simple theory question for all SC proponents. so simple in fact what am i missing?
we have 13M BTC @ around $325. SC comes along and lets say 3M BTC --> scBTC (just for illustration). we know that the price of scBTC has to be lower given MM, newness, being unproven, risk of failure, etc. let's say price starts off @ $100. $325
why don't arb bots circle back around and drive BTC price down to say $250-270? multiply this by 1000 SC's.
FTFY
it can't start off @ $325 b/c the SC
IS less secure and the risk of being on an entirely different ledger with less security means the instantaneous initial price has to be lower. yes, with time the 2 prices will equilibrate,
but at a lower price.Bitstamp is sidechain controlled by central server. Is bitcoin from bitstamp worth only $100 ?