Topic: [BTC-TC] BTC-Trading Pass-Through Fund (BTC-TRADING-PT) is closed - page 8. (Read 18917 times)

Isn't the entire market cap of all LTC something like 50k BTC?

BTC Trading Corp is the company.  The shares are traded as LTC-GLOBAL because the site and dev work was done there several months before the company incorporation was completed.  Until the GLBSE went down I was just writing a LTC exchange so I could issue divs on LTC-MINING in LTC.    Crazy how quickly things change sometimes.

In any case, forex trading against the wide BTC swings is a lot easier using LTC than USD, as LTC is a lot easier to move around.  I don't think the value of the exchange being held in LTC is any worse than if it were being held in USD, if anything it's probably better off.

Cheers.

Perhaps this is why basing a Bitcoin exchange with a litecoin company is a bad idea..

Sunday, January 27, 2013

Overview

Asset Information
Assets: 100 shares of LTC-GLOBAL
Shares Outstanding: 1000
NAV: BTC 0.12906 (Based on the LTC-GLOBAL 7 day average price of 337.85 LTC)

Dividend Information
Weekly dividend: BTC 0.11403
Weekly dividend (per share): BTC 0.00011403 (paid on Tuesday)
Weekly Yield: 0.09%
Annualized Yield: 4.59%

Management Fee
Normal Fee (%0.02 of assets): 6.7570 LTC
Waived: 0 LTC
Fee Paid: 6.7570 LTC

Detailed information can be found here: https://docs.google.com/spreadsheet/ccc?key=0Am3m7aRNI-JbdElvTTc5Vmg3bUh2WDAwc2tsLU1JcEE

Commentary

Demand for LTC-GLOBAL shares has slowed considerably and the average price has dropped slightly from BTC 342.75 to BTC 337.85 (-1.5%). In addition, the value of LTC relative to BTC continued to fall (despite the popping of the BTC bubble), and the NAV fell from BTC 0.136 to BTC 0.129 (-5.1%) as a result. Please note that the NAV is only an estimation of the value of the shares. The trading volume is low and the bid-ask spread is very high, so the actual value of a share can vary quite a bit.

A single dividend of 36.67 LTC was paid by LTC-GLOBAL to the fund at the beginning of the week. After subtracting the management fee of 6.7570 LTC, the dividend paid to fund shareholders this week is BTC 0.11403, or BTC 0.00011403 per share, for a weekly yield of 0.09% and an annualized yield of 4.59%. This is a healthy dividend and let's hope that it continues, as it validates the current price of the shares.

Voting

The fund has motions for voting on approval of the following securities. Please don't want until the last minute to vote because the exchange may not display the dates correctly, and you may be too late.

Ticker	Exchange	Deadline	Notes
B.YABMC	BTC-TC	2013-01-28	IPO
SILVER	BTC-TC	2013-01-28	IPO
TABITA	LTC-GLOBAL	2013-02-01	IPO
BTC-BOND	BTC-TC	2013-02-02
RSM	BTC-TC	2013-02-02
MOB	LTC-GLOBAL	2013-02-02
BOTMINER	LTC-GLOBAL	2013-02-02
LTCCOPPER	LTC-GLOBAL	2013-02-02
-
S.BBET-PT	LTC-GLOBAL	2013-01-22	Approved 448-0
S.DICE-PT	LTC-GLOBAL	2013-01-22	Approved 488-0
CREATE	BTC-TC	2013-01-22	Listing was cancelled
OPCU	LTC-GLOBAL	2013-01-27	Abstain
LTCI	LTC-GLOBAL	2013-01-27	Approved 541-3
GOLD	BTC-TC	2013-01-27	Approved 541-3

Saturday, January 19, 2013

Overview

Asset Information
Assets: 100 shares of LTC-GLOBAL
Shares Outstanding: 1000
NAV: BTC0.1359 (Based on the LTC-GLOBAL 7 day average price of 342.75 LTC)

Dividend Information
Weekly dividend: BTC0 (LTC-GLOBAL paid no dividends this week)
Weekly dividend (per share): BTC0 (paid on Tuesday)
Weekly Yield: 0%
Annualized Yield: 0%

Management Fee
Normal Fee (%0.02 of assets): 6.8160 LTC
Waived: 6.8160 LTC
Fee Paid: 0 LTC

Detailed information can be found here: https://docs.google.com/spreadsheet/ccc?key=0Am3m7aRNI-JbdElvTTc5Vmg3bUh2WDAwc2tsLU1JcEE

Commentary

Demand for LTC-GLOBAL shares continued last week as the price has reached a new high of 450 LTC. Despite the rise in the price of LTC-GLOBAL shares, the value of LTC relative to BTC dropped dramatically, and the NAV fell from BTC0.147 to BTC0.136 (-7.5%) as a result.

No dividends were paid this week. Dividends are generally low and are not paid on a regular schedule, but this is unusual.

Voting

The fund has motions for voting on approval of the following securities. Please don't want until the last minute to vote. The voting times are not displayed correctly, so you may be too late.

Ticker	Exchange	Deadline	Notes
GSDPT	BTC-TC	Closed	Approved 467-0
MININGCO.ETF	BTC-TC	Closed	Approved 465-1
HASHING.MINING	LTC-GLOBAL	Closed	Not approved 461-0
LHPOOL	LTC-GLOBAL	Closed	Abstained
EMIF.LTC-TRADING	LTC-GLOBAL	Closed	Abstained
S.BBET-PT	LTC-GLOBAL	2013-01-22	IPO, new
S.DICE-PT	LTC-GLOBAL	2013-01-22	IPO, new
CREATE	BTC-TC	2013-01-22	IPO, new
OPCU	LTC-GLOBAL	2013-01-27	new
LTCI	LTC-GLOBAL	2013-01-27	new
GOLD	BTC-TC	2013-01-27	new

Saturday, January 12, 2013

Overview

Asset Information
Assets: 100 shares of LTC-GLOBAL
Shares Outstanding: 1000
NAV: BTC0.14719 (Based on the LTC-GLOBAL 7 day average price of 296.16 LTC)

Dividend Information
Weekly dividend: BTC0.02938
Weekly dividend (per share): BTC0.00002938 (paid on Tuesday)
Weekly Yield: 0.02%
Annualized Yield: 1.04%

Management Fee
Normal Fee (%0.02 of assets): 5.9232 LTC
Waived: 1.2558 LTC
Fee Paid: 4.6674 LTC

Detailed information can be found here: https://docs.google.com/spreadsheet/ccc?key=0Am3m7aRNI-JbdElvTTc5Vmg3bUh2WDAwc2tsLU1JcEE

Commentary

Strong demand for LTC-GLOBAL shares continued last week as the price has reached a new high of 343 LTC. Despite the rise in the average price of LTC-GLOBAL shares, the value of LTC relative to BTC continues to drop slowly. Still, the NAV rose strongly from BTC0.137 to BTC0.147 (+7.3%). The dividends paid this week were above average, the yield was 0.02% (1.04%, annualized).


Starting this week, I have begun posting motions for voting on approval of LTC-GLOBAL and BTC-TC securities. Each week, I plan to put up two issues from BTC-TC and three issues from LTC-GLOBAL until all existing securities have been voted on. Shareholders should have received notifications for motions to vote on the approval of the following securities. Voting closes next Saturday.

Ticker	Exchange
GSDPT	BTC-TC
MININGCO.ETF	BTC-TC
HASHING.MINING	LTC-GLOBAL
LHPOOL	LTC-GLOBAL
EMIF.LTC-TRADING	LTC-GLOBAL

Saturday, January 5, 2013

Overview

Asset Information
Assets: 100 shares of LTC-GLOBAL
Shares Outstanding: 1000
NAV: BTC0.13666 (Based on the LTC-GLOBAL 7 day average price of 260.8 LTC)

Dividend Information
Weekly dividend (per share): BTC0.00001805 (paid on Tuesday)
Weekly Yield: 0.01%
Annualized Yield: 0.69%

Management Fee: Waived

Detailed information can be found here: https://docs.google.com/spreadsheet/ccc?key=0Am3m7aRNI-JbdElvTTc5Vmg3bUh2WDAwc2tsLU1JcEE

Commentary

Strong demand for LTC-GLOBAL shares continued last week. Although prices didn't reach the previous week's high, volume increased and the trading range decreased as the average price rose. The dividends paid this week were average, so the yield has fallen back to 0.01% (0.69%, annualized). Despite the rise in the average price of LTC-GLOBAL shares, the value of LTC relative to BTC continues to drop slowly. As a result, the NAV rose only moderately from BTC0.134 to BTC0.137 (+2.2%).

Of the 1000 shares of BTC-TRADING-PT outstanding, over there are still many that have yet to be sold. Much of the problem has been due the to wide bid-ask spread along with the low voume. The spread is smaller now, but volume is still low.

This week, in order to get more shares into public hands I will fulfill bids that are at the 7 day average price for LTC-GLOBAL. I don't normally do this because it shuts out sellers, but I believe it is acceptable as there are currently very few sellers and there are several bidders. One possible way to take advantage of this action might be to buy BTC-TRADING-PT shares, exchange them for LTC-GLOBAL shares, and then list the LTC-GLOBAL shares at the higher ask price on LTC-GLOBAL.

Previously, I wrote that I would open up voting on new LTC-GLOBAL and BTC-TC securities when 500 shares have be sold to the public. That still remains; however, I plan to open up voting beginning next week regardless of the number of shares sold. There are now enough sold for a vote to win by a margin of 100 shares.

Saturday, December 29, 2012

Overview

Asset Information
Assets: 100 shares of LTC-GLOBAL
Shares Outstanding: 1000
NAV: BTC 0.13370 (Based on the LTC-GLOBAL 7 day average price of 237.47 LTC)

Dividend Information
Weekly dividend (per share): BTC 0.00010382 (paid on Tuesday)
Weekly Yield: 0.08%
Annualized Yield: 4.04%

Management Fee: 4.7494 LTC (0.02% of assets based on LTC-GLOBAL 7 day average price)

Detailed information can be found here: https://docs.google.com/spreadsheet/ccc?key=0Am3m7aRNI-JbdElvTTc5Vmg3bUh2WDAwc2tsLU1JcEE

Commentary

Strong demand for LTC-GLOBAL shares together with a limited supply has driven the price from about 200 LTC to 299 LTC. Meanwhile, the dividends paid this week were much higher than average (which probably spurred the demand for shares), so the yield has increased as well to 0.08% (4.04%, annualized).

Of the 1000 shares of BTC-TRADING-PT outstanding, over 200 have been sold in the first week. The dividend is scheduled for Tuesday at 00:00 UTC, so there is still time to buy shares and receive that dividend.

Sounds like a decent compromise.  Obviously there's other reasons they may want to revote than just contract changes - e.g. missing dividend payments, obviously lieing or (on other side of the coin) starting to produce proper accounts/records when previously they hadnt.  But yeah - leave it in their hands to request a new motion.

Thanks for the suggestions. LTC-GLOBAL shareholders can change their vote as often as they like, but I don't think there is a reasonable way to pass on that ability. Using motions to vote indirectly is a little bit of a hack, but I think it can still provide some value.

I like the idea of the on-going motions, except for the part where I have to monitor them. What I can do as a compromise is to extend the motion to two weeks and update the approval vote during that period, and then afterward allow shareholders to request a motion to re-vote if the contract changes.

I can use the public comment feature to show how the vote was cast.

For now, I am going to stick with the 100 vote margin. It is simpler and it already happens to be 10% of the outstanding shares (though that number can change).

I'd suggest doing it a bit differently - only voting once doesn't allow changes to the vote (obviously).  Sometimes a No vote may be cast for a specific reason - if addressed the vote should be able to be changed.

What I'd suggest is that (if feasible - don't know how well the system handles loads of votes but why not find out?) you open a vote for each asset with an end date say way into the future so it effectively never ends.

When some minimum number of votes has been reached and at least a day has passed since the motion was made you vote if there's a 100 or more excess of votes in favour of either option.  If not enough votes (or margin is under 100) then you abstain.  Thereafter vote can be changed if you notice the voting has swung other way or if someone notifies you of it (so you don't have to keep checking all the votes).  Maybe require a 200 margin to change the vote other way (once a vote is cast one way it shouldn't ideally go to an abstain).

Your votes (including abstentions) should be marked with some public identifying tag (e.g. "BTC Trading - PT") or text so that there can be no disputing that you voted the way investors chose.

I think a one-time vote is short-sighted - assets that start off weak can improve and (unfortunately more often the case) ones that start off well can fall by the wayside.  Investors should have some way to register changes in opinion about an asset - leaving the vote open indefinitely allows that: there's no reason why a vote for this purpose needs to have a fixed end point.

I'd further propose that you change the definition of margin of votes needed.  At present it's 100 - that could end up insignificant.  I'd suggest "The larger of 100 and 10% of outstanding shares" and then "The larger of 20 and 20% of shares" to reverse a vote - any change of opinion needs to be very clear.

More information on voting.

When a new security is submitted for approval, the fund manager will submit a motion to shareholders to vote on approval of the security. The voting will close in 5 days. As stated above, the fund will only vote as long as the motion passes or fails by a margin of at least 100 shares. Shares owned by the fund or fund manager will not participate in the motion.

When the fund obtained the LITECOIN_GLOBAL shares that it holds, it gained the right to vote on approval all of the securities listed on the exchange (not just the ones currently awaiting approval). This means that shareholders of BTC-TRADING-PT will be able to vote on motions to approve these securities. However, since there is no urgency (as they have already been approved), the fund manager will submit motions for only a few of these at a time, starting with the most recently listed.

Unless there is strong objection by shareholders, the fund manager will begin submitting motions for approving securities once 500 shares are owned by the public. Since the fund only gets one chance to vote, this will make the vote available to more people, although it will prevent participation of the fund in the approval process for some securities currently awaiting approval. Waiting for more shares to be sold will also help to ensure that the votes are not dominated by a single person.

BTC-TRADING-PT is now trading. There are currently 1000 shares outstanding and I will initially be posting asks of 100 shares at a time at the average of LTC-GLOBAL's bid and ask prices until a market develops. If you want to buy shares and none are available, send me an email or PM.

Sounds solid - when it's approved I plan on buying a few shares.

Maintained for documentation purposes:

The BTC Trading Pass-Through Fund (BTC-TRADING-PT) is an exchange-traded fund that trades on the BTC Trading Corp exchange. The fund holds shares of BTC Trading Corp (LTC-GLOBAL) and issues its own shares that represent the assets held by the fund. LTC-GLOBAL shares are traded on the LTC-GLOBAL exchange and are denominated entirely in LTC. This fund enables investors to effectively own and trade shares of BTC Trading Corp denominated in BTC, as well as to receive dividends from LTC-GLOBAL denominated in BTC.

Each share of BTC-TRADING-PT represents 1/10th of a share of LTC-GLOBAL. Shares do not represent ownership of the fund or ownership of John Galt Asset Management. Shares of BTC-TRADING-PT are issued only for shares of LTC-GLOBAL actually held by the fund.

The fund accumulates dividends paid by LTC-GLOBAL, converts them to BTC, and distributes the proceeds (less fees) to shareholders once per month. Details are explained below.

Highlights

• Shares represent 1/10th of a share of LTC-GLOBAL
• Shares are traded on the BTC-TC exchange and are denominated in BTC.
• Shares can be redeemed for shares of LTC-GLOBAL, and vice-versa.
• Shares normally trade at 1/10th of the current price of LTC-GLOBAL but can be higher or lower.
• Shareholders have limited LTC-GLOBAL voting rights.

LTC-GLOBAL Voting Rights

Shares of LTC-GLOBAL grants the shareholders special voting rights. While these rights are granted to John Galt, an effort to extend and transfer limited rights to shareholders of BTC-TRADING-PT is made.

Voting on LTC-GLOBAL motions: When feasible, an identical motion will be filed for the BTC-TRADING-PT security and shareholders may vote on the motion. The outcome of the motion determines how the fund manager votes in the actual motion. If this is not feasible, the fund manager may vote according to its own interests.

Voting on new security listings: Ownership of LTC-GLOBAL shares grants shareholders the right to approve new securities on the LTC-GLOBAL and BTC-TC exchanges. This right is extended to shareholders of BTC-TRADING-PT in a limited way. Whenever a new security is listed, a motion will be filed allowing shareholders to vote to approve the new security. At least 200 shares must vote YES or NO for the motion to be considered valid. If the motion passes or fails by at least 100 shares, then the fund manager will vote according to the outcome of the motion. The voting will close in 5 days for IPOs and 7 days for existing securities. Shares of the fund owned by John Galt or the fund will not participate in the motion.

Dividends

BTC-TRADING-PT normally receives a dividend once per month from the LTC-GLOBAL shares it holds. It is typically paid after the end of the month. The monthly management fee is deducted from the proceeds and paid to the fund manager. The remaining proceeds are converted to BTC and distributed to BTC-TRADING-PT shareholders within 5 business days of receiving the dividend from LTC-GLOBAL.

Fees

John Galt charges a normal fee of 1% of the value of the assets per year, paid as 1/12 of 1% each month based on the value at the time of payment. The fee is deducted from the fund's income, and any amount that exceeds the income for the month is waived.

Redeeming shares

Shares of BTC-TRADING-PT can be redeemed for shares of LTC-GLOBAL. Please contact John Galt Asset Management at the email address above, or by sending a PM to "John Galt" on the LitecoinTalk forums (http://forum.litecoin.net/) or "JohnGalt" (note the missing space) on the BitcoinTalk forums.

• Shares are redeemed in multiples of 10. Each 10 shares of BTC-TRADING-PT is redeemed for one share of LTC-GLOBAL. The minimum number of BTC-TRADING-PT shares that can be redeemed is 100. The person redeeming the shares must have an account on the LTC-GLOBAL exchange in order to receive the LTC-GLOBAL shares.
• There is a redemption fee of 1% based on the value of the shares redeemed, payable in BTC or LTC to John Galt Asset Management.
• The LTC-GLOBAL shares are transferred as soon as the BTC-TRADING-PT shares have been transferred and the fee has been paid.

Depositing shares

• 10 shares of BTC-TRADING-PT are issued for each share of LTC-GLOBAL. The minimum number of LTC-GLOBAL shares is 10.
• There is a redemption fee of 1% based on the value of the shares deposited, payable in BTC or LTC to John Galt Asset Management.
• The BTC-TRADING-PT shares are transferred to the depositor as soon as the LTC-GLOBAL shares have been transferred and the fee has been paid. The depositor must have an account on the BTC-TC exchange in order to receive the shares.

Current Financial Information

Detailed information about the financial state of the fund, including a description of the assets, the number of shares issued, and the NAV, can be found in this spreadsheet:

https://docs.google.com/spreadsheet/ccc?key=0Am3m7aRNI-JbdElvTTc5Vmg3bUh2WDAwc2tsLU1JcEE

The fund's assets can be viewed on this page: https://litecoinglobal.com/portfolio/gbw4

If the fund closes

John Galt reserves the right to close the fund for any reason after giving 30 days notice. The management fee is waived during this period. All assets of the fund, including undistributed dividends, will be distributed to shareholders after the end of the 30 day period.

Shareholders can choose how to receive the distribution:
1. Multiples of 10 shares of the fund can be exchanged for the shares of LTC-GLOBAL that they represent. There is no minimum and no fee in this case.
2. All remaining shares of LTC-GLOBAL will be sold and the proceeds will be distributed to the remaining fund shares as a final dividend.

Acting as a Market Maker

John Galt intends to act as a market maker in order to improve liquidity by posting buy and sell orders simultaneously. In general, the bids and asks will be priced at the LTC-GLOBAL highest bid and lowest ask prices (approximately); however, the prices will be no closer than +/-5% of their average in order to reduce price and currency fluctuation risk and to avoid disrupting normal trading.