Topic: [ANN][SLG] Sterlingcoin v1.6.1.1 | United Kindom | Cryptopia - page 87. (Read 464486 times)

With the upcoming Sterlingcoin hangout I thought I would look at a few options and provide some general info. for discussion by the community.

A currency peg is usually set against another countries currency, in traditional financial markets, although this can also be against other commodities or assets etc.

- http://www.investopedia.com/terms/c/currency-peg.asp or http://www.investopedia.com/terms/p/pegging.asp

... " 2. A practice of an investor buying large amounts of an underlying commodity or security close to the expiry date of a derivative held by the investor. This is done to encourage a favorable move in market price."

This is actually how Nubits - https://www.nubits.com/ (the first crypto currency to thus far mostly successfully fix its exchange rate to the US dollar i.e. One Nubit = One US dollar) has been using NuShares to maintain the exchange rate on crypto currency markets via its Nubot software - https://bitbucket.org/JordanLeePeershares/nubottrading .

EDIT: However, in a free crypto currency market (with Sterlingcoin already being listed on multiple exchanges and without having an existing mechanism in place) SLG is automatically indirectly 'pegged' to the value of Bitcoin and other crypto currency pairs, moreover supply and demand is the bigger factor in determining current price and/or value.

- https://wikipedia.org/wiki/Fixed_exchange-rate_system and https://wikipedia.org/wiki/Supply_and_demand

Trying to fix or 'peg' and exchange rate can seem like a very good idea when the asset price is 'low' (or comparatively low) in the market, although for Sterlingcoin this would not be an ideal situation were 'value' to eventually exceed its pegged price.


Sterlingcoin, in reality (crypto currency) is an intangible commodity (asset based) money (currency) - https://wikipedia.org/wiki/Intangible_asset and https://wikipedia.org/wiki/Commodity_money

1. Intangible - in that you can't physically hold Sterlingcoin in the palm of your hands - https://wikipedia.org/wiki/Intangible_asset

2. Commodity - in terms of a 'marketable' item in exchange for goods and services - https://wikipedia.org/wiki/Commodity

3. Asset - in terms of an economic resource in financial accounting i.e. digital cash - https://wikipedia.org/wiki/Asset

4. Money / Currency - https://wikipedia.org/wiki/Money and https://wikipedia.org/wiki/Currency

Being a PoS coin (with perhaps some existing benefits over PoW) Sterlingcoin has a 5th incentive being 'risk-free' interest https://wikipedia.org/wiki/Interest at the fixed rate of 5.5%


What gives Sterlingcoin, Bitcoin or any crypto currency its true 'value' is less defined today. We can see this clearly by how much the Bitcoin price has fluctuated since its inception. Given its intangible nature the only certain 'commodity' based value aspect is in fact the means and cost of production i.e. purchase and/or depreciation on mining equipment, the cost of electricity used in production and time.

Other main aspects for consideration being the total supply, fungibility - https://wikipedia.org/wiki/Fungibility and of course Rarity vs Scarcity - https://wikipedia.org/wiki/Scarcity_value

These main factors are exactly how the first Bitcoin exchange rate was established by NewLibertyStandard on this very forum.

- http://newlibertystandard.wikifoundry.com/page/Exchange+Rate

... " The exchange rate is the average of the adjusted bitcoin production per day divided by the average production costs per day. The per day averages start with the previous day and will eventually extend back 365 days, but until then, they increase by half a day each day by taking the average of two averages. Production costs consist of the price of broadband Internet and metered electricity. The adjusted bitcoin production is the following spreadsheet calculation =if(M2>N2,((B2+F2)/2)*(1/(3-((N2/M2)*2))),((B2+F2)/2)*(3-((M2/N2)*2))) where M2 is the available balance of dollars times the exchange rate of that same day, N2 is the available balance of bitcoins, B2 is the amount of bitcoins produced the previous day and F2 is the average of the adjusted bitcoin production per day. "

- http://newlibertystandard.wikifoundry.com/page/2009+Exchange+Rate

... " During 2009 my exchange rate was calculated by dividing $1.00 by the average amount of electricity required to run a computer with high CPU for a year, 1331.5 kWh, multiplied by the the average residential cost of electricity in the United States for the previous year, $0.1136, divided by 12 months divided by the number of bitcoins generated by my computer over the past 30 days. "

Other factors determining the Bitcoin price on the free market are now of course Supply and Demand, as well as the Goods and Services that Bitcoin can be exchanged for (including the exchange to alt. coins).

- Bitcoins, Alt. coins, Pizzas and Haircuts. - https://bitcointalksearch.org/topic/m.3460909

... " What is Bitcoin’s value backed by?

Bitcoin is valued for the things it can be exchanged to, just like all the traditional paper currencies are.

When the first user publicly announces that he will make a pizza for anyone who gives him enough Bitcoins, then he can use Bitcoins as payment to some extent – as much as people want pizza and trust his announcement. A pizza-eating hairdresser who trusts him as a friend might then announce that she starts accepting Bitcoins as payment for fancy haircuts, and the value of the Bitcoin would be higher – now it would be backed by pizzas ”and” haircuts. When Bitcoins have become accepted widely enough, he could retire from his pizza business and still be able to use his Bitcoin-savings. "

... and this is why Lazlo offered to buy a Pizza for Bitcoins ! To create supply and demand !


These aspects make up the intrinsic value of Bitcoin (or Sterlingcoin), an intrinsic value which is often hard to fully grasp considering crypto currency is fully decentralized peer-to-peer money.


So, for Sterlingcoin (and its current position) I think that the question is how best to try and build intrinsic (actual) value. Merchants, goods and services help a lot, although as others have described this is a double edge sword and a slow burn in terms of price.

The strengths of Sterlingcoin are clearly demonstrated in its potential association with Sterling Silver or a Silver Standard in terms of actual value - https://en.wikipedia.org/wiki/Silver_standard

I've already highlighted the pitfalls of a pegged value, however I can envisage a useful potential for a linked exchanged rate to the Silver Fix.

- The London Bullion Market Association (LBMA) sets the daily fix for Silver against the GBP, USD and EUR - http://www.lbma.org.uk/pricing-and-statistics  once per. day.

... " The LBMA Silver price auction is operated by CME and administered by Thomson Reuters. The price is set daily at 12:00 noon London time. The price is expressed in $ per troy ounce. Reference prices are also available in £ and & euro. "

Plotting the London Silver fix against an average daily Sterlingcoin price would provide an interesting measure of linked / perceived value, moving forward. To be able to easily say that Sterlingcoin is Up or Down against physical Silver today would give a new dimension to trading.

I also feel that it could be a good way to attract individuals and businesses with an interest in numismatics to Sterlingcoin. Folks trading physical Sliver (and gold) coins and/or small quantities of numismatic collectables / bullion on the Sterlingcoin forum (on a personal basis) would be a fantastic way forward.

For example, it could be possible to start the ball rolling by offering heavily discounted physical Silver from the Sterlingcoin Store and/or forum when being brought with Sterlingcoin. For example, bullionbypost.co.uk/silver-bars/ offers considerable discounts on orders of over 100 Sliver bars, with the price of a single bar being x 2 that of a bulk order price of a min. 2.5 g Sliver Bar. This saving (less P&P costs) could easily be passed on to anyone wanting to buy with Sterlingcoin. Many other options are ofc available.

However, doing something like this is not dissimilar to say Lazlo and his Bitcoin for Pizza, as today Lazlo's Bitcoin's are clearly worth much more than the $ price of the pizza.


Another option might be to back Sterlingcoin (or a percentage of the total circulation) with physical Silver through the creation of a Foundation or other means. Not fractional reserve banking, but Full Reserve banking https://wikipedia.org/wiki/Full-reserve_banking and to then offer dividends or some incentives on this basis. However, this is probably something for consideration much later on.

Anyway, some food for thought.  

I would not put a lot of trust atm in those media about crypto news when they are talking about XPY.
There is much more going on around.
It is not proved yet that XPY is a scam, what is sure is there was a lot of deception surrounding the launch of PayCoin.
Honestly, would you, Spencer build up a scam when everybody in the industry is shouting and yelling at you and when your living address and relatives are all known?
Instead of fighting each others Crypto and POS coins should unite for the sake of the crypto currencies.
Future lies in POS coins.
I hold SLG and XPY for the longer term and to use those in my daily life and not for a quick ROI...

We have a YouTube channel for Sterlingcoin and all hangouts/videos get uploaded there - https://www.youtube.com/channel/UCnadARoCVRHmUCk-83HAYeg/videos

very nice, well done.

Yes, we will record the hangout.

Could you also upload the hangout somewhere when you do it so if me or someone else can't take part could still watch it?

Sterlingcoin Official Store now accepts:

Has XPY been proven a scam? Please provide media links and other resources and we will remove.

EDIT: We have spoken with our media partner CryptoArticles and they confirm the coin was built on lies and deception, it will be removed.

EDIT: Paycoin (XPY) removed from Sterlingcoin Official Store

Sounds good. I'll talk to the others and we will arrange a time good for all. If people PM me I will take a note of availability and schedule the best time around that info.

Lets not rush this, get the most out the session and balance our lives ;-)

Have a chat with the team and propose a time in the week.

The reason I chose 11.30PM was because my girlfriend has her family over ATM and are going to bed around 11PM in the evening. Also Matthew and Steven are USA based and that would be around 6.30PM their time. Matthew has to juggle family responsibilities in the daytime so this is still a stretch for him to be able to set a time to be sat on Google+ Hangout. Tomorrow can work however, it does not need to be this evening.

How about we schedule for tomorrow evening so more people can join and at about 10am ?

I was thinking of hosting the Google+ Hangout at 11.30pm (GMT London) this evening, what are peoples thoughts?

available anytime in the next 24hrs

Let's all sit down together this evening and talk. What is everyones availability?

Please dont misundestood me, I'm not saying we should focus now on merchants.
I think:
1. We're not ready yet for merchants because of market cap
2. I do agree with you we gonna suffer a period of price going down and number of merchants going up (like bitcoin rigth now), but we need to go trougth that period cos is essential if we want to achieve mass adoption

IMHO we should focus in:
1. Finish all the APIs, Mobile wallets, Ledger
2. Getting UK merchants (& international investor)
3. Promote the coin to UK population


We only start focusing in the next target once we have finished the previous one

This is true. But purchases up to £50 by people are safe via LitePaid as they have an in house buffer of Sterlingcoin to prevent dumping on the exchanges

merchants are always good but is slg really ready for the merchant dumpage? I mean, suppose I was to buy a £200 item in slg today, that single sale would make a big dent in the orderbooks as they stand.

Theoretically, yes. But we'd need a reserve = centralization = a single point of failure = fuck that