NuBits

[Method-X]

Anyone want to try with a real response? This type of response is incredibly unattractive to new people like myself. BTSX is highly unprofessional if this is an example of how their community thinks.

Shadow, don't take it personally. And by the way, welcome. This forum provides an open exchange of ideas and there are all kinds of people on here. Even decent folks have good days and bad days. Tonyk is a good sort once you get to know him; we just throw him some raw meat every once in awhile and he stays in line for a few days.

LOL

On the subject of 'raw' I do hope Bitshares Music comes with some more 'baked' and thought out  ideas, so they do not make another chapter of my future book...

cough Agent86 DNS cough

[tonyk]

Anyone want to try with a real response? This type of response is incredibly unattractive to new people like myself. BTSX is highly unprofessional if this is an example of how their community thinks.

Shadow, don't take it personally. And by the way, welcome. This forum provides an open exchange of ideas and there are all kinds of people on here. Even decent folks have good days and bad days. Tonyk is a good sort once you get to know him; we just throw him some raw meat every once in awhile and he stays in line for a few days.

LOL, truly a good one!
Laughing at oneself is indeed one of the best thing one can experience. And this post made me do that!
 

On the subject of 'raw' I do hope Bitshares Music comes with some more 'baked' and thought out  ideas, so they do not make another chapter of my future book...

[donkeypong]

Anyone want to try with a real response? This type of response is incredibly unattractive to new people like myself. BTSX is highly unprofessional if this is an example of how their community thinks.

Shadow, don't take it personally. And by the way, welcome. This forum provides an open exchange of ideas and there are all kinds of people on here. Even decent folks have good days and bad days. Tonyk is a good sort once you get to know him; we just throw him some raw meat every once in awhile and he stays in line for a few days.

[tonyk]

From what I can tell they use voting to set interest rates...

They are also thinking of being closed source because they are worried we might copy them (due to my comments on this thread).

They can't be closed source and be successful


Sent from my iPhone using Tapatalk

NuBits was never intended to be close sourced forever. It will become open source in time.

With current scheme they cannot be successful period. Make themselves rich? maybe.

Do you think you could post in detail why it will not work? It seems NBT sales are doing very well at the moment with very little exposure/coverage. It's been out for 6 hours and you're already 100% sure it's going to fail?

It is long explanation - in short they issue money based on a decision of the Nushare holders, and  enforce the peg on centralized exchanges. Support for the peg is also provided by giving interest. The decision if and how much interest is to be paid is done by vote of the NuShares holders. NuShares are distributed to 'trusted parties', read insider clique.

It is the same as you and me saying - here are some dollars (NuBits), we promise to find you people to always buy your NuBits at $1 a piece. If we happen to sell more NuBits than necessary, we will vote and give you some interest...
I collect outrageous ideas (and IPOs ideas) in crypto space. One day I will publish them as an entertaining reading - NuBit/Nushares will make one of the better chapters....

Anyone want to try with a real response? This type of response is incredibly unattractive to new people like myself. BTSX is highly unprofessional if this is an example of how their community thinks.

Hold your horses, shadowbroker2?

Which part of what I said is incorrect to make it unprofessional?

[cybnate]

It is basically postponing inflation until there is adequate demand.
Regarding taking them out (burning) someone has indeed to buy them so that is a last resort measure. Parking them for longer period would be more likely as long that there is confidence demand will increase later on.

and what happens if demand don't increase later on ?

In that unlikely and distant scenario that the Shareholders won't have that confidence anymore the peg will be lost. Depending on any remaining confidence a new peg might be established at a lower rate or against another currency or commodity. Again this is really an endgame scenario, not likely to happen even years from now. Zero risk doesn't exist in my opinion. The risk that the US$ crashes or suffers from extreme inflation is also not zero. Everyone has to assess their appetite to the amount of risk they are willing to take. And everyone's appetite is different like with any currency. I think Nubits has an attractive risk profile for many people though but time will tell.

[nedscott]

From what I can tell they use voting to set interest rates...

They are also thinking of being closed source because they are worried we might copy them (due to my comments on this thread).

They can't be closed source and be successful


Sent from my iPhone using Tapatalk

NuBits was never intended to be close sourced forever. It will become open source in time.

With current scheme they cannot be successful period. Make themselves rich? maybe.

Do you think you could post in detail why it will not work? It seems NBT sales are doing very well at the moment with very little exposure/coverage. It's been out for 6 hours and you're already 100% sure it's going to fail?

It is long explanation - in short they issue money based on a decision of the Nushare holders, and  enforce the peg on centralized exchanges. Support for the peg is also provided by giving interest. The decision if and how much interest is to be paid is done by vote of the NuShares holders. NuShares are distributed to 'trusted parties', read insider clique.

It is the same as you and me saying - here are some dollars (NuBits), we promise to find you people to always buy your NuBits at $1 a piece. If we happen to sell more NuBits than necessary, we will vote and give you some interest...
I collect outrageous ideas (and IPOs ideas) in crypto space. One day I will publish them as an entertaining reading - NuBit/Nushares will make one of the better chapters....

Anyone want to try with a real response? This type of response is incredibly unattractive to new people like myself. BTSX is highly unprofessional if this is an example of how their community thinks.

Liondani just highlighted an area of economic and protocol concern, others mentioned the centralization, which can be used to manipulate the system

Others might point to the faceless development team of nubits, yet others will doubt the system further due to the faceless investors and their undocumented portions of ownership, which has to lower confidence and trust- ability of the system, the root issue again being centralization

edit: words/grammar

Btsx does not have these issues


Sent from my iPhone using Tapatalk

[shadowbroker2]

From what I can tell they use voting to set interest rates...

They are also thinking of being closed source because they are worried we might copy them (due to my comments on this thread).

They can't be closed source and be successful


Sent from my iPhone using Tapatalk

NuBits was never intended to be close sourced forever. It will become open source in time.

With current scheme they cannot be successful period. Make themselves rich? maybe.

Do you think you could post in detail why it will not work? It seems NBT sales are doing very well at the moment with very little exposure/coverage. It's been out for 6 hours and you're already 100% sure it's going to fail?

It is long explanation - in short they issue money based on a decision of the Nushare holders, and  enforce the peg on centralized exchanges. Support for the peg is also provided by giving interest. The decision if and how much interest is to be paid is done by vote of the NuShares holders. NuShares are distributed to 'trusted parties', read insider clique.

It is the same as you and me saying - here are some dollars (NuBits), we promise to find you people to always buy your NuBits at $1 a piece. If we happen to sell more NuBits than necessary, we will vote and give you some interest...
I collect outrageous ideas (and IPOs ideas) in crypto space. One day I will publish them as an entertaining reading - NuBit/Nushares will make one of the better chapters....

Anyone want to try with a real response? This type of response is incredibly unattractive to new people like myself. BTSX is highly unprofessional if this is an example of how their community thinks.

[liondani]

It is basically postponing inflation until there is adequate demand.
Regarding taking them out (burning) someone has indeed to buy them so that is a last resort measure. Parking them for longer period would be more likely as long that there is confidence demand will increase later on.

and what happens if demand don't increase later on ?

[cybnate]

questions for Nubits:

how do you guarantee 1 USD == 1 Nubits? . If you "grant" with voting 20.000 NBTS for "developing software" what will i do with NBT? I need someone who is willing to use and buy the NBT from me. Without this i will sell it under 1 USD because the NBTS are for "free".

As I said in my previous post we maintain the peg by managing the amount of NBT in circulation. The exchange will buy your 20k NBT in principle as long as there are Custodians providing adequate liquidity which Shareholders will make sure of.

@bytemaster The interest is indeed paid in NuBits when it is unparked technically increasing the money supply. It is basically postponing inflation until there is adequate demand.
Regarding taking them out (burning) someone has indeed to buy them so that is a last resort measure. Parking them for longer period would be more likely as long that there is confidence demand will increase later on.

[liondani]

We thought about that process..have delegates publish interest rates rather than price feeds....

So?

[bytemaster]

Who pays the interest is the question I have......

They want people to buy NuBits to earn interest and have even more NuBits....  If the interest comes from printing NuBits... then at the end of the day there are still more NuBits in circulation.   It looks like a "one way pump" with only the ability to temporarily take Nubits out of circulation only to have more NuBits in circulation at the end of the day.   

Note: I assume new NuBits are created to pay interest.

The only way to take NuBits out of circulation is to "burn then"... that means someone has to "buy them".    If the answer is that NuShares are printed to buy the NuBits then you are very close to our market maker DAC that will print BTSX to maintain the peg.   

Either way it appears the entire system requires voluntary compliance and active management by the NuShareholders to set interest rates.   We thought about that process..have delegates publish interest rates rather than price feeds....

[Shentist]

good points:

1. Nubits tackles the same "problem" as bitUSD does. In the future anyone can buy crypto without the worry that their investment get crushed. Not anyone or better the majority of people want stable currencys, values etc.
- so with more then one solution the "problem" will get more attention and people will compare NBT and bitUSD. i am a big believer in the collaterized solution, so nothing for me in the Nubits front.

questions for Nubits:

how do you guarantee 1 USD == 1 Nubits? . If you "grant" with voting 20.000 NBTS for "developing software" what will i do with NBT? I need someone who is willing to use and buy the NBT from me. Without this i will sell it under 1 USD because the NBTS are for "free".

[cybnate]

Our solution to inflation is to reduce the money supply and release it when demand is high. Like a central bank does. Sounds like a proven methodology, doesn't it?

BTW I'm Cybnate, from the peercointalk forums and discuss.nubits.com forum. Nice to meet you.

How will the money supply be reduced and released ?

We are reducing the money supply by having people to park the Nubits at an attractive interest rate. The interest rate will depend on the shareholders voting for it. When there is lots of selling pressure the shareholders will increase the interest rates. When there is no selling pressure they will be zero. The shareholders can set interest rates independantly for short the term (days), months, years or basically infinite practically burning it.

Increasing the money supply is done by voting on proposals raised by Custodian's who are trusted to provide the requested newly created supply by the network to the exchanges (using the bots) and offering the Shareholders attractive dividends at an acceptable fee.

So the principle is like a central bank, but the voting is done by many shareholders all over the world. Given the amount of shareholders at this stage it is not perfectly decentralised yet, but I think we are on the way to it.

[donkeypong]

Why do you think it's outrageous? Is it because their solution to inflation is more inflation? Haha

Sent from my SCH-S720C using Tapatalk 2

Our solution to inflation is to reduce the money supply and release it when demand is high. Like a central bank does. Sounds like a proven methodology, doesn't it?


BTW I'm Cybnate, from the peercointalk forums and discuss.nubits.com forum. Nice to meet you.

Welcome, Cybnate, and thanks for coming over to this board to help explain NuBits. I wish I was more impressed with it, but so far I feel underwhelmed. Maybe I don't understand it well enough. In the run-up to this announcement, we kept hearing it would be decentralized. What exactly is decentralized about creating one's own central bank?

[tonyk]

Our solution to inflation is to reduce the money supply and release it when demand is high. Like a central bank does. Sounds like a proven methodology, doesn't it?

BTW I'm Cybnate, from the peercointalk forums and discuss.nubits.com forum. Nice to meet you.

How will the money supply be reduced and released ?

Reduced???  No such plans...

We should add NuShares as a market-pegged asset  =P

Now that's how one makes real money shorting...