Topic: (FEEDBACK WANTED) 100% Insured PPT bond (GLBSE) - page 3. (Read 4556 times)
The bond would have a face value of 1 BTC.
Assuming Pirate has not defaulted I will buy back the bonds at 1 BTC.
Assuming Pirate has defaulted I will buy back the bonds at 1 BTC.
The fee would be 1.5% interest per week of the face so .055 BTC a week would be paid out.
75% of the insurance money would be either at a public BTC address or in escrow at a public bitcoin address.
The point of this is to know that the "insurance money" is not being invested in pirate or being loaned out to people who lend to pirate or in GLBSE assets that might be helped out by pirate.
If I have 750 BTC in the insurance address then I would only be able to sell 1000 bonds.
If the default with pirate happens 100% will be paid back. Clearly you will have to trust I can come up with the other 25% but at least you know most of the BTC exists in a very very safe form.
I would sell this around 1.5 to 1.6 BTC each. That is less than what YARR is going for. The difference will be that you can see 75% of the insurance money in the block chain and know it will get distributed.
All idea welcome.
Thanks.
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