Now that more and more people started to getting onboard with the idea of having a 1$ digital currency, an increasing numbers of use-cases for NuBits are floating around.
Let’s try to collect them here.
What is the most innovative thing that NuBits enables?
Keeping your crypto profits coming from trading/services/products in crypto, parking them to store value and gain interests, use the parking feature to prevent spams by requiring a small amount to be parked, crypto crow-funding campaigns with (finally) a known ROI, business loans, remittance, salaries…
Needed some cash for something. PPC has been volatile, so I finally went ahead and bought a few thousand NBT. And you know what? It’s a load off my mind not worrying about PPC’s downtrend and whether or not I will be able to afford what I want to do and how much PPC I’d have to spend to do it. Sure, I could have turned it into cash and let it sit on an exchange, but who wants to trust an exchange?
I think is a great time to be expanding in the number of exchanges. Most cryptocurrencies seem to be very volatile right and it would be great to show off the stability of NuBits. Especially since most cryptos are falling at the moment and people are generally at low confidence levels.
Like right now, I am moving in money to buy NSR but with the recent downtrend in BTC and PPC, I will most likely keep those assets in USD or NBT. I lost a good amount of money when I was converting USD to BTC a little over two weeks ago. It’s quite depressing watching the purchasing power of your money go down when there is no way to keep it safe. Coinbase frustrated the hell out of me.
I’ve noticed that a lot of mining farms which offer cloud mining charge their investors the maintenance fees in BTC or in whichever coin they’re mining.
This creates a problem because the electricity bill of the farm has to be paid in fiat, therefore if the price of the coin being mined decreases in value, the percentage of those coins required to pay the electricity bill becomes higher, costing the investor more coins (higher fee %).
Since the price of BTC has gone down recently, a lot of mining farms have been obligated to charge a higher fee % per GH/s that their investors mine in order to cover their maintenance and electricity bills which are paid in fiat.
If the mining farms were to charge their fees in NBT, this problem would be completely solved, since investors would have a stable/standard amount to pay in fees and not have to lose more of their mined coins due to the volatility/relation of the value of their coin to the fiat in which the mining farm is paying their bills with.
I believe mining farms have not done this yet (I’m unaware if there are some farms accepting a fiat for fees) because they would have to accept many different types of fiat from different parts of the world and the development of such platform must be costly.
Right now, when prices of BTC are low and fee % is on the rise, is perfect for NBT to be introduced as a very nice incentive for these big mining operators to help out their investors.
I just back from a Bitcoin conference and it seems a good amount of content generating people care about the tipping ability of cryptocurrencies. I know dogecoin is a large contender in this but it may be useful for us to find a way to break into that area. Nearly any content generator would rather use something that will keep it’s value over something as volatile as dogecoin or bitcoin. I think that developing a solution, even small, for the problem of monetization of content generation could be very popular and possibly generate publicity.
Also, as I mentioned before, I am glad I started keeping a certain percentage of funds in NBT. It has helped protect my assets from this recent insanity in the prices.
EDIT: Also this was my first conference. I suggest everyone try to go to one when they have a chance. There are a lot of amazing things being done and it is great getting the human element of all of this.
NuBits are PERFECT for arbitrage, because they can be moved quickly from one exchange to another. If people want to use it for that, then the volume of NBT traded will keep increasing, but if people can move “USD” value fast and without the need of using a banking system, then the reason for different prices at exchanges will vanish. The reason for price difference is based on how hard it is to inject “USD” value into an exchange, the harder it is, the cheaper the coins are. The easier it is to deposit fiat currencies (“USD” value) the higher the prices are.
Therefore we have two sorts of exchanges, hard-to-access with lower price, and easy-to-access with higher price. The hard-to access exchanges are in favour of arbitrage, because it earns them fees. If arbitrage vanishes, they’ll earn less, this is why there needs to be a compensating reason of having NuBits on an exchange. Would their general volume increase that much to compensate for the vanishing arbitrage?
On the other hand the easy-to-access exchanges would face an inflow of cheaper crypto-currencies, so their fees would also decrease proportionally ( I know that those are microscopic numbers, but still).
A third group to consider are the people living out of arbitrage. They’d hate NuBits, as over time arbitrage would vanish, so they’d be losing a source of income.
The fourth group are ordinary users who would love NuBits for cheaper coins and easy access to "USD’ value. I think this is the most important group from the Nu community poin of view
I have been watching bitcoin denominated securities since 2013 April. I witnessed lots of startups failed because the volatility simply because the rise of bitcoin makes it impossible to pay its shareholders
My suggestion would be to establish a security exchange that is denominated with NBT.
NBT is perfect for trading assets. I was already thinking about creating an asset (with Peershares) and making the asset tradable only for NBT. I didn’t want to rush into this, but as you have already mentioned the topic, this is my official proposal to the Nu community. I’d be honored to launch the first asset tradable for NBT. P.S. Ben, this is not what I’ve mentioned in the email yesterday.
The asset would be similar to my operation at Litecoininvest, (http://litecoininvest.com/security/DSOL-LF/details). There I convert LTC to USD and use the capital to trade Forex, earning the shareholders a steady income of 5-10% a month. If I could use NBT in the same way, I wouldn’t need to do all the mumbo jumbo with “guaranteed minimum buyback value per share” as it would be constant, and the guaranteed value wouldn’t be a median of all the shares existing and the funds gathered (this would be a more fair option to all the investors, as LTC is now way below the price at which a lot of shares were sold, so the newcomers would get a buyback value at around 5 USD paying the current LTC price at around 4 USD), no need to calculate “Funds under management” converted into LTC.
I came across this article The Internet’s Missing Link by Stephan Thomas and thougt it helped to put things in the big picture.
It started with a classic chicken-and-egg problem: The Internet needed
developers to build utility on it to attract users, but developers first
needed users for whom to build.
…
But even as the dream of universal interconnectedness became technologically feasible, we needed a social incentive…As it turned out, the answer was…
I think DogeCoin was on the right track at some point for cryptocurrecy adoption
I add one : scratch cards . Like prypto, but stable . So I can actually give it out as a present without risking to accidentally giving a way millicents or millions.
i think the most important way of using nubits is keeping money at a constant value (if we ignore inflation or we can even make it inflation-free with some automatic adjustment) safe, meaning inside the block chain, secured by cryptography. No entity can forge, steal or freeze your money.
I think something that’s quite viable would be a gambling service. Could it be possible to do it on a PoS blockchain? It’s also good for transaction volume.
