So here’s the technical conundrum of the BKC/NBT peg:
We want to stimulate people to place their orders as high as possible. However, we want to award people more when their orders are forced to be low because that means that they are doing more to help B&C. So you want to award them for placing buy orders just below the sell pressure.
The only solution I can think of is the good ol’ price-volume solution. Have slots at different prices with different target volumes that give different rewards. The slots are filled from lowest to highest by the server (not as trustless as TLLP because the price feed is essentially coming from the operator) and rewards are given out at the end of some period (call it 1 hour). At the end of the period, all liquidity is randomly reshuffled such that everyone has an even chance at the highest paying, lowest risk slots. The server would keep ordermatch=true at all times.
For Example:
A set up like that would cost less than $200/year at a price of $4/bks. The approximate reward % column assumes a price of $4/bks.
Maybe this isn’t economically viable, I don’t know, I’m making it up as I go. In my mind, this is a way of spending BKS to turn around a sharp BKC depression that’s more efficient than a BKC buyback. The parameters could be adjusted somehow (shareholder voting?) such that B&C spends more shares when the price is low. Perhaps the ‘Reward (BKS/hr)’ column should be multiplied by (1-x) where x is the achieved fraction of liquidity target.
