Topic: DNotes 2.0 - Staking, CRISP Interest, DNotes Pay - page 288. (Read 148866 times)

The Velocity of Currency
This article, published in a local Australian paper from a small community, introduced me to a new financial concept:
https://www.thechronicle.com.au/news/australias-100-notes-where-did-they-all-go/3227381/

It starts by showing data that proves while the use of hard cash in Australia is steadily dropping, the number of notes being minted is steadily growing. And it asks, then answers, the question, "Where is all the cash hiding?"

It's a well written article with a strong Australian tone, using things like "I reckon", so you might enjoy it despite me giving the following spoiler: More notes are required because the velocity of the currency is slowing down. My best definition of currency velocity would be, 'The average value of transaction made in hard cash per day, over the total amount of hard cash available.' I'm sure there are better definitions out there.

I'm interested to know what this thread's will informed readers think about how currency velocity, demand for tradeable currency, and cryptocurrency intersect.

Appreciate the support HORT!

Excellent. Thank you for the update. Take all the time you need.

Thank you TeeGee. "Quality should never be sacrificed for the sake of time -- it is one of the four pillars of any successful business, and any successful business needs to consistently score highly across all its capabilities, because any shortcoming can leave space to be beaten by a competitor." Well said.

I trust that when everything is said and done, it will put DNotes in a solid foundation to start a major awareness campaign.

Market Abuse Complaint Reportedly Filed Against JPMorgan Chase, CEO Dimon

https://dcebrief.com/market-abuse-complaint-reportedly-filed-against-jpmorgan-chase-ceo-dimon/

Thank you for updating the community Alan. It is much better that more time is taken to iron out all of the uncertainties and previous unknowns, than to rush a product to market. Quality should never be sacrificed for the sake of time -- it is one of the four pillars of any successful business, and any successful business needs to consistently score highly across all its capabilities, because any shortcoming can leave space to be beaten by a competitor.

Moving to GitHub is an excellent idea to allow people to view what has been going on, and even get started on peer-reviewing the codebase to suggest potential improvements or changes that may arise during the verification phase of testing. It will also reveal to the wider community the quality and diligence behind the project.

We are actively working on DNotes 2.0 and it is taking longer than we expected to complete. To ensure everyone can see the progress of DNotes 2.0 as work on it, we will be uploading the DNotes 2.0 source code to GitHub, and will be actively working on it online. It may take a few days before we can upload the initial code, as our lead programmer Ken for DNotes 2.0 is in the Florida area and experiencing internet problems.

In addition we will be releasing screen shots and/or partially functional wallets to review and comments. As soon as we are ready for live testing, we will upload the compiled wallet and invite everyone to work with us to test. We will also be running our internal and independent code testing in parallel with live testing to ensure the new release will be ready.

The launch of DNotes 2.0 has been delayed. The learning curve has been more demanding than anticipated and the amount of customized C# coding is also more than we anticipated. As much as I am always very conservative in estimating time-line and cost, I have been down this route before. Big complex projects like DNotes 2.0 development often ended up taking longer and costing more; sometime with more problems than expected. Fortunately, in our case, there are no major known problems.

A lot of that is because of the inherent challenges in dealing with the unknows. It is even more pronounced in our decentralized open source environment. There are heaps of contributions and work-around but very time consuming to sort through. It is not uncommon to end up with incomplete solutions, with the last most difficult 10% unfinished.

I anticipate that it will take a few more months and we will update our community on any significant developments. Meanwhile, our developer will be working with his team and create a git repository on GitHub.

DNotes 2.0 is a large-scale project creating a new coin to replace DNotes with a 1:1 coin swap. We are migrating from our current Proof of Work (POW) to Proof of Stake (POS).  This is a multi-year project leading to 100% conversion to C#, along with numerous applications to best support our projects as outlined on our road-map: https://bitcointalksearch.org/topic/dnotes-20-staking-crisp-interest-dnotes-pay-1924858

"It's like a new launderette opening in your area, and everybody in the area buys 5 million dollars worth of vouchers before it even opens."

That sounds crazy but not that far-out in the ICO market. The number one difference is that the "5 million dollars worth of vouchers" are instantly trade-able" - an equivalent of an instant exit strategy. One doesn't care how much it cost, but the hope that someone else pays a higher price for it.

Thanks MiningHabit! Now I know what I'm going to listen to as I go to sleep tonight. Working out the 'enterprise value' of an economic system is entirely different to working out the enterprise value of a business. While a business could be worth very little, many ICOs are worth in the tens of millions even though their business proposition is likely to have minimal impact. Essentially there are a hell of a lot of 'vouchers' to redeem at very small businesses out there. It's like a new launderette opening in your area, and everybody in the area buys 5 million dollars worth of vouchers before it even opens.

Great to see you, MiningHabit. That was an interesting interview. The Venture Capital (VC) industry is changing rapidly. They must adapt to changing realities or be at risk of vanishing altogether. I believe that there is plenty of money to fund the right business models.

There are no valuation models for our industry, at the moment. It is still at its infancy - experimental and unsettled. However, we do know that decentralized systems are leaderless and not controlled by a single individual or groups of individuals. As such, it lacks self-interest to promote and protect the coin in a long-term sustained way. Ownership is "at will" and can change over-night. There is little incentive to build and accumulate "intrinsic value".

At DNotes, we strongly believe that in order to gain global mass acceptance, something has to change. There must be the means to bridge the gap between the decentralized world with the centralized one. Hence, we created DNotes Global, Inc. Its mission is to bridge that gap, and protect and promote DNotes while creating intrinsic value. Perhaps in a few years, after things are more settled, we can create a viable valuation model for our industry. For now, enjoy the thrills of speculations and unpredictable values. Just be careful and not bet more than you can afford in the event of a total loss.

Great comments. We firmly believe that reasonable regulations that are not burdensome or stifle innovation are essential for digital currencies to gain mass acceptance. 

There are some good points here. I believe our industry should be promoting fair and reasonable regulation that does not inhibit the technology. It's easy to get confused when people talk about "regulating digital currency", I don't believe there is such a thing as regulating a decentralized digital currency itself, but the services provided that allow you to use them is where you need to focus.


In an opinion piece published by CNBC today, former CFTC commissioner Bart Chilton suggests that digital currency enthusiasts need to be more active in seeking regulation for their industry if they want Bitcoin to have the “bright” future that many of them envision. In the op-ed, Chilton says that there are two main reasons for the currency’s recurring problems in recent years.

His first observation is that “digital currencies like Bitcoin aren’t like stocks.” As Chilton notes, most of these cryptocurrencies have no company assets that give them intrinsic value. As a result, their value is determined solely by what buyers are willing to pay to take ownership of them.

The second reason is that they are “largely unregulated by governments. They lack the type of AML and KYC protections that banks are required to provide, and offer few customer safeguards to protect against exchange failure. On the regulatory front, there is no effective surveillance of trading, no authorized investigators, and no punitive legislation to ensure that “bad actors” are deterred from criminal activities. According to Chilton, “This all makes digital currencies exceedingly susceptible to fraud and manipulation. It's an open range for abuse.”

To remedy those apparent weaknesses, he suggests that digital currency enthusiasts shouldn’t wait for regulations to be imposed upon the industry. Instead, they should invite “appropriate regulatory oversight” and take the lead on its development.

That is likely sound advice, and it comes from a man who has spoken highly of digital currency and the blockchain in the recent past. In 2016, Chilton called for then-President Barack Obama to embrace Bitcoin and its technology to ensure that the US shared in its potential economic benefits. Moreover, Chilton seems to recognize that digitization of money is inevitable. The question is how quickly it occurs, and what form it ultimately takes.

Former US Regulator: Crypto Enthusiasts Should Take Lead on Regulation

https://dcebrief.com/former-us-regulator-crypto-industry-should-take-lead-on-regulation/

And proportional distribution absolutely fair for all.

https://dcebrief.com/what-does-chinas-crypto-future-look-like-post-ico-ban/

Hi all, looking forward to diving in and catching up on the last few pages of the thread.

Wanted to quickly drop by and leave this link: https://soundcloud.com/epicenterbitcoin/200-ciaran-oleary-blueyard-the-disruption-of-venture-capital

We've talked a lot about intrinsic value, and I'm intrigued by the Ciaran's suggestion that, in terms of a VC looking at investing in an asset...when it's in equity, the intrinsic value is your claim to the net present value of the the equity's discounted future cash flows. If it's in a token, the intrinsic value is the transaction volume itself.

“Q: You can think of valuing a company as the net present value of the future cash flows that the startup is going to produce. But my fear is with things like Filecoin, Bitcoin, and Ethereum there is no intrinsic valuation model. So yes these represent markets, I find it hard to assign a rational value to it.”
-A: “Irrationality exists in equity markets too (look at Tesla...clearly we are riding ahead of any reasonable discounted cash flow model)”
-A: “I think that what’s happening now is that this is all getting diluted by the storage of value aspect that is going on and is really, really hard to quantify. And so we just say hey this is valuable and we can transact in it. But there is a way to say, well look, what problem is this addressing, how important is this problem? Is this a 50 billion problem or a 500 million problem? And then the difference is, if you own tokens, instead of looking at the discounted cash flow, you are looking at the market transaction volume, essentially. And then potentially the additional value that the token creates. And so I do think there is something to be said for at least trying an analytical approach.”

Welcome to the DNotes forum ohlili! Thank you for your interest in DNotes.