Devcoin Auctions are the first real community inspired business that actively seeks devcoins, and create inputs to the devcoin price (
http://devcoinauctions.com). There are many more to come.
Yes, but shouldn't devcoin auctions be
devcoin only ?
That BTC and LTC are also allowed to purchase bids, doesn't really help devcoin, does it?
If it was devcoin only, then everybody would have to go to the exchanges and buy devcoin.
It's not really reassuring to say that all recieved BTC and LTC will be used to purchase devcoins. How do I know? Why trust anybody?
Why not circumvent BTC and LTC totally and go for devcoin only?
Then it would deserve the name devcoinauctions. Now not so much.
Not necessarily, for one if you are bidding on a devcoin funded auction, then btc/ltc is certainly welcome as it will be used to directly purchase devcoins on the market bidding up the price (think of the middlepool idea just applied in a different way).
Secondly, I am personally opening up business by investing my own resources.. so not only is this site going to offer devcoin auctions, but auctions I will be providing for btc/ltc... this opens doors to many more auction items as I don't have to wait for devcoins to be exchanged for bitcoins to buy items to auction off anymore... especially with thelow liquidity this means there would only be 1 or 2 auctions a month. Now I can offer the devcoin funded auctions (1 or 2 a month) and my own auctions which I accept bitcoin/litcoin bids only to add value to the site. For example look at the 5.4th miner.
http://devcoinauctions.com/blog/auction/sp30-yukon-august-batch-asic-miner-5-4ths/ there is no way that this would be possible if it were only devcoins used here. This vendor only accepts bitcoin, so I need to work in bitcoin... I have worked out a special deal with this vendor for this miner, but it is limited time only and if noone bids on it I will probably not relist it after next month.
For this reason for these types of auctions (most of them right now) I only accept bids from people who bought packages with bitcoins or litecoins and not devcoins for obvious economical reasons. Later when there is more liqudity then devcoins will become the predominant form of payment as it will be desired.
The auctions funded by devcoins will remain accepting devcoins/bitcoins/litecoins and any btc/ltc used to bid here will be converted to dvc and put into the community fund.