Re: MasterCoin: New Protocol Layer Starting From “The Exodus Address”

Say I want to place an order for 100 AsicMiner shares at 5btc each, how many Mastercoin will I need?

This hypothetical scenario will require 500 bitcoin and fill multiple asks on the mastercoin exchange

The purpose is that I need a frame of reference for how many Mastercoin I would actually need if I planned to participate in the capital markets

I posted a thread about this here https://bitcointalk.org/index.php?topic=400781.0

You would need zero Mastercoins to do that. Only the issuer of the asset might need Mastercoins.

interesting, so how many Mastercoin would the issuer need to issue a new security with X number of shares at Y price? is there a formula? any predictable measure?

Guess remains to be seen after the smart property features are implemented. Don't think anyone knows such specifics at this point, but I may be wrong.

so if it turns out people only need .0001 MSC to sign securities or something then the demand for MSC falls through the floor

This is precisely my question, and it seems in inescapable that, if you need any more than a fraction of any master coin for all functions, and if this is wrong and only certain functions can be obtained by having a certain number of mastercoins, then it opens the way for a competitor to enter the market that any fraction of the protocol coin can do all functions.