Topic: DNotes 2.0 - Staking, CRISP Interest, DNotes Pay - page 332. (Read 148866 times)

So then it would seem... if/when a crypto currency begins trading with USD, this constitutes a positive growth step? I would think you might even say it more "legitimizes" the currency? 

Yeah,  I feel like I need to apologize for that. Grassley represents my state, and is definitely past his sell-by date. He's like far too many of our representatives these days: operating with an understanding of the world that is all but obsolete, and way over his head when it comes to grappling with issues involving new technologies and other innovations. I like the guy personally and think that he's a decent human being, but he's simply operating out of his league when it comes to these issues.

Not that he's alone, mind you. The capital is filled with people who are woefully unqualified to deal with this rapidly-changing world.

New Bill Would Require Declaration of Digital Currency Holdings when Entering U.S.

https://dcebrief.com/new-bill-would-require-declaration-of-digital-currency-holdings-when-entering-u-s/

I'm curious... wouldn't it be better to tie the NOTE to $USD (at PLNX it would be the $USDT)? Given the underlying goal of creating a stable currency, wouldn't that be a priority? If so, what's required to make that happen at the exchange level?

When in doubt if DNotes is the right choice for your situation do a deep research on us, especially on the DNotes' difference and decide for yourself. We have provided a massive amount of information about DNotes and our commitment to making DNotes a purposeful digital currency for the benefits of everyone. Start from page one of this forum and follow every link, as you wish of course. We are re-searchable and verifiable.

Thanks Tim, and a little further on the new CRISP program, as we have been getting a few questions.

The new CRISP program will require nothing more than having your coins in your wallet for more than 30 days. That could be any wallet, including a DNotesVault wallet will pay interest. It may be possible to receive this reward on exchanges if they are able to participate in the program, the logistics of this may be challenging and it is a new to the industry style of reward.

Let's break down the 2% annualized target. It will be distributed monthly, so the interest will compound. It is a target interest based on a monthly static (but increasing) distribution. Which means if less people participate everyone who does participate will get more.

You do not have to do anything to receive this reward, no action is required on the user end, and the wallet doesn't need to be online. 

Here is an example:
If there are 120,000,000 DNotes total and the CRISP 30 day reward is 200,000. If everyone kept their coins in their wallet for more than 30 days, then everyone would get .1666... percent that month. But let's say that 20,000,000 of all DNotes were moved around within the last 30 days. That leaves 100,000,000 of the DNotes to split against the CRISP reward. Then you would get .2 percent that month.

Hey Alfaalfa!

It's great to see you commenting here. We also share your pain regarding the activity at the exchanges, we are all in this together. However, we are very confident in the future value of Note. We have had a very consistent message for some time that we are doing the right things to make sure we get the result we need. I will elaborate on a few things that I hope will alleviate some of your concerns.

Firstly, we have to accept that crypto markets are volatile at the moment. One of the main things we identified early on was that stability of the currency was paramount - the market as a whole is immature, and it can not afford for people to come in and get hurt, which results in them not coming back!!! We take a different approach. We tend to speak with a more conservative tone, trying to avoid empty speculative draws of interest until we have the 'goods' ready to go (this is prudential to avoid crashes in price as much as possible). We will have those goods ready to go in the near future - it is not too much longer for DNotes 2.0. I will elaborate further.


* Bitcoin prices have been hammered in the last few days - there are a variety of reasons for this. Coinbase infrastructural immaturity is one. This is an issue that DNotes Global will build and improve upon in the coming years as part of our core strategic components. Another component to this may have been the Federal Reserve interest rate announcements this week, which will often bring traders back into forex markets, and they remove their crypto liquidity to do so. I could reasonably expect traders of this type to move back into crypto as they close their forex positions (this is what I personally would do, and HAVE done in the past). I can not accurately predict the price movements of Bitcoin, but I can discuss the rationale and game theory that particular groups of actors may act by.

* The recent bill brought before the senate will have had a marked effect on the BTC price, and of course holders of other coins may have sold their alt-positions into BTC in order to move out into other 'less-risky' asset classes. One benefit of this however in the shorter term, is those funds will have potentially moved into the hands of those who are less likely to sell in the future (they have a higher propensity for risk). DNotes future is longer-term, and certain types of investors are more important to us than others - i.e. those who are happy to have their skin in the game.

* DNotes 2.0 will have marked difference in the availability of coins to be sold at market. Currently we are using Proof of Work, which as you may know means all the new coin distribution goes to the miners. Currently miners will put their ASIC or computers at the most profitable coin to mine at any time, and often they send their coins straight to the exchanges to be sold so they can pay for the expensive hardware they have purchased to mine. This is indicative of newly minted coins going into the hands of a group of actors that likely have much less of an interest in the long-term prospects of the coin. This is one reason we opted to move to Proof of Stake. When the DNotes 2.0 platform rolls out soon, the Proof of Stake component will mean that newly minted currency units will be paid to current holders of DNotes (2-4% depending on if you stake and use the CRISP, or just one of them), which means that the people who actually care about the future of the coin are awarded the new supply in the form of the mining reward, which is kind of like 'interest' in an illustrative sense. This move will negate the current (anywhere up to) ~36000 DNotes being sent to the markets every day by miners for sale, and give it in interest to current stakeholders. That means a massive reduction in sell side exchange activity (or ~1 million units per month reduction). I also estimate that this ~36000 newly minted supply daily of DNotes will reduce to ~6000 after the change, a not-so-insignificant differential in potential new supply that can be sold = less inflation and fewer new units available for sale.

* The fact that Proof-of-Stake awards newly minted coins to holders of the currency, the people who care about the currencies long-term future (and are less likely to sell), become the ones to get the new reward. Not only that, but being paid an effective 'interest' / staking reward incentivizes people to acquire DNotes, which means a larger demand to purchase them. Compounding interest on balances held can have a very significant effect on the well-being of our stakeholders. We are primarily volunteer development employees of our stakeholders, and not 'flaky' miners

In short, while there is nothing that can be done regarding the Bitcoin markets at our end, improving the way our economy rewards its participants has been at the forefront of our mind.  In the coming couple of months we foresee a drying up of coins available for sale as coins shift from short-term owners (miners) to long term holders / investors, and the scale skewed towards holding more DNotes as holders will make profit just for holding DNotes themselves. This equates to more people buying, and much lower incentive to sell. We believe in free-markets, and let the cards fall as they may, however if true value is built into a network, this value will be reflected in the value of a project over time. This value is what we are focusing on building for our community, and as a result we know the price will take care of itself (and we all know how quickly it CAN happen).

I hope this may give you some peace of mind, as it does us. Crypto markets can be tough, but over the long-term - should you invest with the right people (which I believe you most definitely have), then I think it can work out very well for everybody involved.

*** Side note, the new CRISP program that will pay 2% annualized interest from the mining reward (on all balances held there for 30 days or more to encourage saving) will become the replacement for some of the current CRISP programs (including retirement).

Good point here. I have invested a lot in DNotes at 0.25$/NOTE. I can't even sleep with the thought that it's already at 0.15$ level. Also, if I understand this correct, in a 5 year retirement program, will I get a bonus besides the monthly interest? And if I need the money let's stay 8 months from now, will I get any interest?

The Flippening: Are DNotes Ready?

I've been reading the CoinDesk Q1 Report and the related article on 'The Flippening', the point where Bitcoin is superseded by another cryptocurrency.
http://www.coindesk.com/flippening-will-ether-pass-bitcoin-will-mean/

A number of qualities come together to indicate dominance, such as: Market capitalization, transactions(24H), trading volume(24H), mining reward(24H), nodes, and Google trends. At the moment, Ethereum is beating Bitcoin in all categories but capitalization and trends. This combined with ambivalent attitudes towards Bitcoin's future functionality make The Flippening not only feasible, but approaching fast.

Of course the cryptocurrency to bump Bitcoin out of the top spot will gain a chunk of Bitcoin's market share, as people wake up to the fact that substance and technical agility are worth more than having been the first to market. But along with this shift will come a spike in price that many will recognize as a bubble.

So it is reasonable to assume that during The Flippening, the price of BTC will drop dramatically, causing more of an exodus to other cryptocurrencies which are not spiking or in a bubble. But there will also be a huge sense of urgency because as BTC drops, they'll want to get out fast and shift their value to other alt-coin. With this transition, worthy options will also be rising quickly in price. This will mean that a decision will have to be made really quickly to avoid transition loss.

For DNotes to increase its market share during this period it will need to have a dedicated portal aimed at people who really know the industry. This portal should have everything needed to make the decision and act, at their fingertips with no distractions. This would include real-time price, transaction fee, transaction time. As well as links to recommended exchanges and their stats.

Bitcoin has brought cryptocurrency into the spotlight of mainstream news, and I'm sure The Flippening will be a big story. Having a solid, comprehensive, and well explained press release to offer information hungry outlets during this rush period will also be important.

So of course I'm wondering how prepared DNotes are for this event.

Frankly we have been so busy, we did not keep up with the news. But what Sen. Chuck Grassley is proposing is quite alarming. It almost seems like every time our industry gained some ground there is a big push back. Read on and decide for yourself. 

We saw something like this coming and decided against launching a DNotes ICO because of our concern on possibility that SEC may consider the issuance of tokens as a sale of securities. We have also stayed away from anonymity and ‘zero knowledge” transaction”.  But this is beyond our worst-case scenario. Personally, I highly doubt that it will pass into law in its current form. Sadly, it shows great ignorance on that part of our law makers. We are seeing the greatest technology revolution since the internet and yet some idiots are all-out squander it. This will not make America great again!

Proposed Legislation Would Combat Terrorist Financing, Money Laundering

By John Kelly, Thad McBride, Eli Richardson & Cheryl Palmeri on June 8, 2017

POSTED IN INTERNATIONAL TRADE, SANCTIONS (OFAC)
•   Proposed legislation targets current gaps in U.S. financial crime law and enforcement
•   Bi-partisan Senate legislation would likely expand compliance obligations for banks and others in financial services industry
•   Proposed legislation is in line with U.S. and international efforts to fight terrorism and trafficking through economic sanctions and anti-money laundering (AML) rules
On May 25, 2017, Sen. Chuck Grassley (R-IA) introduced the “Combating Money Laundering, Terrorist Financing, and Counterfeiting Act of 2017” (the “Act”).  The full text of the bill is available here.
Read More: http://www.bassberrygovcontrade.com/2017/06/proposed-legislation-would-combat-terrorist-financing-money-laundering/

......................................

ZeroHedge made the negative implications to our industry a little to understand:

You Won't Believe This Stupid New Law Against Cash And Bitcoin

This one is almost too ridiculous to believe.
Recently a new bill was introduced on the floor of the US Senate entitled, pleasantly,
You can probably already guess its contents.
Cash is evil.
 
Bitcoin is evil.
 
Now they’ve gone so far to include prepaid mobile phones, retail gift vouchers, or even electronic coupons. Evil, evil, and evil.
These people are certifiably insane.
Among the bill’s sweeping provisions, the government aims to greatly extend its authority to seize your assets through “Civil Asset Forfeiture”.
Civil Asset Forfeiture rules allow the government to take whatever they want from you, without a trial or any due process.
This new bill adds a laundry list of offenses for which they can legally seize your assets… all of which pertain to money laundering and other financial crimes.
Here’s the thing, though: they’ve also vastly expanded on the definition of such ‘financial crimes’, including failure to fill out a form if you happen to be transporting more than $10,000 worth of ‘monetary instruments’.

Have too much cash? You’d better tell the government.
If not, they’re authorizing themselves in this bill to seize not just the money you didn’t report, but ALL of your assets and bank accounts.
They even go so far as to specifically name “safety deposit boxes” among the various assets that they can seize if you don’t fill out the form.
(Yet another reason to consider storing cash, gold, and silver in an overseas safety deposit box.)
This is unbelievable on so many levels.

It’s crazy to begin with that these people are so consumed by the fact that someone has $10,000 in cash.
But it’s even crazier that they’re threatening to take EVERYTHING that you own merely for not filling out a piece of paper, without any due process whatsoever.
Oh, and on top of civil asset forfeiture penalties, there are also criminal penalties.

Right now according to current law they can imprison you for up to FIVE YEARS for not filling out the form. Five years.
But apparently that doesn’t go far enough to protect us against evil men in caves.

So this bill aims to double the criminal penalty to TEN years in prison.

And if that weren’t enough, this bill also gives them with new authority to engage in surveillance and wiretapping (including phone, email, etc.) if they have even a hint of suspicion that you might be transporting excess ‘monetary instruments’.

Usually wiretapping authority is reserved for major crimes like kidnapping, human trafficking, felony fraud, etc.
Now we can add cash to that list.

It’s not just government spy agencies to worry about, either.
Banks in the US are already unpaid government spies, required by law to fill out suspicious activity reports on their customers.
Then Congress started expanding those requirements to include other businesses and industries that might come into contact with cash.
Stock brokers. Casinos. Currency exchanges. Precious metals dealers. Pawnbrokers. The Post Office.

According to the law (section 5312 of US Code Title 31), those industries are also required to spy on their customers for the government.
But under this new bill, they want to forcibly recruit even more unpaid spies, including any business which issues or redeems ANYTHING that’s prepaid.
Prepaid credit cards. Prepaid phones. Prepaid retail gift cards. Prepaid coupons.

Read more: http://www.zerohedge.com/news/2017-06-14/you-wont-believe-stupid-new-law-against-cash-and-bitcoin

I very much appreciate the kind words - you are correct, I don't script my videos. That was probably my 4th or 5th proper attempt at a run-through. I restart if I digress too far (because of the unstructured nature of what I'm discussing).

I also agree that there is a large market in developing nations that makes sense given lower development overheads. The only thing that really matters in this industry is that you're positioned best at that time when the technology, regulatory environment, and consumer preparedness for rapid expansion exists.

The throne is seldom held for long, especially absent direction and prefect execution as is the case with Bitcoin.

Thanks NavySeals, please let us know if you have any questions. We appreciate them as it helps us identify areas that may need further clarification as well.

"...we love and appreciate compliments that are totally unsolicited."

That is what I was so impressed with! It was so refreshing to stumble across a post where someone is genuinely trying to help people, and be of service to a cryptocurrency, with nothing in it for them. Yes, the value of a cryptocurrency will rise if everyone put this much effort into it, but it will be quite some time before he gets rich off of 53 DNotes.

Thank you Gordon!

I will.

Great video TeeGee. It felt really natural and unscripted. I can see that it is a topic that you are interested in and really understand.

I wonder what the critical mass for a cryptocurrency to be used in daily trade is. I suppose it would have to be broken into two sections; sellers, and buyers. But my uneducated guess would be about 35% of shop owners and 15% of customers might do it.

In Cambodia the number of small business owners is mind-blowing. It feels like nearly every adult has some sort of gig running either on their own or with their family. So while it might take a while for the big companies to analyse the risks and opportunities, these one person operations could adopt very quickly. And if you're able to please 15% more of your customer base by accepting cryptocurrency, and adopting the system is easy, safe, and free, it won't take much.

I understand what you mean when saying that the development has to come from the developed countries with the budget to get it done. But I really believe the early implementation and roll-outs would work best and have the most positive impact in the developing nations. On top of this, the poorest people will be the earliest adopters and get the financial boost which follows a successful roll-out like this.

Another benefit of rolling out in a developing nation first is that the overheads are so much less. You could hire staff to set-up and train a set number of vendors a day, giving them a poster on completion for much less money. And they'd be much happier about getting that income. Then you're less likely to have regulation issues from the government to contend with as well.

Bitcoin gained a lot of advantages by being the first. But I'm certain the market advantage of being the first for day-to-day transactions will be much more important. It reminds me of the old days where shops would display signs saying, "We accept [brand] credit cards here." So how long until the "We accept DNotes here" posters get rolled out?

Friends, support the Dnotes in voting

https://bitcointalksearch.org/topic/m.19548456

I agree wholeheartedly that they didn't cause it, and hope that the post didn't suggest otherwise. I also agree that they have some clear scaling issues that need to be resolved. It wouldn't hurt for some of these exchanges to beef up their support capabilities as well - but they're still fairly young.

Sometimes it's hard to get kids to listen...

Australian Politician Questions Bitcoin in Remarks About Terrorism and Encryption

https://dcebrief.com/australian-politician-questions-bitcoin-in-remarks-about-terrorism-and-encryption/

"Hey I know him! We had noodles together the other day." That is cute. Say hi to Addy for us.

Tim is amazingly talented with a great breath of knowledge. He is the best story teller for DNotes. Now that we have a lot of projects solidly in place, we will start sharing them with the rest of the world.

DNotes has been taking a very different path since day one. Like us, we all make a copy of the "engine" and changed the name plate and call it ours. Creating DNotes, the digital currency, was the easiest part. Building the complete vehicle, roads, bridges, services stations, repair shops, dealership, and everything else are significantly more challenging that few are prepared to undertake. DNotes is about building a complete system best positioned for mass acceptance of DNotes as a supplement or replacement to fiat currency - meeting the full functions of money.

Nice video! Addy walked in to say goodnight whilst I was watching this, and she goes "Hey I know him! We had noodles together the other day."