Topic: P - page 29. (Read 78397 times)

I did try to sell back the bonds right at the next div payments, but it was not possible and Goat asked me to wait until he's back from the mountain climbing. So as far as I understand the English expression of being "in a big hurry", I would actually expect more objective quantities from people who give me lectures on economic. Even if these lessons were for free

Keep in mind that investing in BS&T gives the big incentive of ~1%/day, but it also involves a proportional risk.
In such case every day of holding the bond does make a difference for a person who has decided to get out.

It does make me feel uncomfortable that I need to wait, I'm not happy about it, but (unlike others) I am not going to panic and sell them <1.0, because I still trust in BS&T and I also trust that Goat will fulfill all his business promises, right after dealing with his leisure. I mean, I might be an ass for many people on the forum, but I am not going to ruin a person's vacations, just because I decided to withdraw a couple of hundreds BTC from his business

It doesn't apply here fully because this bond has a guaranteed buy back clause for 1 BTC as long as pirate himself does not default.

If someone sells below 1BTC instead of arranging for buy back with goat he is either stupid or lazy or in a big hurry. Your point is only correct for bonds without this buy back guarantee, or in the complete default clause, but not for free market prices <1BTC.

Edit: Moreover, if goat would maintain a price wall to fix the price at >=1BTC, this would *not* change the real risk (of complete default), just fool those over reliant on technical analysis. A danger which should have been mentioned in basic class too.

That is not really correct. A basic class in finance will teach you that a bond's price reflects its yield and risk relative to other bonds. If a bond's price drops, that means that its (risk-adjusted) return has fallen relative to other bonds. If you expect it to continue falling, then you might do better by switching to a different bond.

Unless you intend to hold a bond forever, its price is an important factor. For example, if you bought a bond at 1.02 and it paid a 0.068 dividend, and then you sold it at 1.00, your return is really only 0.48 (0.068 - 0.02). Perhaps it doesn't apply here, but a price of 0.98 might give you a good yield, though the overall return will suffer if the price of the bond continues to fall.

The first person I know was friedcat who decided to backup the price of his brilliant MOORE bonds by placing an infinite bid at 0.5 BTC.
He did it even though he had never made a promise of any buy back, and moreover, he had been selling these bonds in bulk at 0.45 BTC.

So for me friedcat is a real hero who actually cares about his brand.
And no, I don't know friedcat in person (just from the forum), but since you've touched this topic, I had to say that he is the one who deserves the tribute

I think people are just really skittish about the transition occurring at BS&T, plus BTCUSD climbing.

And suddenly all the sub 1.00 BTC asks vanish...

Hey, I am not the one who jumps into a middle of other people's conversation to educate them on what a BOND is.
Weather you have US education, or not - forgive me the mistake, but I assure you that you sound just like the "experts" on my TV, and they are all so proud of their Harvard roots or so

If you don't want "personal attack", then just don't provoke them - you are very welcome for the lesson

That's the last time I answer to ranting and personal attacks based on pure guess work. I am not from the US. And yes there's a limit where the utility value per share goes down the more you have, which means even rational men don't invest all their wealth into the one vehicle with the biggest percieved yield/risk.

My formal eduction is in information theory. Economics is a hobby. Feel free to ask questions, but vent your anger about a botched trade elsewhere, we can't help you with your personal problems.

Really - is there such thing as limit of willingness of putting things into awesome BOND baskets?
That sounds like some really tough, high level economics.
Now I understand why studding in US is so expensive - your science and economics are just so much more advanced
And I got it for free - really, thank you!!

I got some, but there's a limit to my funds and willingness to put everything in one basket.

And I am happy to have been of assistance in your education.

I do understand what I have to understand, so thanks for a free lecture of economy, but it's really pretty much worthless for me.

If this is so "awesome" for you then I can only wonder why you haven't bought the hew hundreds that are still for sale at <1.0?

You have to understand this is a BOND, not a stock commodity. Stop fussing over the free market price, especially when a fixed buy back at 1.0 is guaranteed. A bond is expected to earn you money via dividends (coupons), not growth of principal worth.

In fact a low price is awesome. 0.068BTC per share of 0.98 is much better yield than of 1.02.

Has this been revoked?

In theory - yes, it is awesome for ppl who would want to buy in at this moment...
In practice - if it was so awesome, why ppl haven't been buying in?

Obviously the market for these specific bonds is saturated. No growing lasts forever and during the next few weeks I would rather expect the number of bonds to go down, not up anymore like for many of the past weeks.
I don't know how much bitcoins Goat has in BS&T on top of the P-bonds' volume, he probably wouldn't tell, it's non of our business, whatever, but... AFAIK Pirate pays 7% only for 25k+ accounts.
So it is important for the business to keep the bonds volume high - which is simply not possible when the market price is a couple of percent below the price of the brand new bonds that should be entering the market and even below the buy-back price.

Moreover, with all the respect @Goat, but making statements like "If you don't trust me then please start selling my stuff" is (phrasing it gently) not the best approach to bring the prices back to the normal levels, where they were ~2 weeks ago. You should know that people who still have some bitcoins to invest don't fully trust anyone and it is not about you, but just a general rule, so don't take it so personal, man. We are making business here and not looking for spouses.

Anyway, at the moment I am a guy who owns few hundreds of recently underpriced TYGRR.BOND-P bonds.. and this is not awesome for me, since I would rather prefer to have an option of selling them at a price similar to the one I paid - which is between 1.02 and 1.088, depending on a week day.

So in the end, when you consider more variables of the equation, "awesome" becomes a pretty relative term.

Why? Isn't it awesome to buy this bond for less than 1 btc?

Yeah, there's really no point in buying them for 1.02 from Goat when you can just buy them for less than 1.00 on the free market.

I would absolutely love to sell my CPA holding for 0.85

Really?
Good to know.
In such case it makes it twice cheaper.

It's not that I am insisting on any solution - just writing down my thoughts, hoping that nobody minds.

BTC transfers are free on GLBSE.

Not really.
Because then the swap costs us 0.4% while he could still screw me over without screwing over the Russian mafia
I tell you: OTC rating is the best way to go - Pirate's reputation is based on OTC rating and this specific Goat's business is based on Pirate's business.