So we know what @Jordanlee’s plan is to get Nu out of this mess it’s to put up all funds we have left at a tight spread with the hopes of getting T5 and T6 going again. While I’m doubtful that this would have worked ½ weeks ago at this point in time and in the current situation Nu is in I don’t see this working anymore. NSR price is in freefall and any funds we put up at 1% offset get bought up immediately, even if this would have worked before investors and speculators are too scared to fuel either T5 or T6 at the moment. With this I present an alternative plan on how we can survive the Bitcoin halving (roughly 6 more weeks) and get Nu solvent again.
A central notion is the thought that having a weakened peg is better than no peg at all. I don’t believe a weakened peg is useless as some of you seem to do. While a weakened peg is far less than ideal or desirable I feel its highly desirable over a floating currency. Even with a weakened peg people that are in dire need to cash out have the ability to do so. When looking for new money it will be far harder to sell a nonexistent peg that is in free float then it is to sell a weakened peg while we’re in the unusual situation of a Bitcoin pump. Even with a 0.95 cent peg if park rates are high enough it will still be profitable to park, that should be far more appealing to anyone then not knowing if the bought and parked Nubits can ever be sold again.
Here’s my plan, we put up the majority of funds at a 5% offset so far it seems that this offset is high enough for funds to last a while before they get eaten, this buys us time to raise more funds. I’m not against putting up small amounts a 2.5/3% offset and even smaller amounts at a 1% offset to test the waters.
We raise more funds to defend the peg, I’ve suggested a BKS auction to raise a good amount of funds. Next to this I propose a shareholder pledge in which anyone willing can pledge to buy 1k USD worth of NuShares priced at a 100 Satoshi. If these 2 methods are successful we should raise substantial funds to defend and tighten the peg again.
In addition to step 2 we keep putting up NSR for sale at the open market, however dumping them until they are worth 0 is suicidal. Who is going to buy NSR knowing that the next day we’ll put them up even cheaper? No one in their right mind would buy something that gets a discount every day. I propose we establish a minimum price and put up a sell wall and refill that wall if it gets eaten (I propose 150 or 200 satoshi as price).
We keep advertising parking rates and keep the rates high enough that a decent profit is to be made even with a 0.95 cent peg.
I believe with the above 4 steps we can at the very least maintain a 0.95 cent peg until after the halving which hopefully leads to a Bitcoin decline and an increase in Nubit demand.
Edit: I would like to add the plan to let Nubit holders burn their Nubits for NSR as an additional step.