Quote from: marty.lee on September 05, 2011, 06:47:59 AM

Quote from: NothinG on September 05, 2011, 06:39:32 AM

Quote from: marty.lee on September 05, 2011, 06:34:23 AM

Quote from: marty.lee on September 05, 2011, 05:59:25 AM

Quote from: NothinG on September 05, 2011, 05:50:53 AM

Quote from: marty.lee on September 05, 2011, 05:47:36 AM

Quote from: marty.lee on September 05, 2011, 05:33:31 AM

Quote from: methodsaint on September 05, 2011, 05:29:34 AM

Quote from: NothinG on September 05, 2011, 12:59:38 AM

BTC should be worth whatever the buyer/seller wants to trade them for.

I think that makes them more unstable then saying they're worth a fixed price.

As I said before.
(b*r)/(2500000-d) = (144004*50)/( 2500000- 1777774.4820015) = 9.9694622
That should be the current price, but it is slightly off
Last Price: 7.89859 High:8.467 Low: 7.8 Volume: 21694 Weighted Avg: 8.0884
about $2 high.

I'm sorry, but this equation can be infinity. Here is a new one that will keep the price under control
(144004*50)/((2500000*( 144004/140000))-1777774.4820015)
or
(b*r)/((c*(b/m))-d)
b = block
r = reward
c = control = 2500000
m = another control = 140000
d = difficulty

~~Give me a BTC Address,~~ you may have just officially solved all of Bitcoin's price stability problems.
Just sent you a donation.

[Edit]:
Still need to figure out how to modify m.

Thank You so much. That means a lot. I will work on m.

After watching a few blocks pass and setting up a script to calculate the price with current data, I found that the price should go like this. Price jumps high or low at difficulty change, but lowers about $0.01 every 100 blocks, then jumps suddenly to a new price at the difficulty change. That is the theory based off 3 data points, and my intuition. So people would sell off bitcoins after the new difficulty if it was higher, otherwise, they would buy. Then as it nears the change of difficulty the exact opposite would occur. This provides a stable trading market for everyone!

So, what's the new formula?

Wait a minute. My brain is working. m=140000*(a/e)
a =average block generation time since last difficulty change in minutes out to 2 decimals
e = expected generation time in minutes = 10

This is very interesting work. Thanks for sharing.
It definatly deserves a new block chain and I hope one is started.

After thinking about your work, Moore's Law came to mind.
More or less it states that computing power will increase by a factor
of 2 every 18 months. So, it will cost half as much in capital and electricity in 18 months to mine. Just another thought as
you "hash" out your formula.

Good luck, please let me know how it goes. I would definatly mine some on a new block chain if it was started.