How about a Stable Bitcoin on Sidechain?

monsterer2

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Let's just pretend this works (not possible though to pretend about it) and a stability is achieved, it won't be called bitcoin or have bitcoin attached to it. What gives bitcoin the edge and excitement among hodlers and traders is the volatility it has. Perhaps OP you are desiring a coin in the mould of dogecoin and ripple, right? After all they are used for payment too.

He's talking about making a side chain token, not replacing bitcoin with it. See tether.

coinSpecter32

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OP are you saying to make another fork on bitcoin? If it is, no I'll pass on it. I had enough of those forks turned into just another coin in the market.

junoreactor

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Let's just pretend this works (not possible though to pretend about it) and a stability is achieved, it won't be called bitcoin or have bitcoin attached to it. What gives bitcoin the edge and excitement among hodlers and traders is the volatility it has.

So here we go, bitcoin is not a currency.
Sad to read this, but well what you say is true and it is the reality of today. When I read the original paper though... would love to be inside the bitcoin community just for 24 hours to know what's the real mindset now and what they plan to do in the future Wink

monsterer2

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Quote from: Ucy on February 05, 2018, 01:03:56 PM

Sorry guys for late reply.
I was thinking that this would work without depending on fiat like Tether does.
Most fiat have no intrinsic value by the way. I see no reason why Bitcoin should depend on any. Better to let the experts create a Stable Bitcoin that is very Decentralized than copying a system created by politicians?

Stable compared to what? You are surely referring to fiat currencies, and in order to achieve that you need, at the very least, some reference for the value of, say USD which has to come from somewhere.

After that you need a way of achieving a nash-equilibrium whereby undervaluation rewards buyers and overvaluation rewards sellers. Markets are a perfectly suitable way to achieve this.

Ucy

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Compare rates on different exchanges & swap.

Sorry guys for late reply.
I was thinking that this would work without depending on fiat like Tether does.
Most fiat have no intrinsic value by the way. I see no reason why Bitcoin should depend on any. Better to let the experts create a Stable Bitcoin that is very Decentralized than copying a system created by politicians?

monsterer2

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As far as i know, the benefits you mentioned can't be achieved with Sidechain and won't work at all since bitcoin is decentralized. I think USDT/tether have some similarity with "Stable Bitcoin" that you mentioned.

It can be done, it's just hard.

You need a decentralised version of bitmex's BTC/USD market running on a side chain, then you can sell shorts as USD pegged tokens.

junoreactor

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In the scenario you describe, bitcoin will be useless. We can easily predict that banks would rather launch their own digital money and make their customers use this so-called digital money instead of bitcoin.
Looks like you are trying to argue that it would be better if bitcoin becomes a real currency, with this I can see your point but bitcoin won't be that coin. bitcoin will remain highly speculative and used to store value (which was not the original purpose but that's a different topic).

bluefirecorp_

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Dumb idea. OP doesn't understand Bitcoin.

The point is decentralized; not centralized or tied to an authority.

vintages

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Forgive me if I may sound lame but IMO I think bitcoin should be left the way it is. Bitcoin is Bitcoin, there shouldn't be such thing as 'Stable bitcoin'. What makes it unique is because it is not been pegged as any form of fiat currency.

You should know that the instant this happens, we will start seeing some form of politics play and so many rules and regulations that will come with it. Most people, including me, are into bitcoin because we want something different. Something different from our country currency. A currency whereby we will be able to make a decision too.

Okay, let's say it becomes possible, which country currency symbol are we to give it to? Japan? UK? USA? This won't work. Its just like putting countries into Conflict and dispute, because I am quite sure many countries will prefer it to be pegged to their currency. There are just so many reasons why it won't work.

Moreover, if this ever happens; I will sell off all my bitcoin to fiats, no more hodling for me.

Ucy

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Wondering if a Stable Bitcoin is possible on Sidechain? a Bitcoin that could be pegged to Euro or Yen?
I think we need this... It will help reduce the amount of people fleeing Bitcoin in response to negative news.

Some other benefits of a Stable Bitcoin:

* Will be used mostly in e-commerce - for buying and selling.

* Will be pegged to a major fiat currency to guarantee stability.

* Will be used by traders in times of dangerous market volatility.

* The demand for Stable Bitcoin should affect the price of Main Bitcoin but not the other way around.

* And we will be having Bitcoin, Lightening Network and Stable Bitcoin working together for Bitcoin Greatness

Topic: How about a Stable Bitcoin on Sidechain? (Read 235 times)