Author Topic: [Committee Proposal] Set force_settlement_offset of bitCNY from 2 % to 5%  (Read 871 times)

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Offline Thul3

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I doubt it would have changed something.

Increasing the offset to 5% would only move the buy orders and sell orders at a higher price.

Debt holders who get force settled mostly instantly adds buy orders near price they receive for forcesettle.

Instead an offset of 5% it should be offset 0% and a "penalty" fee for network of 3% which would create a gap between buy and sell orders which would hopefully reduce force settlements.

Offline binggo

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I doubt it would have changed something.

Increasing the offset to 5% would only move the buy orders and sell orders at a higher price.

Debt holders who get force settled mostly instantly adds buy orders near price they receive for forcesettle.

Instead an offset of 5% it should be offset 0% and a "penalty" fee for network of 3% which would create a gap between buy and sell orders which would hopefully reduce force settlements.


This is the risk to maintain DEX price = feed price*(1+offset or “penalty" fee)in the market.

Maintain price Risk = {1/MCR - 1/(MCR+MCR*offset)}/ (1/MCR)

let's make it simple: Maintain price Risk= offset or “penalty" fee.

also you can check the FOREX.

If you still didn't understand it, sorry about that.

May be most of you not clear about the trade logic and the market, have lost the spirit of free market, just want a dead and fixed exchang rate market.


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Besides:

The window time of lock feed price is too long,BTS community still didn‘t find out the solution,that make BTS became a joke in DEFI, BSIP76 beame meaninglessness.
« Last Edit: March 06, 2020, 05:11:12 am by binggo »