Ninjastic
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Re: Pirate v2.0: Unravelling the Bitshares Ponzi
by
bytemaster
on 04/11/2013, 02:08:53 UTC
Quote from: anaikh on November 04, 2013, 02:00:59 AM
Quote from: cunicula on September 20, 2013, 07:13:31 PM
Sure, you can distribute mining rewards as interest to holders of bitshares. This is bitshares monetary policy. You can choose whatever you want.

Sure, it is possible to maintain a peg to the USD or BTC or whatever.

Sure, it is possible to have free markets in your currency. Currency pairs, etc.

You cannot do all three simultaneously.
http://en.wikipedia.org/wiki/Impossible_trinity

There is a reason why they put the word impossible before the word trinity in the phrase.

You are claiming to be able to violate the impossible trinity in the press. You must know that you cannot do this.
You are using your claim to solicit investment.

This is equivalent to a ponzi. You have tried to cleverly disguise it.

Anyways, aren't you supposed to be sending me a bounty for exposing a flaw in your scheme:

1HxNKmUd1YgR9Metop4mHZdGNGEhUfEvcP



Excellent Work！I feel something is wrong with bitshare but I cannot figure it out. You have reminded me of one important point!

Bitshare is definitely impossible.

You keep thinking that.   But this is not how BitShares works.  BitShares create USD the same way banks do, by lending it into existence against a collateralized loan.   BitUSD is just an IOU for one dollar worth of BitShares.  The block chain is able to honor that request.


BitBTC is an IOU one BTC in BitShares.   The IOU is collateralized with 2 BTC worth of BitShares and is automatically enforced when the collateral falls to 1.5 BTC worth of BitShares

If you set up a straw man, then of course it would never work, but what you describe is NOT how this works.  I am not maintaing a peg by controlling supply of the currency.