Author Topic: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6  (Read 1659 times)

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Offline clockwork

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Re: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6
« Reply #30 on: April 08, 2019, 06:30:01 pm »
I share Thul's concern about a lower low but agree with Xerox's reasoning.

Main thing is making sure that margins are sold as we drop so I am keen to see some ideas around making sure that happens implemented.

A lower mcr should drop premiums, align Dex and cex price and thus ensure margins are being bought...however I am concerned about our reaction time via bsip if we need to raise it again

Offline BunkerChainLabs-DataSecurityNode

Re: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6
« Reply #31 on: April 11, 2019, 06:29:25 pm »
At what point would we be able to recognize the results of this change being effective?

Overall I support this, but would like to have some thoughts around monitoring and analysis of the change to determine if/when it has the desired outcome and if it will need further adjusting. Going down is going to be a lot easier than going up, just to forewarn.

Jonathan
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Offline Crypto Kong

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Re: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6
« Reply #32 on: June 03, 2019, 01:40:51 pm »
This is ridiculous, we should be encouraging people to take out better collateralised positions, not allow them to take out less collateralised positions.

Online binggo

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Re: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6
« Reply #33 on: June 03, 2019, 01:58:31 pm »
This is ridiculous, we should be encouraging people to take out better collateralised positions, not allow them to take out less collateralised positions.

why not? MAKER DAI had MCR=1.5.

Rule is rule, want to change? give a new rule.

Offline bench

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Re: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6
« Reply #34 on: June 04, 2019, 11:56:32 am »
This is ridiculous, we should be encouraging people to take out better collateralised positions, not allow them to take out less collateralised positions.

why not? MAKER DAI had MCR=1.5.

Rule is rule, want to change? give a new rule.
We need to make the platform more attractive for people to borrow more bitAssets.
Reducing MCR from 1.75 to 1.6 was the right step.

Offline Thul3

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Re: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6
« Reply #35 on: June 04, 2019, 12:00:30 pm »
This is ridiculous, we should be encouraging people to take out better collateralised positions, not allow them to take out less collateralised positions.

why not? MAKER DAI had MCR=1.5.

Rule is rule, want to change? give a new rule.
We need to make the platform more attractive for people to borrow more bitAssets.
Reducing MCR from 1.75 to 1.6 was the right step.


Who is going to use a stablecoin which will lose its pegg in a mid seize down movement ?

Lowering the MCR is fine but lowering the MCR and working that no margin will be eaten anymore will only decrease the reputation of bitassets as stable coin.

Offline bench

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Re: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6
« Reply #36 on: June 04, 2019, 12:03:13 pm »
The loose of peg comes from low liquidity and not by reducing MCR from 1.75 to 1.6.

https://www.dexbot.info/2019/05/21/understanding-trading-activity-and-potential-causes-of-bitasset-settlement/

Offline Thul3

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Re: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6
« Reply #37 on: June 04, 2019, 12:12:08 pm »
The loose of peg comes from low liquidity and not by reducing MCR from 1.75 to 1.6.

https://www.dexbot.info/2019/05/21/understanding-trading-activity-and-potential-causes-of-bitasset-settlement/


If you reduce MCR from 1.75 to 1.6 it automaticly means you get now faster to MCR 1 in a bigger down movement.
Normaly it would be no problem since margin calls would get filled and the MCR pushed back to the minimal required MCR.

However with the current changes like MSSR 1.01 and the try to add gateway fees to the feedprice to make margin called offers more expensiv than BTS offered on CEX at regular price means that there will be no more margin be bought in a bigger down movement and the bad debt run through 1.6 to 1 without being pushed back by filled margin calls.


The risks of totaly losing the stable coins peg because of uncollateralized debt has been significantly increased.

Online binggo

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Re: [Poll] BSIP59:Reduce MCR of bitCNY to 1.6
« Reply #38 on: June 04, 2019, 12:15:58 pm »
i don't think so, now the feed pirce is lower than CEX at regular price.
the try to add gateway fees to the feedprice to make margin called offers more expensiv than BTS offered on CEX at regular price