Post
Topic
Board Securities
Re: [Havelock] Bitcoin Difficulty Derivative (BDD)
by
twentyseventy
on 04/06/2014, 13:22:30 UTC
Hm i have been working on a similar security. How is the overall performance? Is market efficiency high enough to secure a reasonable tracking of BTC's difficulty?

Interesting stuff, and good work on your part, OP!

Thanks

I'd say that the market's been keeping track pretty well - the great thing about this model is that, if the market gets too out-of-whack, the arbitrage opportunities give a good financial incentive to rebalance it.

To give credit where credit is due, the model is based on Deprived' DMS asset (though I believe that I've made some improvements, not least that I haven't disappeared  Wink )