I still believe in Nu. We messed up, plain and simple. We need to tweak the system like getting rid of share buybacks, raising reserve requirements and other things through motion. I believe in Jordan’s liquidity engine model as you can see from my thread dedicated to it (by the way I’m in the middle of expanding it, so it’s under construction). We just ran into a situation where we couldn’t run the engine at full speed because of the exchange hacks and it necessitated the building of B&C Exchange to protect Nu’s funds. We need to get B&C up and running so we have a place to safely support the peg with high amounts of liquidity at a tight spread where it can’t be stolen. Then we might have a chance to excel.
B&C is the only way out, because the probability of angle investors input hundreds of thousands USD to support NBT pegging is extremely low. And I guess quite some NBT customers will not come back when BTC price drops, face the reality please.
If B&C succeed, Nushareholder may recover their invest with BKS distributed to them, and B&C may vote a portion of profit to support Nu, that’s only possible when B&C becomes success and B&C shareholder are happy and relaxed to do so.
I wouldn’t be too sure about no investors. Jordan received $500k from somebody in order to get this whole thing started (Peershares and Nu). Seeing as how Jordan is so determined and after everything we’ve been through, do you really think he will let this be it? For all we know he could be in negotiations with this person right now for more funding to clear up Nu’s debt. Or not, but still, his last comment gives me some hope that it’s not over…
It just sped up an already difficult situation. Maybe there would have been some kind of wide peg, but almost no trades. That already happened in the days just before and would have continued slowly until another post would have created the ‘panic’.
The most unfortunate part is that it didn’t build bridges and tried to get shareholders together to fix this, it just broke them down.
I’ve been trying to figure out what the status is on B&C’s development and I just haven’t been able to come up with anything in the forums. Will it be days, weeks, months or years?
If it’s anything more than weeks, I think Nu has to find Nu’s own way out.
Ultimately, I don’t think that the peg’s failure is as bad as other people do. I think the business model problem is way worse. A profitable business model would allow the peg to be pulled up. Most people (myself included) assumed that Nu made money spread trading, and, when I found out it didn’t, and sometimes even lost money holding both sides to fees and such I was astounded and terrified. It doesn’t matter how much liquidity you create if you’re hemorrhaging money.
And if there’s no hedge against BTC moving 30% then wtf? We know that that happens all the time.
I think what is really needed is to recruit help from people who trade and run bots. Somehow These guys consistently do well trading, they also have a service to liquidate large amounts of funds without disturbing a coin’s price. Maybe we should ask them for ideas and help. If anyone could minimize a spread, turn profit and hold a market where they’d like, it’s probably people who do most of those things already.