Topic: [ANN][VRC] VeriCoin Proof of Stake-Time Currency | New Roadmap Released - page 316. (Read 1356147 times)

Your explanation was fine, thanks.

I think your previous reply is what he was looking for. You did a nice job explaining it.

What are you trying to clarify? Why it's a good thing top coin holders are accumulating?

What I meant to ask is if someone who actually knows what they're talking about could answer.  That ain't you.

I am not sure what your question is referring to. Accumulation is one thing and big percentage numbers of coins staking or otherwise locked up in wallets, is another entirely. Since no accumulation is taking place in VRC -the top 100 wallets added 20,000 coins the past week, according to some research done and post here-, I believe you are referring to the fact that up to 80% of the total amount of Vericoins is currently in wallets outside of the esxchanges and mostly staking.

This is VERI good and...VERI bad. The good is because is reinforces the strength of the blockchain and, de facto, makes it almost impossible a 51% attack. Also on the VERI good side, it shows  the confidence and commitment of the main stakeholders, which are staking their coins instead of trading them for a bit of profit like traders/speculators do. Additionally, reducing the number of coins available for trading, theoretically, will make the coin scarce and new buyers will have to pay more... this is being proven completely wrong by the market since VRC has been, and so far remains, in a downward spiral with great selling pressure taking the price to the lowest levels since launch... at which levels currently remain. So much for scarcity!

And this is VERI bad because, by definition and purpose, crypto currencies are made and design to be SPENT, not saved or kept. In fact, that only 20% of the entire float is available for trading, severely limits the actual usability of the coin in the real world. Since the valuation of the coin is so minimal, and, subsequently, the market cap total is so modest, this "accumulation" is imperative to protect the vulnerability of the coin to 51% attacks... as we show recently when only 8 million coins would have destroy the coin instantly. Naturally, if VRC ever reaches a valuation 5, 10, 100 times higher than current levels, it would be much more costly for an individual or a group to perpetrate a 51% attack and therefore the importance of the % of coins staking or otherwise away from the exchanges, will diminish exponentially.

Let me give you another scenario possible: With 20 million of it's 27 total million coins, in individual wallets, if anyone were to buy ALL the 7 mill available coins (an "investment" of $340,000 at current price), the actual trading of the coin will cease, it's price go to zero almost immediately and the stakers would have exactly that, ZERO value in their wallets. The coin would effectively be dead.

So this amount of staking is not healthy, obviously, or pricewise efficient. Much less is needed to maintain the blockchain and prevent the possibility of a 51% attack... any group could easily "buy" enough for very little money right now, effectively destroying the coin.  A bit of a situation, indeed, if prices remain or, worse yet, if they go any lower.

Of course if they go lower, no one will have any interest in VRC, much less in liquidating it.

I'm not an expert by any means but from a wallstreet point of view - when you see "insiders" accumulating stock it's often a green flag as a buying signal. The fact that those who hold the top % are already heavily financially invested yet they continue to invest more money into the company (or in this case, the software/idea/coin) it typically means there are good things to come. Usually the top % holders have the first take at inside information - I.E they know whether good things or bad things are in the foreseeable future.

So the point being - if you see top Vericoin holders buying more Vericoin, that means they are confident it's going to go up in value. Visa versa if you see top coin holders selling out - it's usually a sign that they know things are falling apart. It's not 100% always that way but it's probably a 60/40 or 70/30 to be true.

Jump in IRC many people will answer your question there

I was just reading Matthew Bonari's very interesting article on vericoinnews, (http://vericoinnews.info/latest-news/stakeholder-confidence-milestones-and-blockchain-analytics/), and was wondering if it would be possible to elaborate on why the accumulation is a good thing.

It's just one of those things that got carried over from the original wallet code. Nobody's really had any reason to give any attention to it until now. VeriCoin seem to be the only coin with such a large percentage of owners staking their coins and that thrust the Network Stake number into the spotlight. I bet a lot of other devs will end up releasing updated wallets, too.

One thing that I'd like to see in the wallet is the stake weight of my own coins. Perhaps as a replacement tooltip when I mouse-over the number of coins that are currently staking.

Glad to have you part of the community The more people like yourself the better off we will become!

No, every POS coin shows stake weight as the stake weight, with coin age factored in.

Guys, if you feel misled about the staking numbers -- I mean no offense -- but that's your own fault. Every POS coin I've seen uses a calculation that includes coin age to determine the network "stake weight". This does not exactly equate to an accurate number for total coins in stake. This is an inherent function of Proof of Stake technology. This is however a good opportunity for the VRC devs to introduce a way to show an accurate number of actual coins in stake.

RW Stott

we dont need to know about shadow coin here you sure your not lost?.

Can you answer my question posed on that thread. ?.

Wow, check out ShadowCoin guys... first full mobile wallet that supports staking, p2p encrypted messaging, and stealth transfers. 

https://bitcointalksearch.org/topic/m.8321871

Sorry, I forgot, here is the hangout video at https://www.youtube.com/watch?v=l8cHSsNYtNA  This is really encouraging!

I have just purchased VRC, are you saying the information in the wallet is misleading?

Btw, I just watched the hangout at youtube, really great stuff, clear plans and very good prospects. The PR team and plan is very strong, a PR company will be hired and the coin will be taken to the latino community. I have to agree with some of the IRC members that 1VRC=$1 price is very likely.

I bought in at 8.6K the price is right now 10K, the 3% isn't attractive enough.
Btw, this is a strong community. You will see, if you offer a better return you will get many offers in no time, many community members believe in the price increase and many of them will lend you against your short selling.

If that is the case, they are misleading, by omission, the community and potential investors.

I did understand perfectly. And that incentive of 2.5% is paltry to say the list (nothing negative about it, just a fact). And so are the fees that stakers will be collecting. When you say it is not true that any daytrader can make many times 2.5% kin a single day, well what can I say. Bots make much more than that and the person doesn't need to be even "working". Those are facts. I do understand though that there are many people who stake because they are looking for much bigger gains, with time, and every bit helps. Fact is though that holding and staking, unless the price goes up, is a losing proposition.

For the purpose of investing, new investors, that are needed for the price and the project to progress, what counts is the strength of the stake holders. And that strength is measured in REAL coins holding in their wallets, staking or not (preferably the former), not some wildly oscillating number that represents the strength of the network.

I agree having both, since it is quite easy and possible, is hitting the jackpot, so to speak.

Every other POS coin shows stake weight as coins staking in there wallets. Correct me if I'm wrong please!