Well, can you answer my following questions?
1. How can you guarantee 1BitUSD ≈ 1USD?
Prediction Market dynamics long and short have to agree on the price and have opposing incentives which force an accurate price. After all the short has to repurchase in the future from someone to free his collateral and the long has to agree to the new price or he will sell to someone else.
And Then? You said 1BitUSD≈ 1USD and everyone will accept that? If Fed prints mroe money, the number of BitUSD will automatically increase?2. If I buy 1 BitUSD by USD, I can receive BitShare Dividend, and as a dividend, the value of my BitUSD will become say 1.1 BitUSD, then I can get 1.1 USD, am I right?
If you buy 1 BitUSD then you will accrue additional BitShares as dividends like earning interest at a bank. You can sell your dividends for more BitUSD and end up with 1.1 BitUSD or you can sell your 1 BitUSD for BTS and end up with 1.1 dollars worth of BitShares.
what will happen after all bitshares has been mined?3. Why not people choose to by BitUSD rather than BitShares?
Why do people go short rather than long? People disagree about which way the price of BitUSD vs BitShares will move in the future. If there is high demand for BitUSD then it will cause the value of BitShares to rise in order to meet the demand for BitUSD. Anyone who expects there to be high demand for BitUSD due to price stability and ROI will want to short BitUSD relative to BitShares. Demand for BitUSD causes the price to rise above parity with USD until someone decides to create more by shorting it. At nearly all times there is 1.5 to 2.5x the value in BitShares relative to BitUSD.
Me personally, I would short BitUSD and go long BitShares to maximize my return.
So you mean buying BitShares equals short BitAsset?
If so, assume there are 32 kinds of BitAssets and each is pegged to different asset, then what is the rate?