[Nu Lagoon] The Nu Lagoon is supportting Bitcoin.co.id now | NAV: 1.062 @ 14 May

[Ben]

You aren’t being consistent, you selectively chose that statement absent of the risks context.

I’ll respectful second Tom’s original request to either modify the title of the post or to remove it outright.

[cryptog]

Probably this should be taken into account in the title: “The actual return could be less or more than expected because of the volatility of BTC price against USD and other factors.”

In my understanding, you will earn 7.2% exactly in just one case: BTC/USD stays constant during all duration of the pool activity.
So you will never earn 7.2%. It could be more or it could be less.
Right now, since BTC/USD is going down, it would be probably less.

Maybe the title could be modified to: “Expect to earn 7.2%…” or “Try to earn around 7.2% …”.
“Earn 7.2%” could mislead people to believe that earning 7.2% is a certain thing,…which is not the case at all.
If the return was a certainty, the rate would be much lower

[crypto_coiner]

You aren’t being consistent, you selectively chose that statement absent of the risks context.

I am sorry, but I have to play the devil’s advocate.
Right, the “risks”.
Please refer me to the direct description (theoretical elaboration and/or concrete examples) of the risk of loss on nulagoon.com

[Ben]

Henry covers them, briefly, in the section you called out above.

What you used as the title of the Reddit post and what the NuLagoon site says are similar, but the context and choice of language are important.

You obviously disagree with this assessment.

What you wrote is not based on reality (do you seriously believe that you’ll see a 130% annualized return?) and from the comments posted by others already indicate that what you perceived to be a positive has been taken negatively.

In any case, it’s my personal opinion that your posting will have the direct opposite effect than what you intend it to be.

You have the right to post whatever you want on Reddit, I just hope you think through the impacts that your posts there have.

[crypto_coiner]

Again, my intention was, is and has been to be mirror nulagoon.com purported public statements and see the reactions of the crypto-community.
If Nu’s community has a relatively vehement reaction to my reddit post title, I am afraid it means Nu is not ready to put forth such pool and/or purport such returns and/or does not control well the risks.

[Ben]

You are missing the point. It is how you presented the information, not what you presented that is causing the reaction.

[henry]

Updates:

1. We will add a Risk Disclosure Statement section to the Nu Lagoon’s official documents soon.
2. Nubot v0.2.0 was released, we will start operation on Bitcoin.co.id in production soon.

[crypto_coiner]

1. We will add a Risk Disclosure Statement section to the Nu Lagoon’s official documents soon.

Thank you @henry for that addition and understanding my point.

[henry]

Accounting report of 16th Apr was published. NAV: 1.0444. The first three fund withdraw orders were processed successfully.

https://github.com/henrynu/NuLagoon/tree/master/Reports%20of%20Pool%20A/2015-04-16

[desrever]

@assistant tip 2 @henry

[henry]

Update:
Bitcoin.co.id now is supported by the Nu Lagoon.

[seki]

awesome!

[henry]

Accounting report of 23th Apr was published. NAV: 1.0535.

https://github.com/henrynu/NuLagoon/tree/master/Reports%20of%20Pool%20A/2015-04-23

The Nu Lagoon participants and potential participants please aware that motions which aim to cap the monthly custodian fee of the Nu Lagoon are voting now on the community.

Now the manage fee rate is 0.1% while the custodian fee rate is 0.34%. The manage fee rate will drop while the custodian fee cap is reached and custodian fee rate drops. The dividing ratio of custodian fee between pool manager and pool participants remain 10:24.

The Terms of Nu Lagoon Pool A was updated accordingly. https://github.com/henrynu/NuLagoon/blob/master/Terms%20of%20Pool%20A.md

Participants who oppose or disapprove new motions and new terms of the pool are free to quit the pool before the new motion begin effective.

[cryptog]

NAV: 1.0535.

Does it mean that after 1 month of operation, the return is more or less 5% on the money you invested 1 month ago? In that case, it is not that far from the 7.2% expected.
So we can evaluate the loss due to bitcoin volatility to 2.2%.
However, the volatility could have been much worse and in that case, I am not sure if the monthly return would have been even positive.
Have you thought about using some sort of hedge to maximize the probability to be in the green for liquidity providers?
Besides it seems that most of the funds are in nbts…So the fund is on the sell side for the most part.

[henry]

the return is more or less 5%

Yes. We are completely passive managing the pool, except manually balance the buy or sell side of liquidity when needed.

[henry]

Accounting report of 30th Apr was published. NAV: 1.0641.

https://github.com/henrynu/NuLagoon/tree/master/Reports%20of%20Pool%20A/2015-04-30

[henry]

Accounting report of 07th May was published. NAV: 1.0416.

https://github.com/henrynu/NuLagoon/tree/master/Reports%20of%20Pool%20A/2015-05-07

[seki]

Great job Henry as usual!
i guess NU lagoon is more profitable than current park rates?
i am too lazy to do the maths

[cryptog]

i guess NU lagoon is more profitable than current park rates?

Right now i think it is.

[henry]

Accounting report of 14th May was published. NAV: 1.062.

https://github.com/henrynu/NuLagoon/tree/master/Reports%20of%20Pool%20A/2015-05-14