All I’m saying is that this can lead to oscillating effects, if very big amounts of NBT are parked with a buyback one week and a sale the other week (after the NBT unparked) - once this motion passes: [Passed] Standard and Core
After thinking twice I’m inclined to ignore the parked NBT and consider them as “in circulation” although they temporarily aren’t.
Parking is dealing with a short term lack of demand for NBT. That should never be able to lead to a NSR buyback, because those NBT are removed from the calculation for a short period of time.
I agree with you. I do not think that parked nubits should be regarded as a real supply decrease for very short periods. But we could remove from circulation say half of the total supply (350000) for 1y at 0.1% interest rate. Then we would really need to issue new nubits which would lead to plenty of buy backs. Also, that would trigger buyback immediately.
And overall that would be sensible.
To trigger a buyback then a dilution, the parked nbt would need to change by 700k to force the standard to go from +2.5k to -2.5k (5k/0.05/0.15=666k). Also, the park rates go down as the standard approaches +2.5k (at least in theory), so this attacker is parking for smaller and smaller rewards. Their best attack would be to wait for Nu to suffer, then park a bunch all at once at a high rate. However, this is precisely what we want them to do! To wait and park when we’re in trouble, they have to buy a bunch of nubits while our economy is going into a recession, thereby helping us out. Well that’s not really an attacker at all!
This is basically the buy slow sell fast (bssf) attack from my perspective. There are more efficient ways of manipulating Nu, namely to target the ALPs.
This calculation is done without any change from [Passed] Standard and Core which passed in the last week. The numbers presented in this calculation will be used to discuss standard-and-core implementation.
Nushares buyback calculation as of Sat May 14 00:32:12 UTC 2016
Total NBT = 1317838.267
Two things: firstly, the outstanding nubits motion passed and will keep us under nsr dilutions this week.
The standard is -$2560.31+(0.15×.05×30k)=-$2335.31
No dilutions will occur this week.
Secondly, you did the ppc stuff wrong. Ill explain when i have some spare time.
Crap, I messed up the motion. It’s supposed to be PPCTH/F not PPCTH*F. The idea is that you take the standard and multiply it by the flow. Then you compare that to the threshold and if it’s bigger you take that modified amount to market. As is it doesn’t really make sense.
We should be bringing $1556.87 worth of ppc to market if we had any. This is over the $1k threshold.