Could you explain exactly what a market maker, angel investor, or liquidity provider would do what their roles would be. I've heard all of those terms of course, but I don't know if they are all the same or if they are all different and I can't really define each of them clearly. I know a liquidity provider is going to provide liquidity somehow, but what does that mean and what does it look like? Is it just a guy with deep pockets willing to place massive buy orders on the books? And how would these people make money as you've mentioned they could make good money providing this service?
The terms essentially mean the same thing, a market maker provides liquidity. And well, they would do a few things. First of all they would put up buy support. Then they would attempt to make money on the spread. So lets say they offer to buy 10 BTC of BAY at 19 cents. They maybe even know that 10 BTC literally buys up every single coin on the market so they are over-leveraged. Next they place a sell at 21 cents. If they want to inflate they can push the spread to 22 cents. Then when the users trade BAY they get the stability they wished for AND the liquidity. Therefore they can safely compete with Tether and eat their market share.
The liquidity provider attracts traders because many traders would be scared to buy into a coin that they can't cash out of. So the liquidity provider gives the new traders the confidence to get involved with BAY which is basically the only thing we are missing right now.
This way a person who puts up the money makes almost 10-15% on every trade. And other users might bid in between the spread they set. To protect them, chances are we would encourage them to put their bitcoin on a multisig exchange or a DEX
That way, they don't risk hacks and can put lots of BTC up.
They also get profits when their BAYR releases as BAY.
We have multiple methods for a liquidity provider to profit, and there are many more than I'm mentioning in my proposal.
An angel would be a bit different as they would not only invest in the liquidity but also in exchange partnerships, dex and multisig, development of web markets and marketing. So not only are they eating Tethers market share but they are also arming us with the ability to market it. And they are doing it without any liabilities because the dynamic peg isn't a "stablecoin" it's a system that protects against volatility and makes it easier to be stable. If the number of market makers increase then it's even easier to hold the price at an inflated supply because when one market maker cashes out, there would be multiple more to replace them and you can deflate if a crash were to happen.
As we have proven that we can do so much with no budget, imagine what we could do with a budget!