Quote from: utopianfuture on December 12, 2013, 07:58:08 PM

Quote from: Sharky444 on December 12, 2013, 06:50:11 PM

Quote from: utopianfuture on December 12, 2013, 02:19:14 PM

eMunie promise of keeping its value stable is not credible because they don't have the ability and means to do do. Since when people selling eMu en mass, they have to have a huge reserve of dollar to back the money up otherwise its price against dollar will have to fall. They won't be able to do that.

When people decide to sell eMunie on mass all creation of new coins stops right away. Also the foundation will be backed up by several million dollars to do some initial regulation to stabilize the price in the first weeks.

Quote

It has to be understood that in any market price has always been acting as a necessary signal to guide the behavior of the market participants. For example: with bitcoin market if you are holding 100 bitcoin, when the price of bitcoin raising you would be inclined to sell them to more willing buyer, but when the price falls by half, you may decide to keep them all since you evaluate that the potential of the bitcoin is higher than the bitcoin's price right now. All bitcoin market participants follow the same process using the current price as signal as if they are many ships and liners following the lighthouse to reach the shore The true price is discovered organically.
Now you don't have the price signal here so the price of eMunie is artificially kept up. This is going to be a mess

Of course you have the price signal. The fiat/emunie exchange is buildin into the system, and the system can react accordingly to stabilize the price while keeping up with demand.

Well, let's how it going to turn out. I am not going to comment more since it is a NXT thread. I am going to buy a bit of eMu to be able to witness the unfolding first hand. All I am saying is that you are not going to be able to keep the value of the money stable. That's an empty promise. It is good to experiment though since it does not cost that much to fix the software later on.

Yah the currency swings in crypto are too wild to control. emunie has cool parts to it but some of it is a dud. the devs should keep the cool bits and scrap the stuff like trying to keep the value of the money stable... that is just going to confuse the common person and look scammy. And I don't think it's going to work. Either the price will crash or the price will soar.