Title says it all. I’m really sad and disappointed to see the mechanism is no longer working? What was the downfall? Bad custodians? Not enough development or usage? Exchanges? I’m sad to see this project faltering. It was so strong for so many years. My only advice would be to stick together as a community and keep working on it and passing votes.
I posted this on reddit a while back when it happened. If someone has a better summary please share
A very high level overview is that within the past year the shareholders voted to use reserve buy-side liquidity (Bitcoins) for share buybacks to reduce the NuShares supply. The NuShares were burned after purchase. This was fine for a while until BTC started to rise. People started cashing out their NuBits to join in on the BTC pump. This quickly depleted the remaining reserves of the buy-side. Shareholders have raised parking rates to try and attract some sell-side preassure, but to no avail, and liquidity teams are now trying to conduct NuShares auctions to raise some new buy-side funds. Whether that works or not remains to be seen.
I have just offered this detailed analysis of what happened. It is my hope the document will be passed as a motion by shareholders indicating they agree with the assessment and the recommendations it contains on how to move forward.
Essentially, the peg was abandoned due to the incompetence of decentralized liquidity providers and their contempt for the will of shareholders. So far there is more consensus to proceed by placing liquidity operations under expert guidance that comply with shareholder directives contained in passed motions than any other course of action.
I currently have 36% support to become the Chief of Liquidity Operations. Most forum participants laughed and mocked my candidacy at first, but shareholders didn’t. NuBits are up more than 100% in the last few days as it has become clear I have a good chance of getting elected, because I have promised to give NuBits a strong and sustained pump by selling NuShares. If we get the NuBit price up, the NuShare price will follow, even as we sell NuShares, I believe.
It’s clear NuBit price has went up only after I came back to the forums.