Its about "dumping" DEVC on the market and the effect that has on value.
Im not a money market expert but from what I understand, DVC needs to maintain a certain value if it is going to be an effective way to pay developers/creators. Its a given that writers on devtome are going to cash out their DVC..peeps gotta eat, but what if we could somehoe slow the impact on the market?
So, my idea is a fund for developers/creators to be able to exchange their DVC for cash and purchase DVC for cash.
DVC purchased can be held and released to the market in a controlled way over the month (when prices are up?) and cash purchased with DVC could be used to purchase more DVC, creating a fund to pay for the costs of running the fund and (as it grew enough) to fund bounties for future works.
This would require an initial pool of DVC and cash (investors?) and I dont know how to make that profitable for them yet, but Im still thinking The fact that this could stabilise the price of DVC might be enough? not sure.
I am pretty sure Ive found the software to make this work but I don't have the knowledge to get this whole thing right and I dont even know if this is something the community wants or would support...its just an idea...still thinking, but input would be gratefully received.
But developers get paid in shares not dvc, the shares result in dvc which is volatile based on the number of people submitting that round... so there is never any stability in terms of fiat amounts people recieve, but there is stability in terms of fiat if devcoin rises to account for the higher number of shares... that is something that we may see going forward if we increase the number of writers/developers with quality content/applications. If we focus on quality, we will see good results. I think once we get around to invoices/contracts etc it is prudent that static value is considered, maybe held as collateral through the mechanism you describe so that people aren't left hanging when there is a crash for example.... its fair to both parties... if price rises one side benefits more than others, same as crashing. Essentially like commodity producers hedging with contracts on the futures exchange.