#2 once the pixels are bought, either with Karma or with BTC, the BTC earned will be put up as a buywall on the two main exchanges, at a level to be decided upon by the community (my guts tell me ~15-20% below market price could be a good start). I would not want to use this wall to pump the value of Karma, but the wall can be moved as market conditions change or if the community votes to move the wall.
So here it is. Feel free to poke holes in my idea. Any feedback is appreciated.
it sounds like you are attempting to create an investment vehicle who's sole purpose is to manipulate the price. this is effectively what KarmaShares would be if it did nothing other than hold coins until it was a better time to sell them again.
in both cases that would be dangerous for the people running the operation because they are operating in a legal grey area and could potentially be shutdown by authorities or sued into submission by anyone who lost money under the scheme.
please feel free to read up on Libor and Forex rigging to see how dangerous these ideas can be when shared with "friends"
http://www.businessspectator.com.au/news/2014/4/1/currency/banks-sued-alleged-forex-riggingthe way in which KarmaShares is different to the idea of simply "hold the coins to manipulate the price" is that it is using those funds.. (or should be) to create products which should in theory generate some kind of revenue and broader market acceptance thus creating "real" value for the Karmashares investors and anyone else who uses Karma
I know there is a mentality amongst some of the Crypto community that if Banks can do it then it must be ok for us small time traders to also do it.
but the simple fact is that banks have very deep pockets and very powerful friends.. so if they get into legal trouble, they can fight their way out of it.
I would wager that if any of us got into the same trouble.. we simply would not have the money and/or expertise to fight our way out of the legal quagmire.
The law is structured in a way that Corporations can get away with fraud on a massive scale and simply buy their way out of it through "fines" but individuals can't. Individuals can go to jail for the same kinds of crimes that many corporations can simply buy their way out of.
and that is why we "smalfry" enthusiasts have to keep our noses cleaner than the banks...
yes the current fractional reserve / fiat based system is flawed and rigged.. that is why almost everyone who is in crypto is here, because we believe in a more level financial playing field (well at least I do)...
but you cant win a war against a corrupt regime by being just as corrupt.. especially when they have all the power and you don't.
just to be clear about what I am saying... its not wrong to Hold your own coins (as an individual) until its a good time to sell them.. or even trade or put your own buy and sell walls up to suit your own personal trading strategy, (all of that stuff happens inside your head so there is no way to prove why you sold and bought the way you did) but when you collude with other people to do it then you open yourself up (and everyone else involved) to to some very serious legal ramifications.
just remember that when you do anything to manipulate the price to benefit yourself... someone else loses money...
however if you create real value for Karma then everyone wins.
also remember that while you are a small fry, most authorities wont even bother investigating you but, if and when you make it big.. that is when they come for you.
I say if you really want to improve the value of Karma.. just create your own website with some really awesome content that accepts Karma for advertising. that way people who want to advertise on your really awesome website have to BUY bucket loads of karma in order to do it and that would naturally put upward pressure on the price.
I'm building my own software and hope to be accepting Karma and other coins (the ones I believe in) as payment to license it. there really is nothing stopping people from making software and using the Karma (or any other coin) block-chain to validate and store license keys.
places like Steam/Gamersgate and crypto coins are a natural fit for this kind of software licensing model.. when one of those big boys starts accepting crypto that's when the price of bitcoin and alt coins will skyrocket.
Thanks for your thoughts, I really appreciate it even though its kinda putting nails in the coffin.
I don't want to get involved in a fiat system debate so I'm skipping that part.
I don't think the idea I described can be called an investment vehicle. It'd be a website that sells a service (host image/link on frontpage) and takes payment in cryptos for that. That's hardly an "investment" but rather a "purchase".
What happens in step #2 is what you have the biggest problem with. So basically you're saying that by trying to be transparent about what I intend to do with "my earnings" (reinvest in Karma/Karmashares, use it to buy more), I'm doing something illegal. Involving the community or even considering a voting is probably the wort part then? Day I was doing the same thing and not tell anybody about it openly, then it'd be okay? Hmmm...
Just to clarify my intentions, I didn't really see or intend it as price manipulation tool (as I said the goal is not to "pump" Karma) but more as a safety net. The wall would never be used to move price up, it'd just be there to prevent against/soften the impact of big dumps of coins. Should the wall ever grow to noticable size it might drive price up a little as big buywalls tend to do, but I'm honestly not seeing that happen anytime soon, if at all.
You keep comparing crypto trading to Forex, I am unsure of the legal situation right now, is there anything that I can read up on in this regard? Something that clarifies the situation? Everything I've heard is that regulation currently and in the foreseeable future is only relevant for Fiat/Crypto exchanges.
One block = 10 000 + 25 000 coins (75% less than today!) 
