NBT sale by FSRT

[JordanLee]

I wanted to assure everyone of the legitimacy of the @FSRT account. I am certain it is controlled by individuals in possession of a key to the 4 million NBT currently held in a multisig address.

[desrever]

it would optimal to have them sign a message with their private keys, tho I am not sure how that could work in a multisig scenario

[zoro]

the opposite is possible when bid walls are thin?
and this is a limited NBT offer?

[FSRT]

As Jordan mentioned, we are not quite ready to bring liquidity to the market, and Jordan filled in for us.

There are two reasons for this:

1. No one responded to this offer to sell NBT to bring liquidity. In the future we will try a slightly lower price such as 0.998 USD.
2. We will be constructing transactions manually using RPCs or the command line. This leaves open a possibility, however slight, that there will be a mistake. We can’t take any chance of the bulk of the 4 million NBT accidentally going to a buyer of NBT, if change and receiving addresses are mixed, for instance. Therefore, we decided that when the 4 million NBT output is used in a transaction, all addresses involved must be FSRT addresses. We will split out smaller amounts of 10,000 to 20,000 NBT into different outputs for use in transferring funds to NBT buyers. Considering the quantity of money involved, we believe this extra precaution is required.

The sale has been suspended because the liquidity walls are currently balanced. We will open it again when liquidity conditions indicate we should.

[dysconnect]

@henry, would it be possible for NuLagoon to buy some NBT from FSRT when the sell side of NuLagoon is dried up? There certainly are times that you need to balance NBT and BTC, and buying NBT from FSRT should be cheaper than on the market. Given that FSRT would rather sell NBT at a loss (not something I entirely agree with), you might be able to distribute the difference as extra interest and take a part of it as a handling fee.

[dysconnect]

In the coming days I will try to build a crude workflow for multisig-based shareholder operations. If the FSRT is using some scripts already please let me know (or upload something to git hub), to avoid a duplication of effort. Also, if there’s anything that I can help please also tell me.

[henry]

would it be possible for NuLagoon to buy some NBT from FSRT

NuLagoon would be happy to do so if it is for the interests of NuShareholders and it accord with the rule that NuLagoon manage fund with.
Let us know how to do it when FSRT is ready.

[dysconnect]

That’s great. Checking the regulations for NuLagoon I don’t see anything that forbids this.

I hope FSRT comes back to this thread soon, but the process would probably be like this:

1. NuLagoon reports an amount in NBT it wants buy using BTC based on balancing targets. I presume there’s BTC sitting off exchange now, so that should be used first. It should be a conservative estimate taking into account BTC volatility.

2. FSRT and NuLagoon decide upon an escrow for exchanging NBT for BTC. Ideally, the ultimate destination of NBT would be an exchange account controlled by NuLagoon; for BTC it can either be a BTC address designated for Tier 4 funds or a BTC address controlled by the FSRT, whichever is easier.

3. NuLagoon and FSRT negotiate an appropriate BTC price. The BTC price should follow the formula already used for NuLagoon accounting, and FSRT should sell NBT at no less than 0.998 USD per NBT based on this BTC price.

4. The trade occurs.

See if anything here might break some rules.

[JordanLee]

NuLagoon would be happy to do so if it is for the interests of NuShareholders and it accord with the rule that NuLagoon manage fund with.

At a reasonable price, it is in the interest of shareholders for NuLagoon to purchase NBT from tier 4. I can sell 10,000 NBT. Shall we meet in a chat room like gitter.im and exchange for exactly 1.00?

[Nagalim]

I think I understand why this is weird, it’s about the price. On the one hand, NuLagoon is trying to keep a spread on all nbt purchases. On the other hand, these are shareholder operations. The rules here are ambiguous.

motion start

Any MLP may buy nbt from Tier 4 funds (any nbt held in reserve under the direct control and possession of shareholder motion) at a price of up to $1. This is in contrast to current and future spread regulation motions which pertain to open market actions.

end motion

[henry]

Shall we meet in a chat room

A PM has been sent to you.

[dysconnect]

In the the long term, the people who would do this kind of thing are going to be market makers. I don’t have a lot of NBT (or liquid crypto) but I guess I’ll try to set up some pair using NuBot.

[henry]

We are happy to tell the community that the transaction between NuLagoon Tier3 and @JordanLee 's Tier4 was completed. NuLagoon has bought 10000 NBT and injected them into the network liquidity to mitigate the short of sell wall. Thank you.

[zoro]

i guess you have to do this again
poloniex is “empty”

[willy]

poloniex is “empty”

Sell side is shrinking fast at the moment.
https://alix.coinerella.com/walls/
Shows 25% ask / 75% bid over the last 15 minutes.

[zoro]

sell side is not shrinking. it is empty for a long time now!

[willy]

it is empty for a long time now!

On poloniex, yes. I was talking over all!

[henry]

We just promoted some NBT to poloniex’s sell wall.

[willy]

Seems to be gone already. Someone is hungry for NBT!

[willy]

Still 35% sell side, 65% buy side.