How so? and to which extent is it approved and monitored by shareholders?
Tier 4 buy side liquidity now stands at 43,000 NBT of value. About 10,000 of this is currently moving up to tier 1 and 2. With the recent loss of CCEDK (temporary), BTER and Excoin as places to provide liquidity we are currently operating on very few exchanges. Just Bitspark and Allcoin at the moment.
So while liquidity is low because there are few outlets to offer it at right now, it also true that tier 4 is thinner than ever before. I don’t have information about tier 2 liquidity, although I believe there are modest funds there. Individuals LPCs currently have the information about that.
There is currently 16,000 NBT in tier 1 buy support. Therefore, the total buy side liquidity available in tier 1 to 4 is likely between 64,000 and 90,000, with uncertainty coming from tier 2.
Certainly the case for interest rates has never been stronger.
2 Likes
I am ready for setting non zero interest rates though I am not sure exactly sure about what to input.
Here is how I just made my decision: Think about how long you expect the parking to be required. Then set a reasonable interest rate for the corresponding duration that is sufficiently large to attract the money we want to have parked. Then decrease the interest rate exponentially for shorter durations and increase interest rates logarithmically for longer durations.
Problem is missing data … in future we hopefully have the experience to know how much interest is required at a particular duration to encourage people to park a specific amount of NBT.
2 Likes
Missing data is an issue. Although we do know that we need to defend the peg in the short term. Getting more custodians up to speed in short term is challenging and likely far more expensive than park rates. With park rates we take money temporary out reducing the need for liquidity. Therefore I’m going to start voting for relatively high interest rates around the 6 months term.
Proposing to start with 5% for 6 months and 10% for a year. No custodian which offers that or will offer that in the short term. Will continue to evaluate the situation with liquidity pools etc. and will stop voting for interest rates when more than 100k is parked or significant liquidity is added to tier 3 and 4. Based on the information I have less than 25k is parked (a few weeks ago). I hope that information about the amount of parked funds becomes publicly available soon.
Will update my datafeed soon…
2 Likes
I have input the following rates.
My feeds are here.
- 1.4 days: 0%
- 2.8 days: 0.05%
- 5.7 days: 0.2%
- 11.4 days: 1%
- 22.8 days: 5%
- 1.5 months: 7%
Very high rates compared to Cybnate’s rates, I am aware.
The aim being to give a strong incentive to holders for parking immediately.
Will be waiting for other shareholders’ opinion before adjusting.
Since rates began to be offered a day ago the number of parked NuBits have doubled from just under 5,000 to just under 10,000.
Right now the network is offering 1.45% for 22 days, 2% for 1.5 months and 2% for 3 months. However, shareholders are currently voting for 4% for 22 days, 5% for 1.5 and 3 months. The discrepancy is due to a protocol rule that limits interest rate rises to 1% per day. If voting stays the same, the rates will rise over the next few days. This 1% per day limit is being raised to 3% with the next protocol change.
The parking information is available via the getinfo RPC and the parking rate votes are available via getparkvotes RPC.
2 Likes
This should be announced more publicly. I would also love to see the current parkrates shown on nubits.com, such that even people without a NBT wallet can easily check if they want to take the opportunity.
4 Likes
Stage three of our website is currently being developed which will include many metrics like this. I think we’re getting closer to completion. @desrever would have a better idea of the timeline.
1 Like
I can’t provide an estimate, but 
Right now protocol rates are still below what shareholders are actually voting for because rate increases are capped at 1% per day. So, if you believe shareholders will not lower their rates in the next day and a half you should wait to park until we see 5% for the three month duration in a little over 24 hours. I expect parking to become more popular once we reach 5%, but not before that.
Just before rates began to rise several days ago, total parked NuBits were less than 5,000. With 3 month rates just having been raised to 5%, the total number of parked NuBits is now over 35,000. Buy side liquidity is also way up over the last several days at 43,000, though that is still far less than sell side liquidity of 97,000. When those two figures are balanced, rates should be dropped.
We are well on our way to stimulating the NuBit demand we needed, but it is not done yet.
4 Likes
Tks for your clarification.
One last thing.
Could you ( @JordanLee) share how much is held by you in BTCs and PPCc in tier 4 right now?
(I suppose non NBT means: (BTC, PPC, NSR) )
EDIT: add Jordan Lee.
45 BTC and 69,000 PPC. Remember these funds are also used to pay contractors in addition to providing tier 4 liquidity.
1 Like
That amounts to roughly 35000 nbt.
Currently buy side liquidity is 42 000 nbt.
When you say “many times” can I interpret that as at least 3 times as much buy side liquidity over all Tiers as in Tier4?
In that case, that means the combined Tier2 and Tier3 buy side liquidity could be similar in proportion as the buy side liquidity in Tier4
(I do not consider Tier5 and Tier6 here)
However I do not remember the amount in Tier 1 buy side liquidity when you wrote this post so my question could be invalid.
When I made that statement liquidity was around 7,000. So most of that liquidity has already come back online. @KTm also has some buy side liquidity currently on CCEDK, but is having trouble withdrawing funds presently. @ronny I hope you can give us an update on those pending withdrawals.
Presently the park rate protocol doesn’t effectively support voting for a single park duration. When the 3 month duration is the only duration with park rates, it should gradually scale down to 0% for the 1.5 and 6 month durations. Right now it doesn’t do that. Instead, the only duration a park rate will be granted for is exactly 131072 blocks. Until this is fixed, you should never vote for park rates for just a single duration. You need to vote for at least two adjacent durations, otherwise it is effectively a vote for 0%.
I would remind shareholders that tier 4 is extremely unbalanced. I have around 35,000 NBT buy side and more than 500,000 NBT sell side. Park rates have worked out just as designed. Briefly offering 5% rates for up to 3 monthswas associated with a thickening of the buy wall by 20 or 30k NBT and was associated with more than 30,000 NBT being parked.
So, we have about 75,000 verifiable NBT value for buy side support and payments to contractors. That’s highly unbalanced.
Tks for clarifying.
I am wondering about how much KTms has.
Currently there are around 75,000 NBT worth of buy side liquidity in tiers 3 and 4, to be added to the 39,000 NBT worth of buy side liquidity in tier 1 and 2. This presumes jmiller is the only LPC with tier 3 funds right now. LPCs please let us know if that presumption is wrong.
1 Like
I currently have 80,000 NBT worth of tier 4 buy side liquidity. @KTm sell side liquidity is still shown as 47,000, but I believe this is an error. @KTm, can you confirm and do you know why your sell side liquidity is not displaying correctly? If your aren’t running NuBot right now then it is a problem in the Nu client. If this is the case, @erasmospunk can you identify the flaw in the client causing this?
So, at the moment the client should be displaying 53,000 buy side and 50,000 sell side, I believe. However, when jmiller resumes operations at BTER then that will put a large amount of funds on the sell side and only a few thousand on the buy side, because almost all the buy side funds are frozen due to the hack. So soon we will have lower buy walls than sell walls.
I agree that this is an error. A few minutes ago I was trialing the new version of NuBot (0.1.5c) on the NBT/EUR market on CCEDK, but with submitLiquidity=false set as a configuration.
At this time I have no other bots running on any markets. Furthermore, my original grant address is older than 6 months (which I understand to be beyond the designed “life expectancy” for when it should stop being able to be used to report liquidity info to the network).