Basic Understanding Of Nubits And NuShares

The Plaza
#1

Hello,

I just discovered and started using Nubits yesterday but I am still trying to figure out the basics. I have watched all the videos but I didn’t really find them to helpful, no offence. If someone could give me some basic understanding between the difference between Nubits and NuShares that would be very much appreciated.

For example, there is a Custodial Grant I really like found here: [Passed] Final proposal for continuing developments on Android wallet (v3.0 released)

Is this Custodial Grant something I would use my NuShares on? Nubits on? or both? and why?

Thanks agains

#2

Have you read the white paper?

#3

Yes I have.

#4

OK the general difference is that NuBits are a currency, which should be used by everyone who wants to make use of a crypto currency without any price fluctuations. NuBits users can totally stop thinking about the system at this point and just should know that they can buy NBT for at most 1 USD and sell them for at least 1 USD.

NuShare holders form a central bank which is able to take influence on the amount of NuBits in existence. This can be done by the methods described in the white paper, i.e. grants to create NBT, parking to temporarily remove NBT, burning to permanently remove NBT. The creation of NuBits can hereby serve different needs, either to develop a product that helps Nu (like the grant you posted) or liquidity providers who want to get compensated. All these actions are performed in the block minting process, and you can roughly say that if you have X% of all NuShares that are staking, then you will provide X% of the voting mass.

This is the one and only task of the NuShare holders: Using the tools provided by the protocol to ensure the NuBits peg! NuShares itself are like a stock, and its success depends on how well this goal was established and as described in the whitepaper specific grants pay out dividends to shareholders.

2 Likes
#5

Can i have more than 10 000 nuShares without voting? Does it matter for my dividends?
That votingsystem is much to complicate. My english is bad and i am not a technical person.
I dont want to vote. Just want some dividends

#6

Dividends will be produced, whether you have votes set or not.

If you don’t want to vote yourself, set up a data feed and it will do the voting for you.

Here are two for your convenience:


1 Like
#7

No problem. Just don’t start minting. You don’t have to take any action to avoid minting. Just keep you wallet locked (I assume you encrypted your wallet, if not, please do so immediately in the Settings menu and use a good passphrase that you can remember).

If you want to mint to get 40 NSR for every block you find then you will also automatically cast votes. If you want to do this but don’t want to keep up with all the voting decisions, then please add a data feed as described above.