Post
Topic
Board Securities
Re: How do cyclic funds work?
by
nimda
on 30/09/2012, 03:27:16 UTC
Surely you did algebra at some point in your life. Substitute the definition of each into the third formula and solve.

c= .5a +1
b= .5c
a = .5b

1c= .125c +1
Solve.
.875c =1
c= 1.142857
b= .571
a= .2855


OOPS! Tongue
How can c be worth more than 1 BTC, when 1 BTC is all that is held in this incestuous relationship?
Spoiler: the answer is that there's only 50% of each company available to trade, hence their calculated sums being equal to 2