Max Wright video tweeted on Coinapult

[Empirical1.1]

It took 5 tweets but they admitted it's systemic and not counterparty risk

GOOD JOB!!

 

[xeroc]

I am interested to know more about the 'black swan' thread.  Could you please point me to the link?

https://bitsharestalk.org/index.php?topic=7032.0

[cube]

..
What happens in the event of a "flash crash" was well discussed in the "black swan" thread and I think the solution for this is pretty easy: no yield will be paid for some months ..
..

I am interested to know more about the 'black swan' thread.  Could you please point me to the link?

[ElMato]

Another response would be to fork Andreas Schildbach bitcoin wallet and instead of a "Locks" button add a "to bitUSD" button.
( https://medium.com/@Coinapult/electrum-locks-plugin-beta-9d8f724af19a )

But we should rely on a centralized exchange to do the conversion because we don't have cross-chain trading yet.
This will give the same value proposition as locks but with new benefits.

[xeroc]

It took 5 tweets but they admitted it's systemic and not counterparty risk

GOOD JOB!!

[toast]

It took 5 tweets but they admitted it's systemic and not counterparty risk

Sent from my SCH-I535 using Tapatalk

[luckybit]

https://twitter.com/Coinapult
Coinapult @Coinapult  ·  5h 5 hours ago

"Great video! Bitshares also carries counterparty risk, though. No such thing as decentralized hedging of USD/gold
https://www.youtube.com/watch?list=PL1zCD-urlm3iuJlUhq7Nwl5KuVXVShHKO&v=JAhDUk0r4-0"

It should be spelled collateralized.

[hpenvy]

The pond will be much larger if integrated into a system like OpenBazaar.

[Rune]

I love this video. I just think its too bad there isn't actually a way to buy bitUSD with btc directly.

try
 https://bter.com/trade/btc_bitusd

ATM there's not even a full BTC's worth at anywhere near market price.

[tonyk]

I love this video. I just think its too bad there isn't actually a way to buy bitUSD with btc directly.

try
 https://bter.com/trade/btc_bitusd

[Rune]

I love this video. I just think its too bad there isn't actually a way to buy bitUSD with btc directly.

[xeroc]

I guess they mean the risk of systematic failure (e.g. software bug -> btsx falls extremely rapidly -> bitassets (partly) uncovered) BM has addressed before. This is my version https://bitsharestalk.org/index.php?topic=9725.msg127611#msg127611 I'd be glad if anyone could confirm / correct me here.

*agreed* .. that's a risk that will not vanish .. at the very least, because the crypto tech in place is not information theoretically safe but only computational infeasible to crack .. however that "counterparty risk" is inherent in ALL crypto currencies/tokens/assets and has nothing to do with btsx

What happens in the event of a "flash crash" was well discussed in the "black swan" thread and I think the solution for this is pretty easy: no yield will be paid for some months ..

It is right to say that there is no such thing as a derivative that has no risk. If you want no additional risk hold the underlying itself (e.g. physical gold).
But it is right to say that bitassets have no counterparty risk if "counterparty risk" is used like it is used normally (narrow definition): With BitGLD (and other bit assets) there is no risk that a single counter party could loose funds or not have them in the first place.

*agreed*

[santaclause102]

Bitshares also carries counterparty risk, though.

Do they say where? I can't see it? Am I blind?

https://twitter.com/Coinapult

I was wondering if they stated where the counterparty risk lies .. because I just cannot see it .. what's so obvious that I cannot see it?

I guess they mean the risk of systematic failure (e.g. software bug -> btsx falls extremely rapidly -> bitassets (partly) uncovered) BM has addressed before. This is my version https://bitsharestalk.org/index.php?topic=9725.msg127611#msg127611 I'd be glad if anyone could confirm / correct me here.

It is right to say that there is no such thing as a derivative that has no risk. If you want no additional risk hold the underlying itself (e.g. physical gold).
But it is right to say that bitassets have no counterparty risk if "counterparty risk" is used like it is used normally (narrow definition): With BitGLD (and other bit assets) there is no risk that a single counter party could loose funds or not have them in the first place.

[xeroc]

Bitshares also carries counterparty risk, though.

Do they say where? I can't see it? Am I blind?

https://twitter.com/Coinapult

I was wondering if they stated where the counterparty risk lies .. because I just cannot see it .. what's so obvious that I cannot see it?

[Gentso1]

Bitshares also carries counterparty risk, though.

Do they say where? I can't see it? Am I blind?

https://twitter.com/Coinapult

I would like them to support this statement? Other then the brief transfer from btc to btsx I don't see it and I didn't hear it mentioned in the video.