Poll: (Closed) When we are ready for a second coin, which type should be the first to launch?

[willy]

Business always needs development and progress.

[Sentinelrv]

why we need a second coin?

Creating new coins pegged to different major currencies would open up new markets for Nu. Right now we’re only focusing on the people that use the US dollar. Imagine all the new interest we would bring in if we supported pegged currencies for the Yuan or Euro. All the people that use those currencies regularly are potential new users that are most likely uninterested in using the current USD version of NuBits. It would be a whole different story though if we offered coins pegged to the currencies they use all the time.

The question is when would be the best time to do it? When would Nu be strong enough to handle taking on another pegged currency?

[Sentinelrv]

I voted for the Yuan because of the huge impact China had on Bitcoin in 2013. Not sure if we could handle something like that though.

[seki]

Thanks for answers. It would be like bitshares i guess. they have bitusd,bitbtc,bitcny,bitgold.
i wonder if all these bitxxx are working as they should

[Raythma]

I wish to vote to an inflation adjusted Us dollar, but as there is no enough NuBits destroyed until now to support both network profits and inflation adjustment, i doubt that we can afford to create an anti-inflation coin in this early stage with the Reserve scheme.

Also, How would we peg some currency to (Gold, Energy, Goods) in the reserve scheme? custodians fees will be ridiculous to keep it decentralized, right?

[Excoin]

We would like to see RMB. We will open NuBits RMB centric trading as we have done for NuBits USD once it is ready.

Eventually I would like to see EUR too.

Out of curiosity what would be the purpose of a coin pegged to Bitcoin?

[mhps]

I’d rather see Nubits get its reserve/revenue/security sorted out before expanding to anything else.

[peerchemist]

Euro, as Europe seems friendly to crypto-currency while China may step in with harsh regulations any time. Also Euro is very stable and does not have huge inflation.

[desrever]

Nice, did not know discourse supported polls

[Cybnate]

They do since mid last year. I stumbled at it when doing some unrelated research yesterday.
Start title with poll: and put items in as a list in your post. Only first list will be recognised.

[Cybnate]

Out of curiosity what would be the purpose of a coin pegged to Bitcoin?

When Bitcoin prices are recognised as a standard. Some believe that this will eventually happen.

[Sebsebzen]

NuBits pegged to IMF Special Drawing Rights (SDR)

http://www.xe.com/currencyconverter/convert/?Amount=1&From=USD&To=XDR

[Marshall]

NuBits pegged to Bitcoin, lol… I voted for Yuan.

[Cybnate]

I voted for basket of consumer goods as at the end of the day a currency is mostly used to buy those goods (and services). Such a currency would be more valuable in my opinion. To me it would make sense to have a currency which ensure you are paying roughly the same price for something now as a year later. The difficulty is how to peg. We would have to look at indices from statistical departments from several countries and you might still end up with 2 or more different ‘world’ currencies. The basket of goods is on average still quite different in Africa comparing to the United States just to call out two extremes.

[desrever]

NuBits pegged to IMF Special Drawing Rights (SDR)

Very interesting. Quote from wiki

the value of an XDR is defined by a weighted currency basket of four major currencies: the U.S. dollar, the euro, the British pound, and the Japanese yen.
[…]
Some wanted it to function like money and others, credit.[7] While the name would offend neither side of this debate, it can be argued that prior to 1981 the XDR was a debt security and so a form of credit.
[…]
The XDR comes to prominence when the U.S. dollar is weak or otherwise unsuitable to be a foreign exchange reserve asset.
[…]

A bit of research pointed out to this paper which looks like something worth looking into (Enhancing International Monetary Stability—A Role for the SDR? .pdf)

This page tells more technical details on the price calculation : http://www.imf.org/external/np/exr/facts/sdr.HTM

The IMF fixes the value of one XDR in terms of U.S. dollars every day. The latest U.S. dollar valuation of the XDR is published on the IMF website.

This is the 1 year chart of XDR/USD

I can see a good place for Nu here. The future looks promising

[sportscliche]

I’ve raised the following point in an earlier, related discussion:

If NuBits were to be pegged to gold or a basket of commodities, how does the backing get implemented? The fiat banking system allows USD to migrate to an exchange through a sequence of slow and expensive digital transfers. Although it’s inefficient, the real USD to back NuBIts are there, in principle. How would this happen with an arbitrary commodity? Would it be via shares of an ETF such as GLD? Would these shares sit on the exchanges? If not, then someone has to hold physical gold somewhere or else the notion of backing is invalidated.

A selling point of NuBits is that they are backed by real USD, even though liquidity is facilitated at the moment by BTC via the bots. If the NuBits backing gets replaced by an arbitrary commodity, the logistics to implement this will add a significant layer of complexity and risk. To appreciate this, one can look at existing schemes. Bitreserve represents a centralized, trusted third-party that backs the digital assets with physical commodities they lock in a vault somewhere. At the other extreme, Bitshares holds zero physical assets and implements the digital asset as a derivative of their own crypto-currency (BTS).

[mhps]

Although it’s inefficient, the real USD to back NuBIts are there, in principle. How would this happen with an arbitrary commodity? Would it be via shares of an ETF such as GLD?

I have exactly the same thought and have expressed in at least two threads before. I think to make it work there are several possibilities.

One is that Nu installs bots on exchanges that trade commodities or ETFs. So a user who has an account on these exchanges can use commodities or ETFs to buy pegged Nu products from the bots, and vice versa for selling. The reserve stays on the exchange in bots’ accounts, just like how USD is dealt with today. Nu has to work with these exchanges and I’m sure these traditional exchanges care about regulations much more than cryptoexchanges.

Another possibilitie is trading using proxies just like we mostly trade NBT/BTC today instead of NBT/USD (USD being the peg target). The user can use USD to buy/sell Nu products pegged to goods or ETFs anywhere but the price is set by the bots according to market rates. When users trade this way, the bot executes an immediate buy/sell of the commodity on the traditional exchange using its own USD/reserve. If the commodiy/ETF exchanges also trade BTC or NBT, the proxy can be BTC or NBT, too, instead of USD. As has been discussed elsewhere, trading using proxies is getting exposed to proxy price changes.

Seeing how hard to sell NBT in the NBTUSD market, it could be even harder to do in the NBTcommodity market for most people. I guess the shortest path is getting an ETF trading exchange to add BTC or NBT and go in the proxy route.

[woodstockmerkle]

Tracking / backing to a market index or something like the SPY ETF could be a welcome addition to “always a dollar” and the unbridled volatility and speculativity of crypto(coins|shares).

The benefit is that it is banked on the crypto side of the fence. And for such a currency, perhaps NuBot would not need to keep the tightest spread possible, introducing a source of revenue to Nu.

Some thoughts should go to determine whether a candidate stock index / ETF should be rooted in a country that is cryptocurrency friendly, as likely something that tracks to a financial market will attract a lot of interest – from all types of people and agencies.

[desrever]

or the WCU , World Currency Unit

[cryptog]

How easy is it to set NBT/JPY in a given exchange? It seems that there are more and more Japanese crypto-enthusiasts interested in NBT.
If you do a twitter search, you can see that the second language most used to tweets things about Nu is Japanese.
I have recently translated my business idea about how to spread NuBits in Japan here: http://nubits.jp/business.html