Topic: [OFFICIAL]Bitfinex.com first Bitcoin P2P lending platform for leverage trading - page 326. (Read 723990 times)

People rarely change defaults... how about as a first step making the default a pre-filled limit order routed only to Bitfinex? It would be nice to set the "only to Bitfinex" default to something else in the account settings of course. Not claiming a BTC for that one, but if you think people just quickly clicking buttons are a problem, do something about it!

Ok, your idea is good, much better than any others I've heard so far.
Wonderful from a theoretical point of view, a nightmare from a logistic point of view.

Here are the problems I see:

1) A lenders decides to stop lending and to move his money on Bitstamp.
This will take at least 2 working days (banks are slow).
It normally takes 1 hour for the money to disappear into bitcoin.
How much would you have to charge a customer that decides to use this reserve ( you have to come up with a number that makes sense compared to what a lender actually gets in 2 days of interests in this moment) ?
2) Once money arrive on the 2nd Bitstamp account a lender might decide he wants to repatriate his money and this will originate extra bank fees ( Bitfinex do charge a percentage on outgoing wires) and extra working time.
3) The total amount lent is around 3 millions in this moment and we transfer about the same amount every day on Bitstamp.
Even if a good part of the lenders would stop lending ( causing a big raise in interest rate and hurting borrowers in a bad way) it would be like a drop in the ocean, 300k wont last more than 10 minutes or so.

I could go on for another 3 points at least, but I think I already convinced you as you appear to be a quite smart person to me.
Believe me, we don't sleep at night to solve problems like this one.
And apart for me, all the other players in the team are quite intelligent and skilled in finding solutions.
In this moment people keep 90% in coins and 10% in liquidity and this causes problems.
Not much we can do about it.
We receive money every day.
We transfer money every day.
After a while they are gone into BTC and LTC.

In my opinion the only possible solution is the following:

Every customer, before entering an order must consider to tick the option " Bitfinex only".
He will save money on commission ( we cost one third of Bitstamp).
He will make our order book thicker.
He won't lose any money in slippage if he puts up a limit order (it might sound imbecile to some, but most people do place market orders, including the ones that think it's imbecile).

It's not much, but it's all I have to say.

If you think I'm right, please donate your cent to the homeless at Shawn's Outpost and have a great day, otherwise just have a good day.



Giancarlo
Bitfinex Team

I like my solution better, this would need each account to be linked to each persons personal bitstamp account, and not help out everyone else when there is a problem.  Saying that it SHOULD still happen as it's a great safety net and bonus to the people that take the time to have their own bitstamp emergency fund.

Share the 1 BTC?

Allow deposits of funds (especially USD) directly on Bitstamp instead of having us wire them to you. If Bitstamp doesn't allow that directly (haven't checked in a while if I can transfer funds to another Bitstamp account on their platform), go via Ripple for example - it works there for sure and you have an account on there already for months anyways. Time to use it.
If KYC etc. is the problem, just don't credit the balance until the user is verified or only offer this option to verified users. You can also bounce the payment on Ripple...

1 BTC to: 1riwQCsBudrKu44hF8yvQfg2aeMHW1DvC

I don't want to speak for the bitfinex team, but that is not the issue at all.  Please donate one btc cent: 1J14J1ZR11CsFKXyhneXpfVBp34ovQuh7C

If the issue is counter party risk then I would suggest opening a bank account in the same bank as bitstamp and use in-bank (I'm not sure about the proper expression in English) transfers - they're instant. You can than keep bigger amount in your own bank account.

I'll go first.  Have a second account at bitstamp that is integrated into bitfinex the same, but only goes live when funds are dry on the main account.

Give lenders the option to not only lend out USD as normal, but they could have it sent to bitfinex instead.  The second account at bitfinex would have higher trading fees and would then compensate the lenders.  Any one buying BTC would be notified that there is no BTC in the main account and the fees are X% higher.  The order book would automatically integrate the higher fees when deciding whether to use the bitstamp exchange or the internal exchange.

When the purchase is made the USD would leave the borrowers account and go equally back to each lender in proportion to how much USD is in the second bitfinex account.  So let's say there was $10,000 in there from lenders.  Someone buys $5,000 +fees.  The funds would then go $0.50 on the dollar to each of the bitstamp lenders PLUS their share of the higher fees.

The higher fee will have to be calculated to be worthwhile instead of lending out the USD, but that will just take some math.

Then the lenders could choose to do what they want with the USD, either include it in the next batch you send over to the second bitstamp account, lend it out, etc...

The Great Bitfinex Game!

1) Bitfinex will pay a bounty of 1 BTC for anybody that comes out with an idea that actually makes sense in order to improve our liquidity on Bitstamp
2) Anybody that will post an idea that is flawed, doesn't make sense, will never work for the reasons I will be honored to explain or just say things like " why don't you transfer to Bitstamp more money if 2 millions a day is not enough" will have to pay 1 BTC cent to the address:


All the coins collected by this game will be donated to www.seansoutpost.com , a homeless outreach in Florida accepting bitcoins.



Giancarlo
Bitfinex Team
 

and when exactly are those hours? When the Asians are trading? or when the Europeans are
waking up, or when the USA folks are enjoying their evening?? 

Maybe if it is a big risk for bitfinex, maybe you could let lenders decide?

got some spare change mate?



Giancarlo
Bitfinex Team

and USD are gone ...
Why not put a lot more than 2 millions ? 

This is madness. It takes hours for lending/borrowing to actually happen!
Offers show up quick though. When is this going to work again?

Ente

They should disable the trading function during the maintenance.

Guys, don't use market orders! Check the rates on at least two external charts (bitcoincharts, bitcoinaverage, bitcoinwisdom, bitcoinity) and assume the rate is what most charts agree to. Then use a limit order slightly above what you expect to be the rate you exchange for. If it doesn't go through (completely), cancel it and check what side went wrong.
These days are much more of a mess than in April. Now we have non-responding exchanges, offline APIs, lag everywhere, disconnected connections, empty wallets and contradicting stuff everywhere. The old good weather tactics won't cut it here!

edit: downtimes. I forgot random downtimes.

Ente

Why the hell do you trade on a platform that is in the process of being upgraded and might go down for maintenance any second?!

All the prices are wrong today, I lost again some money on my last trade because of fantasy numbers on the order books...

Transferred all bitcoins out and will never return to a truly amateurish platform !

You should be ashamed to allow people to loose money because of your numerous trade killing bugs...

"wrong price" makes limit orders unusable.

web bid/ask are stuck.  "wrong price".

Ok.... but it won't even let me upload that... and I made the file small so it doesnt use up your crappy bandwidth