Can someone explain whether this goes beyond multi-way exchanges?
Eg, let's say that I want to trade ether for nubits, and there is no one on the other side of the exchange. But there is someone who wants ether and will give up siacoin for it, and there is a third person who wants siacoin and will give up nubits. A 3-way exchange could be made. Additional multi-way exchanges (4-way, etc) could also be done, and all of these would effectively increase liquidity.
But I am getting the idea that the Bancor protocol goes beyond this, and will create reserve tokens even in the absence of any multi-way exchange? Is this right, or is Bancor simply facilitating multi-way exchanges?
Eg, let's say that I want to trade ether for nubits, and there is no one on the other side of the exchange. But there is someone who wants ether and will give up siacoin for it, and there is a third person who wants siacoin and will give up nubits. A 3-way exchange could be made. Additional multi-way exchanges (4-way, etc) could also be done, and all of these would effectively increase liquidity.
But I am getting the idea that the Bancor protocol goes beyond this, and will create reserve tokens even in the absence of any multi-way exchange? Is this right, or is Bancor simply facilitating multi-way exchanges?
So no one seems to understand how it works, but many people are eager to invest in it...
and we're so happy to have so many additional humans on our team. 👾'
