Current Liquidity

[mhps]

I’m in favour of trying to get the liquidity provision going.What do you say?

Whenever the volatility is low we should lower the spread. Volatility in the last 4 days have been low relatively. Your proposal is fine.

[masterOfDisaster]

Thank you. Let’s wait for some more sentiments.

[masterOfDisaster]

Before I forget, I suggest we reserve 10 btc and authorize a custodian to place them at e.g. $0.1 in case of a bank run or an attack

Another great idea!
Would a FLOT member be willing to step up and do that?
It wouldbe good to split responsibilities a little bit.
All that’s required is a Poloniex account.

@FLOT, @cryptog, @Dhume, @dysconnect, @jooize, @ttutdxh, @woodstockmerkle

[mhps]

All that’s required is a Poloniex account.

by joining in an existing pool and setting a huge offset?

[masterOfDisaster]

If you are at that big offset, you don’t even need NuBot and can place orders manually.
Whether it’s 90% offset or 85% or 92% doesn’t really matter.

Until someone is found, I put the proceeds from the NSR sale on order at the NBT/BTC pair:
That does no harm, unless BTC drops to $5 - in that case we have other problems, but it’s not very bad, because we barely have BTC left

The “best” buy is at $0.095 at the current BTC rate ($533).

5555 NBT @ 0.00018000 BTC; total BTC: 0.99999999
5555 NBT @ 0.00015000 BTC; total BTC: 0.83333332
5555 NBT @ 0.00010000 BTC; total BTC: 0.55550000
5555 NBT @ 0.00000800 BTC; total BTC: 0.04444000

[cryptog]

The alternative is to withdraw it to FLOT reserve.I’m in favour of trying to get the liquidity provision going.What do you say?

I would be in favor of putting half of the proceeds on NuLagoon and half of the proceeds to BTC FLOT.[quote=“masterOfDisaster, post:1830, topic:1239”]
Another great idea!Would a FLOT member be willing to step up and do that?It wouldbe good to split responsibilities a little bit.All that’s required is a Poloniex account.

@FLOT
[/quote]

Cannot do that unfortunately.

[cryptog]

I believe Jordan’s comments re tight peg reflect a normal situation where decent reserves are available, not really what we are in now.

which comment ?

[Cybnate]

The one in his motion regarding liquidity.

[masterOfDisaster]

I would be in favor of putting half of the proceeds on NuLagoon and half of the proceeds to BTC FLOT.

The super tight spread at NuLagoon is the last thing we need now and the reserve still has 31 BTC.
There are more important things to do with the proceeds from the sale.
To get the liquidity provision going, testing the offsets at which real trading starts without seeing the BTC just evaporate is useful.

[jooize]

I’m in favour of trying to get the liquidity provision going.

I agree, but am uncertain of methods to do it. Which alternatives do we have?

• Putting BTC on tight spread.
• Putting BTC on degraded (broken?) peg spread.
• Motivating liquidity provision?
• …

FLOT has 31.7 BTC. Plus 6.9 BTC so far from NuShare sale. Expecting 8–20 BTC to arrive from CCEDK.

How do we replenish our Bitcoin liquidity reserve?

• NuBit sales.
• NuShare sales.
• …

---

I have to decline putting those 10 BTC at $0.1 myself, unfortunately.

[Dhume]

I’m also in favor of not putting up 10 BTC at 0.10$ cents a piece. Its an interesting idea but we dont have funds to experiment with right now.

[JordanLee]

B&C Exchange currently has exactly 4 BTC. It is in the interest of B&C Exchange to trade these for NuBits. @masterOfDisaster can we arrange an off exchange trade by PM please?

[masterOfDisaster]

You mean sending the 4 BTC FLOT and receiving NBT from FLOT in exchange for them?

[JordanLee]

I could send the BTC to FLOT and transfer the NBT from shareholder funds under my control if you like. Just wasn’t sure if you wanted the funds on your gateway instead. Whatever you choose.

[masterOfDisaster]

I’m also in favor of not putting up 10 BTC at 0.10$

I understood that @jooize can’t do it himself, but I didn’t read concerns regarding the idea.
The proceeds from the NSR sale are currently on exchange at $0.095 and below.
If these orders were filled, Nu did buy close to 70,000 NBT for the BTC equivalent of 2.4 million NSR

Maybe I have a better use for the BTC:
fire up NuBot on that account and try to foster trading by offering a buyside offset, that is below the current gateway offsets.

[Dhume]

I would be in favor of putting the proceedings of the NSR sale directly onto the buy side at a greater offset then the gateways currently are. Although we’re probally stretching some motion mandates by doing so.

[masterOfDisaster]

directly onto the buy side at a greater offset then the gateways currently are.

didn’t you mean “tighter”.
If yes, I had the same idea:

FLOT BTC Operations (buy side)

What about this: we leave @zoro’s and my gateway where they are for now and I use the proceeds from the NSR sale to run an additional gateway at a tightened buyside offset and a very tight sellside offset (currently there are no NBT on that account, but a fistful from a testrun)?

[Dhume]

No I mean’t greater, are we already ready to start offering BTC “cheaper” again?

[masterOfDisaster]

I don’t know. Maybe we should try.
Nu needs to recover confidence.
Potential buyers of NBT need to know, they can trade them back at less offset than 5%.
I intend to use the BTC from the NSR sale to offer a tightened buyside.

@zoro tightened the buyside offset as well:

FLOT BTC Operations (buy side)

I set buy offset at 3% with 750 in T1.1 and 2000 total T1 amount. Sell offset stays at 0.45% SELL 2969.9619375 0.0022685 SELL 1530.0380625 0.00188667 SELL 1500 0.00188292 BUY 750 0.00181457 BUY 1250.00000196 0.00179584 edit: 0.3% --> 3%

Maybe a bit too fast, but who knows.
@Cybnate recognized her PyBots had some trades and the offset each side ia 0.7% (spread 1.4%).

[Dhume]

Well if your confident we should give it a try then I don’t see a reason not to, uncharted waters kind of thing.