The hard fork would need to be written (<1 week + 1 week code reviews, could be done in less). The fork needs to be accepted by the shareholders and considering the low difficulty a large percentage should be used otherwise the “majority” might be misleading w.r.t. the actual users.
What then happens is really beyond my expertise. It is very hard to predict what people will do. A sad fact is that most coins (not just NBT) are held on exchanges or online wallets and many people in fact don’t even know how to install a wallet although they deal with crypto tokens for years. That plus teaching them parking, plus the C- class user experience of the NBT client will likely reduce the number of people who actually park their NBT to a low number, but especially holders of large sums will probably do the effort.
Then it is a simple linear function. If you assume 30% of the supply to get parked then there is about 300-400k NBT in circulation. Draining 10% per month would reduce that to roughly 28%, i.e about 100k within a year.
And that is a lot of time passing by. Nu won’t survive that without establishing a peg earlier assuming that the 100k reduction is actually enough to establish a peg. It will need to be far more aggressive in order for Nu to start sustaining a $1 peg within 3-6 months which I would say is the outer limit to restore a $1 peg. Lesser pegs can be established but require additional investments in the tools, marketing etc.Money what we would need to defend the peg.
An option is e.g. to establish a 20% drain in the first 3-4 months, then establish the peg and hope sell side has reduced enough and then reduce to say 5% or 10% for sustainable revenues going forward. The question remaining is whether NBT will still be considered useful.
I like the forced denomination idea better, reduce the supply straight away, gives time for exchanges to notify users of what will happen rather than force them into development or more likely delisting.
At first it sounds better, but I don’t see any future profits from keeping a peg for traders our main customers. It is therefore most likely it will lead to the same outcome. Is a peg of $0.01 next?
At least traders on B&C can be our customers and if things go well other exchanges might add us again or we pay for some development so they can easily park coins in their control which would normally go into a cold wallet.
Of course to generate profit we’d have to increase spread to 5% just like mod has done. I still think that would work with less sell pressure and good reserves.
Would parking reset accumulated coinage as well or is parking a transaction that requires a fee just like transferring the output to another address?
What I’m asking is: can you leave NBT unparked and are able to reset the coinage by parking them?
Nu won’t be able to pay contributors like it did in recent times (NBT). The peg is lost and won’t be recovered soon.
You could go on and try selling NSR for NBT to reduce debts or BTC to have assets contributors will accept.
To succeed you need dedicated, passionate, clever and rational people who do it for more than just the money.
I see a lot of them here in the forum.
Listen to them.
Focus on the way that lies before you!
Paying NSR to active contributors can be a key to Nu’s success.
Provide contributors with a superior incentive to make Nu thrive - giving them a stake in the DAO helps.
As BTC/NBT is free floating you can very well try to make money (reducing debt) by buying NBT low and selling them higher.
Traders are doing that right now or why do you think there’s still trade volume at Poloniex and the NBT rate isn’t just continuing to drop like a rock?
There’s thousands of USD per day traded at Poloniex.
It’s no longer only people exiting NBT.
I’d only use little funds for that, because it’s risky and shouldn’t be your main focus.
Keep people dedicated to the mission, which is no longer chasing a fluffy tight peg unicorn at BTC/NBT, which only eats your money and leaves sparkling faeces.
Don’t follow leaders, just because you consider them leaders and you think you have to rely on them; question the reasoning!
Focus on NBT/USD.
Find ways to make revenue!
Pay contributors with NSR.
If you trade in non NBT/USD pairs, make money from the spread for you need to compensate real (operation) and calculatory costs (risk).
Everything that you are saying is very clear and makes a lot of sense.
It is commom sense that we have been ignoring for some time, i feel.
Tks a lot for your advices.
@all, read this post until you really understand it:
it’s a very important summary of how Nu can continue with a failed peg and yet has a chance to get it back eventually.
Thank you, @creon, for your help after you have been silent for a long time.
Finally some start to listen to ideas they had bashed 4 weeks ago.
This dream had to fail to let it be replaced by something more rooted to the soil.
This once appeared like a cult. It might be replaced by a business now.
Why? The minimum price is too high but why despair?
Nu has all these infrastructure of a pegged crypto figured out – minters network that runs reliablly, wallets of several kinds, nubot and pybot, liquidity pools (MLP and ALP), FLOT that is a distributed low risk source of funding controller, motion and grant system, web site and forum … all these were working before the reserve was squandered.
Nu has an very much alive community and your proposal will disband it. I for one think talking and working with all these smart people in Nu community has more value than those $$ I have in.
Both the events of parking and unparking are blockchain transactions and therefore naturally destroy the coinage of the outputs used. So people who park will pay the fee for the accumulated coin age at that moment and only the remainder gets actually parked.
When the coins are unparked, the fee also applies. This could be avoided on protocol level, not sure if those transactions pay a fee right now. But even if the fee applies, the customer will still make a plus (or even) as long as the parking rate for this time period is >= the fee. So by aligning park rates and coinage fee you can basically model “you lose 20% if you don’t park, 10% if you park for 1 week, 5% if you park for 1 month, nothing if you park for 2 months and you gain 5% if you park for more time”.
Yes but in that moment they pay the fee for the accumulated coinage up to this point.
If you can find out a profit model you can run your own pegging. BKC pegged to USD has no btc exposure therefore should be simple and cheap to run. so you don’t need a lot of profit to stay in black.
Hope on more support from existing shareholders to invest in this vibrant community. Some money going by the words.
In this thread I’m exploring realistic options and those that people believe in. [quote=“mhps, post:35, topic:4175”]
Nu has an very much alive community and your proposal will disband it.
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You haven’t seen my proposal, you will be surprised. You need solid discussion and listening before a realistic and supported proposal can be made. And then still…
The same can be done with NBT, why does NBT need to be pegged to BTC? Never fully understood that other than as a risky and loss-making operation only good for marketing.
