Wake up Shareholders! Raise Park Rates Now or FLOT Will Need to Start Selling NuShares to Increase Reserves!

[masterOfDisaster]

being on call for multisig signing isn’t for everyone. I think it is a few signings a week.

This is not what’s exhausting.
Rubberstamping tx is thanks to @ttutdxh and Cointoolkit easy.

Tracking the liquidity situation, the ALP status, the status of the gateways, trying to find out what’s going on, what’s necessary to do, how much funds to put where is tiring.
Others fight at bter, because of price feeds that are just off from other markets, pool operators struggling with pool software, etc.
A lot of the work that’s done isn’t recognized, because it leads to no action. If the liquidity assessment is “looking good”, then nothing happens, no tx gets created.
That part of the work stays behind the scenes.

Do you think tx at the right point of time appear out of nowhere all of a sudden?
Or gateways at the most important exchange are thought of by chance?
Or a paradigm shift of the liquidity provision scheme (that yet needs to happen)?
Or frequency voting, seeded auctions, fixed cost compensation (improved to CRFC), etc.?
All of that is the result of trying to get a grasp of a complex market and trying to adapt to it.

Yet attempts to move some of the decisions to NSR holders are not as successful as they should be (I suppose mostly, because there’s too much minting without attention and without data feeds).

With regard to liquidity we have no reliable thresholds, no triggered actions, no guide what to do when. We have bits and pieces, but no complete framework that describes the interaction between all the tiers of the liquidity provision scheme in a way that you know what to do when. That needs automation.
Most is done by discretion of FLOT.
If FLOT liquidity activity can be reduced to rubberstamping tx most of the time, it’s sustainable.

This liquidity scheme isn’t scalable without more automation.
Managing bigger amounts of cirulating US-NBT will be a pain without it.
I can’t imagine how Nu shall handle EU-NBT, CN-NBT, X-NBT…

This has nothing to do with bear market sentiment.
This is no economical frustration, but rather a political one.

I can see a lot of frustration

Because there is.
Do I really expect too much, if I want NSR holders to keep clients up-to-date and mint with registered data feeds?
Which would be the bare minimum to deal with the current situation without too much struggle.

[irritant]

the problem isnt with shareholders not voting imo, it is with the minting (voting) nushareholders, who aren’t voting on anything, default datafeed could help in this situation, or if you change the way the voting goes. Like, you say all empty votes are for all the current motions instead of against. Idk if this is really possible, you would have to … yeah idk maybe all motions should be accepted by default, and you only vote when you are against it? idk it is complicated

[Chronos]

Smart investors discipline themselves to move opposite of the crowd: buy amidst fear and panic, sell when there is euphoria.

Did somebody say “panic”? That’s my middle name!

What about this idea: in order to enable minting in the client, you need to select a data feed (or acknowledge that you are voting against everything).

[Nagalim]

in order to enable minting in the client, you need to select a data feed (or acknowledge that you are voting against everything)

I like this. Of course, i will always argue for frequency voting over default data feeds, but this would make me feel much more comfortable with default data feeds. I am very much against having a single default feed or voting yes on all motions by default.

[mhps]

maybe all motions should be accepted by default, and you only vote when you are against it?

Great. I propose to pay me one million. hashed and submitted. please be apathetic.

[irritant]

yeah i know it wasnt well thought through will go back to school

[JordanLee]

Currently no rates for the 1.5 month duration only has 9% support. This means 91% of minters (by share days destroyed) have configured their vote either manually or by data feed.

Shareholders minting with unconfigured votes is a small problem very much under control at the present.

[masterOfDisaster]

I’m glad to see that it was possible to awake them.
I’m not going to rant, that this shouldn’t be necessary at all etc.
It’s reassuring to see that it still works.

[Cybnate]

Without looking at numbers right now, I believe minters are making around an 8% annual return in block rewards.

Surprised that there are so less takers, but I’m happy minting with that return.

Everybody has the privilege of negotiating their involvement here so that it is something positive that benefits all involved.

True, just a bit concerned about the network security with this low amount of participation. I rather see more than 25% of Shareholders minting.

Do I really expect too much, if I want NSR holders to keep clients up-to-date and mint with registered data feeds?Which would be the bare minimum to deal with the current situation without too much struggle.

No, you are doing excellent work here,

Shareholders minting with unconfigured votes is a small problem very much under control at the present.

At the present indeed, but we clearly have to make it sustainable. Default datafeeds would help, just hoping there would be more providers to choose from. Frequency voting would be even better.

It’s reassuring to see that it still works.

Hope you stick around for a while

[masterOfDisaster]

Default datafeeds would help

I agree!

just hoping there would be more providers to choose from

Well…

• masterOfDisaster NuNet data feed
• masterOfDisaster B&C data feed

Frequency voting would be even better.

Default data feeds are good, but frequency voting is superior in so many ways.
It doesn’t need to be configured, you’re not at risk of registering a data feed that is poorly maintained (how to decommissin data feeds and based on what rules?), etc.

Hope you stick around for a while

Shareholders acting more reponsibly would make it easier.
…sometimes I find it harder than usual to convince myself of carrying on.

[Hibero]

As a shareholder of both B&C and Nu. These last few days have been quite concerning. I’m not very active with either but I check on B&C everyday and Nu every other day. Can everyone just please take a deep breath. I don’t like the amount of hostility and panic. This has always been a level-headed community, let’s keep it that way. Thanks everyone.

Also… I will be getting out of Nu and B&C if this dilution talk happens. It’s all emotional and sets a precedent. It brings too much risk into my investments.

[masterOfDisaster]

As a shareholder of both B&C and Nu. These last few days have been quite concerning. I’m not very active with either but I check on B&C everyday and Nu every other day. Can everyone just please take a deep breath. I don’t like the amount of hostility and panic. This has always been a level-headed community, let’s keep it that way. Thanks everyone.

Thank you for chiming in.
I don’t know where you found hostility and panic, but I can point you to discussion and alertness.
I agree that the expression “dilution” has a bad connotation. We should use “sell shares to improve cash flow” next time.
In the end it’s playing on words and the measure as well as why and how to use it, aren’t even slightly emotional.

The T4 reserves were getting low through balancing activities.
The park rates didn’t rise, although that was recommended for some time.
Planning to sell NSR from T6 funds was the rational move.
As a (spare time!) contributor of both B&C and Nu I care for those and want to do what little I can to keep them working.

What would be your advice how to deal with such a situation?
I know that the park rates are rising. 10 NBT are already parked:

nud -unit=B getinfo | grep totalparked
    "totalparked" : 10.0,

It looks like it finally worked to wake shareholders up.
But what should we do, if the park rates were not rising and the reserves getting even lower?

Also… I will be getting out of Nu and B&C if this dilution talk happens. It’s all emotional and sets a precedent. I can’t let my investments be risked by something that silly.

If you don’t want to have this financial responsibility for the products the coproration of which you are a shareholder, offers, well, do it…
…because you might need to face not only talk about selling shares, but the a sale eventually.

[mhps]

I will be getting out of Nu and B&C if this dilution talk happens.

You don’t need to leave B&C. The dilution being talked about is because there seems to be too little reserve to support the peg of Nu. Dilution of shares has been an integral part of the design that is free from counterparty-risk. It has been approved and happened before and I think it’s no big deal if used judiciously. It is the opposite process of share buyback that to be used in different situations.

[Nagalim]

Ignoring the problem and speaking in hushed tones is the ponzi scheme model of recovering the peg and is the weakest network defence at our disposal by far.

[masterOfDisaster]

Ignoring the problem and speaking in hushed tones is the ponzi scheme model of recovering the peg and is the weakest network defence at our disposal by far.

So few words and so wise - the essence of a lot of discussions!

[Sentinelrv]

Also… I will be getting out of Nu and B&C if this dilution talk happens. It’s all emotional and sets a precedent. It brings too much risk into my investments.

If people seem to be emotional it’s because shareholders weren’t doing what they were supposed to be doing. We have a multi-tier liquidity system. Tier 4 reserves are used to rebalance the peg on exchanges using Bitcoin and Peercoin securely held by our multisignature group FLOT. If demand drops and people start selling NuBits, then our tier 4 reserves will run low. That is the point where shareholders are supposed to activate tier 5 parking rates to add temporary buy support until demand returns.

If shareholders failed to activate park rates because they simply weren’t paying attention, then we would be forced to skip tier 5 and go directly to tier 6, where FLOT would sell NuShares in order to buy NuBits back and burn them. Nobody here wants to dilute NuShares, but there would be no choice if tier 5 wasn’t activated. Luckily, it seems shareholders have gotten the message, but it shouldn’t have come to the point where I needed to make a thread like this.

[jooize]

I agree that the expression “dilution” has a bad connotation. We should use “sell shares to improve cash flow” next time.

I’d say they have separate meaning. FLOT is in control of an amount of NuShares available for selling before (further) actual dilution is required.

[zoro]

It is the opposite process of share buyback that to be used in different situations.

Exactly that. Then the title of this topic can be changed in a more “friendly” one
And perhaps it is more profitable for an ALP to just use his/her BTC to buy NSR than use
them at buy walls. Only time will tell.

[Sentinelrv]

Then the title of this topic can be changed in a more “friendly” one

I tried to make it sound better. How about now? The main reason for titling it the way I did was to gain attention to the issue.

[masterOfDisaster]

Apparently drawing attention worked