSD can be created. This will remain the case until the asset is revived (there are a few means of that, either the debt will be bought or the price of BTS will rise enough).

So the answer is the peg is holding well in the market BUT it is not currently being created/guaranteed in the same way that it was before.

It's not dead - GS is frustrating but it's how the asset is designed to work and the lessons we learn from this (the first GS for bitUSD after 4 years) teaches some good lessons about what should / shouldn't be done. If we weren't messing around with BSIP42 I think margins would have been eaten and we wouldnt have found ourselves here.

[bitsharesbagholder]

is bitUSD's peg dead ?