Quote from: cypherdoc on December 21, 2011, 01:43:04 AM

Quote from: zhoutong on December 21, 2011, 12:01:40 AM

Quote from: DonnyCMU on December 20, 2011, 08:17:55 AM

Let me get this correct... So when the price spiked up and people were trading on Mt.Gox at $4.5, Zhoutong's genius matching algorithm put the buy price at a $1 spread and force liquidate people's position at $4.9 Huh

??

So when all these forced buy bitcoins are actually bought in Mt.Gox market at any price around $4.1-4.5, the all difference goes into Bitcoinica's pocket?

I've been Zhoutonged good!!!

Can you send an email to support@bitcoinica.com about this? We'd like to compensate you on this.

While it's true that our algorithm sets the price by balancing and predicting the benefit and the risk, after all the trading, there's no point of predicting, and we can clearly see that the prediction was wrong. So we are perfectly okay to refund you the "unexpected profit" we made from you.

I hope this explanation makes sense.

come one come all, Zhoutong proposes to refund you all?

Actually I did reverse/refund those obviously inaccurate forced liquidations. But it just happens that some were missing (excuse me hundreds of orders come at once).