[Passed] Temporarily cap NBT supply with full reserve

[mhps]

If Peercoin was going to be adopted by the masses, it would be doomed.

If Peercoin was going to be adopted by the masses, it would have higher valuation and can afford to hire more developers so would be able to transform faster. then everything you said will lose its base. I guess i am saying that the world is not linear. What pans out is hard to predict but we KNOW that so far PPC has hung on for many years and its USD price has refused to dive.

[mhps]

I like the OP in that it offers a continuous adjustable lever to bring back the peg.

I like continuously, gradually adjustable controls which you can adjust while observing the results. These can be the spread, the availability of the peg (in volume or time), now the pegged price.

But the $0.1 is radical and 1) we don’t have the reserve for it even we keep selling nsr for a month at current going 2) why 0.1 not 0.01 or 0.5? we have full reserve in T4 for $0.023 and current market price is 0.5ish, where it is easy to start gentlly pushing up.

Of course we must face the reality of financing Nu. A credible financing plan could bring back $1 peg in a flash by the speculator/investors. How do we finance Nu operations? That is the key question.

[mhps]

How do we finance Nu operations? That is the key question.

I am not saying we must find a credible way finance Nu before we can do anything else. For example once we have
A Gateway with a build-in USD reserve we CAN have a peg via nbt/btc with very small exposure to btc price and exchange risk. But it needs development. We can start building it while we figure out financial issues. I am particularly interested in hearing @creon’s thoughts of the gateway-wit-reserve idea and how much it would cost to implement.

[nmei]

I forgot about that proposal with all the chaos. That was a good proposal.

[rtGG]

It might refuse to dive, but that doesn’t mean anything. It was the first POS currency and some people hold it for various reasons, mostly sentimental reasons (something like you are doing with Nu. I hope it is sentimental and not that you actually hope that Nu will go back to 1$). They might be waiting for another pump etc. Many people might still be holding because they can mint every now and then without having to run a node all the time. Also don’t forget that you it is listed in BTC-e and they might keep the prices artificially high. Being on such an exchange for so long is what is keeping Peercoin there. They might have had a lot of peercoins themselves and are either unloading slowly or are preparing for a minipump.

Everything I said was this one sentence? I was talking about this specific model that is full of flaws. What about the rest that I said about your stupid project? Peercoin doesn’t even have to develop that much. Open source is opensource. Take Blackcoin/NXT/NEM/Vericoin and put them into Peercoin. Peercoin devs had 2 years to do that and they haven’t done it yet. Chaning the POS algo on a coin isn’t rocket science! Casper might change things when it comes out, Tendermind might be better overall, but the current state of POS is poor. DPoS is the only one that is currently out perfoming the rest and even BitFury acknowledges that.

There is a reason why POS coins haven’t gained traction and that is that they have more flaws than POW coins. So what you said doesn’t have a base. Big money, isn’t stupid money. Peercoin’s cap was once massive, you forgot about that? Do you think that there are many people out there, who really know what they are doing, that would put their money in projects like Nu and Peercoin?

[mhps]

A maximum of 0.5% of the total NuShare supply may be sold each week. This maximum applies to the aggregate NSR sales by all custodians.

A more elegant way is just changing the Standard from

[Revision] Standard and Core

ST = 0.05 x (T4BTC - 0.15 x CN)

to 5% of deficit (ON is outstanding nubits) and 100% reserve

ST = 0.05 x (T4BTC - 100% x ON)
The 5% factor is there so there is less impact on the NSR market.

currently ON=980BTC, ST above would be about 49 btc

and the nsr sales changes from

[Revision] Standard and Core

If ST > 2500, buy ST amount of NSR
…
If ST < -2500, sell -ST amount of NSR

to

If ST > 2500, buy ST amount of NSR
…
If ST < -2500, sell 0.5% amount of NSR or the -ST, which ever is lower.

0.5% amount of NSR is about 4 million NSR, which happens to be very close to the latest calculation result – 3.7 million.

[Confucius]

The money is made by the LPs unless it’s teh gateways who does the liquidity provision, which has exchange default risk.

This seems really convoluted. Would it not add to the total liquidity available, and to the future price (the total amount that is backing the buy side) if Nu was sold higher than it was bought back? If it’s the LP’s then the LP’s can back a higher price.

[mhps]

if Nu was sold higher than it was bought back? If it’s the LP’s then the LP’s can back a higher price.

If you are saying we should have a spread wide enough so LPs don’t only get Nu’s reward but also can make profit from trading with the spread. Yes that would help.

[dysconnect]

Tiered transaction fees (shameess plug warning):

Discussion about the transaction fees

The fee scales with the size of your transaction that has to be recorded in the blockchain, which varies and is not exactly dependent on the value transferred, but is usually not much. =============== To add to this discussion in general, I think it makes sense to have tiered fees tailored to different use cases and habits rather than a lumped measure. Here's an example… First, we have an expensive volume-dependent fee that charges at least 0.05 NBT and otherwise up to 0.5% of the total a…

The “deferred transaction” idea is somewhat similar to what creon suggested, but more direct.

[cryptog]

2 problems that i see:

• Is 100% reserve gonna guarantee a tight peg in the future? In other words, is reserve a fundamental issue? Isn’t that source of revenues the main problem?
• In order for contractors to accept being paid in nsr, the nsr/btc market needs to be quite liquid. Is the proposed strategy here gonna induce a high liquidity?

And more importantly, to @JordanLee or @Phoenix , what was the main cause for the peg loss recently?

If we are not able to identify the root cause, there is no way we can improve.

[Gilbert]

1. We should note the fact that Nu is worth 1 USD. When people pay less it is worth 1 USD anyway.
   The value is the rule of the game of Nubits

2. We should not correct errors through new error

[Chronos]

@Phoenix you seem to put this plan forward with a lot of confidence, though it sharply changes the direction of the network. Have you spoken with @JordanLee about it?

[MaVo]

[Withdrawn] Make Firing and Replacing Incompetent Liquidity Providers Our Top Priority

Before we put any BTC on the Poloniex buyside, we should first invest some of the left money into the hardest medication against schizophrenia as quickly as possible.

I guess the discussion between @Phoenix and @JordanLee was only possible, if my advise from above hasn’t been followed yet.

[Sabreiib]

I criticized Nu’s weakness such as lack of profit(ponzi), no anti-inflation, ignorance of accounting etc from as early as 2014 when we translated the white paper into chinese, but I still have hope on peershare.

I am writing an article to summarize my idea, only a portion finished. I welcome all of you to criticize and improve my writing before I put it on bitcointalk forum to attract some Hayek fans into our community. This is the only way I can help because my invest stuck in B&C.

Do you know how Hayek evaluate the gold? Very vividly, I guess we can also throw this bomb to bitcoin forum.

It may be that, with free competition between different kinds of money, gold coins might at first prove to be the most popular. But this very fact, the increasing demand for gold, would probably lead to such a rise (and perhaps also violent fluctuations) of the price of gold that, though it might still be widely used for hoarding, it would soon cease to be convenient as the unit for business transactions and accounting. There should certainly be the same freedom for its use, but I should not expect this to lead to its victory over other forms of privately issued money, the demand for which rested on its quantity being successfully regulated so as to keep its purchasing power constant. The very same fact which at present makes gold more trusted than government-controlled paper money, namely that its total quantity cannot be manipulated at will in the service of political aims, would in the long run make it appear inferior to token money used by competing institutions whose business rested on successfully so regulating the quantity of their issues as to keep the value of the units approximately constant.”

–F. A. Hayek

[nmei]

I like this. We need to increase transaction fees.

[armagedom1986]

Hi guys! I’am new here and I’m very concerned about the falling of NBT, I’ve readed about, for trying to understand what is happening, and my first question is!

Whats is a peg???

Sorry if the question is too dumb…

[nmei]

Whats is a peg???

The peg is when we use Nu provided software to keep the value of Nu = $1.
The software uses buy and sell orders on exchanges to accomplish this.

[armagedom1986]

Ohh thank you!! I will read more about it!

[dysconnect]

We should separate old debt from new. JL should make sure BCE can launch, and decide early what the API should look like.

Nu should consider adapting NuBot for BCE, utilize NuSafe etc. to loosely peg a new coin. BCE should strike a deal with Nu to share trading profits. Promise that old debts will be settled using Nu’s profits, and generate revenue. Then there’s hope that NSR recovers enough to settle old debts soon, and start to be financially healthy.

To begin with, see if Nu’s intangible assets are worth all the trouble above, with the alternative of starting an entirely new blockchain. I believe it is, especially if those who side with BCE join forces together with those who still support Nu to make things work.

[creon]

Sending from an exchange account is not supported by all APIs, and of course would also then still require the 2 factor authentication, so an automatic way to do the second part is only possible in very special cases.

The first part sounds to me like you want that 90% of BTC funds are converted to another USD token as long as the remaining 10% have a value of at least 1000 NBT. That’s very achievable, probably around 6 hours to 12 hours of development time for the Nubot if someone doesn’t know the code, @woolly_sammoth or @desrever can probably do it in less.