Excellent indeed -
How does exactly Burning work?
Excellent indeed -
My regular work is very busy this time of year and has me on the road frequently. I have just returned and wanted to provide my status on the steps required by this motion.
I have successfully “burned” as fees 25% of the NBT remaining from my grant, totaling 255,759.654 NBT (of 1,023,038.654 NBT).
Proof of this burn exists in the Nu blockchain and can be verified by reviewing the transaction ID: e4e4e0127f58df1c7f0e5a2e7e6ebac71453d4beb64e906a25d4ab2c7c5e6329
For more information please review the post that details the breakdown of the status of my grant funds.
The only change in my holdings between the day that post was written and today affects the “exchangeHeld” funds. The first settlement with CCEDK for a portion of the 87,200 NBT that was owed to me on behalf of the Shareholders occurred after that post had been written.
Accordingly, it is my plan to burn as fees 25% of the NSR that had been received in the settlement–totaling 2,746,787 NSR of the 10,987150 NSR–later tonight after I have confirmed that the burn process works the same for NSR as it does for NBT. I expect it does but will test with a small amount first to be sure.
I did not recognize this request the first time I read your post and apologize to the Shareholders for not submitting these addresses in advance.
Addresses that the burned funds were sent from:
Does the burning shown in money supply report in the wallet? I don’t see 0.25 million down step in coinmarket 7-day chart
It needs to be reported to Coinmarketcap.
@KTm - any update on the planned NSR burn?
I have not processed the burn of NSR yet. I had planned to do it yesterday after testing with a small amount but my schedule changed and I did not get home until very late.
The first chance I will have to burn the settlement NSR will be tomorrow afternoon. I will provide the addresses that I will be using before I start so Shareholders can verify the action live in the block explorer.
After that, looking ahead at my calendar, the next set of burns will commence in nine days and will account for:
- 253,202 NBT of the remaining 767,279 NBT held
- 2,719,319 NSR of the remaining 8,240,363 NSR held (settlement funds)
I will be initiating the burn of 2,746,787 NSR as fees in a few minutes. The address that I will be using is
SYzjKXnv8waGjFavoHbopbyjwMFGVBSAas and once it has been processed and accepted by the Nu network this post will be updated with the transaction id.
That did not work as I expected it would. Only 10,000 of the NSR were used. I will reach out to the Nu Development Team to ask if there is a step that I need to do different from how NBT are burned to consolidate the inputs into a single output.
A new burn address will be provided when I have the process worked out. Sorry for the delay.
Partial burn transaction, for historical reference: 3da1d77e7c794b583322761a9c6f683e9e896e0f9757eb38c585a37723364818
I am trying again after adding a parameter to my nu.conf file (
splitshareoutputs=5000000) to increase the size of the outputs.
The replacement burn for fees address to be used is
SVsMVp7QpzQ3qbtbEHMcudhvNrBjPgyJTA. Updates will be added to this post once I have manually generated the new transaction.
After including the parameter to appropriately size the outputs I was able to burn the amount for fees.
2,736,787 NSR (total: 2,746,787 NSR taking into account the 10,000 NSR burned in the small transaction due to the incorrect output size specification) has been burned for fees in a transaction sent to SVsMVp7QpzQ3qbtbEHMcudhvNrBjPgyJTA.
This fulfills the first portion of my burn schedule and going forward will be burning in accordance with the timeline specified by this motion.
In accordance with the above motion, I am preparing to perform the next NBT burn. All available NBT and BTC has been withdrawn from Bter. Bter points, Bter securities, and outstanding BTC_B balances are listed but will not be included in the calculated percentage to be burned. Here is a breakdown of currently operated funds:
BTC: 30.25 (7678.36 NBT)
CNY: 25388.23 (4095.68 NBT) - converted from Bter points
BTC_B: 178.67 - not included in burn calculation
Bter Points: 18575364.19 - not included in burn calculation
Bter Securities BTQ: 18575354.19 - not included in burn calculation
NSR: 667298.73 (2071.96 NBT)
BTC: 10.97 (2784.52 NBT)
BTC: 85.2 (21626.35 NBT)
4/3/15 03:25 UTC
4/3/15 03:25 UTC
89356.61 NBT will be burned to address BH5KkzwvD9TzXuuDKBQ6BYdBpKce3ao4Y4
The burn transaction is complete. You may view it on the block explorer by clicking the following txid link:
NBT burn address: B53UwF2iJZBykmZqTxeYgxoTP4HNYtvEgW
Amount: 253,202 NBT (of the remaining 767,279 NBT held)
NSR burn address: SVNeTTKYGMujZ59DERpxkxwwXeBRHz28nf
Amount: 2,719,319 NSR (of the remaining 8,240,363 NSR held [CCEDK settlement funds])
I will include the transaction IDs of the burned funds once they appear in the block chain.
NBT Burn TxID in block: 307,390 – c6d670ca72a8bf2b2fd21f4043b66730af76a01645d9af8a050f87cfdf9f22b4
NSR Burn TxID in block: 307,403 –
This process always makes me think of Mike Caro burning benjamins at the poker table to make his opponents think he’s crazy.
A technical issue with burning by sending coins to fees seems to be that moneysupply reported by the client doesn’t show the consequence. Or does it?
The minor issue compared to the solution proposed in the motion is we can’t differentiate an accidental extra fee from a burning. But it’s correctly removed from the supply like normal fee.
This is great. Thanks.
Has any talk been done about when Nu is in high demand about not burning fees and instead putting them into walls or dividends?
In regards to dividends, our FAQ answers it here: https://nubits.com/about/faqs#why-are-nushare-dividends-paid-in-peercoin
We require an asset external to our system to distribute dividends. The purpose of creating NuBits is primarily to meet increased demand for NuBits in a way that prevents the rise of the NuBit price. If we distributed NuBits to shareholders instead of bringing them directly to market, there would be no way of knowing whether shareholders would hold them or sell them, or for how long they would hold them. It wouldn’t permit the network to tightly control the supply of available NuBits, which is necessary to maintain the pegged price.
Destroying NBT as transaction fees means that brand-new NBT must be purchased from custodians if demand is static or growing. Those new NBT can eventually be sold for dividends if shareholders choose that outcome.
This morning I conducted the third burn of shareholder funds (NBT and NSR) under custodianship as required by this passed motion.
Amount: 257,031.985 NBT (50% of remaining 514,063 NBT held)
Transaction ID: 874477c08257837cc32d0238699a7b536f3bf6c1e6d2cb86c512ab3660bd5d80
Amount: 2,760,487.6 NSR (50% of remaining 5,520,975 NSR held)
Transaction ID: 10981786a8d87009bd4e672f97666c6fa0cf4601172ff9d77878f33e288c78bf
Baring any changes to the requirements, the remaining NBT and NSR held in my possession will be burned within the next month.
The ~24k EUR on the buy side of the CCEDK NBT/EUR market that I am the custodian of will be continue to be provided as liquidity until it is exhausted. NBT acquired from this trading pair will be burned either as part of the final burn or as an additional burn after that point as required.
I have burned all NBT held in excess of 250,000. As you may recall, I have received only 1 grant of 200,000 NBT. Additionally, all contributors except those receiving custodial grants and those receiving NSR have been paid with NBT I supplied. This means 346,215 NBT plus all the NBT paid to contributors was purchased on the open market to support the peg.
Amount: 396,215.4116 NBT (leaving 250,000 remaining)
Transaction ID: c504f9c0d09cfc6cc155e73931dc5bf450f2ab85ae72649b047177485101bcae