Sorry to post in BTCD thread but wanted the communities ideas...wth is going on with btsx? Is it following BTCD trend...haha? Is there a future decent profit point to buy btsx.
btw - looks like BTCD correction from 0.01 happening. Hoping to see 0.008 again
btsx is Chinese momentum guys
I have posted concerns about btsx experiment. I predicted it will be wildly successful. I even predicted it would double from $50 mil (in NXT forum on Friday), but I also predict when it gets too successful it is a random event away from cascading forced liquidations to lose 90%, very quickly.
If you can stare at prices all day long and have good nerves and intuition you can ride this till it peaks, but only use play money, you can just as easily get crushed in the stampede out the exits. btsx uses a holographic peg. It looks real but nothing actually supports it other than the rational behavior of the market participants (this is using their words)
So, as soon as the market becomes irrational, the peg doesnt hold, liquidations happen, biggest panic selling in crypto. The only question is when. It could last for years, or days, but probably somewhere in between.
The key is when the selling pressure would exhaust the btsx company;s IPO funds. Then there is literally nothing to stop the fall to 10% of ATH. I imagine at that price the btsx company repurchases, issues an apology and promises to never let such a disaster happen, and making quite a lot of money in the meantime. I think investing in the thing that does this buying selling could be pretty good, but they have set things up so complicated, I cant figure out what entity that it. It might only be privately available
