Topic: Wanted - Programmer for 2 new alt-coins (BOUNTY - 5oz of silver OR BTC) - page 2. (Read 3781 times)

You didn't look at the link I provided by the sound of it.

Also, you left out of your story the fact that anyone can at any time with almost trivial effort doublespend your coins because you do not have anywhere near even half of the Avalons that are in the field, nor thousands of GPUs.

A lot of the time miners have been looking at 5% to 10% increased earnings simply by merging in namecoin, devcoin and ixcoin, yet how many actually do so? A pathetically small fraction of them. Now look at how much money bitcoin mining brings in, and realise 5% to 10% of that will not be enough to get miners for your coin(s).

3600 bitcoins per day times $150 or so per bitcoin is about $540,000 per day. Even just one percent of that is $5400 per day, and only a 1% bonus for merged mining is way way too small to attract miners. 5% isn't enough even, and that would be $27000 per day.

You will have to pay miners a lot more than $27000 per day to get even a fraction of miners to mine your coins. Namecoin, Devcoin, plus Ixcoin between them have often offered miners 10% or more added income per day and that has not been enough to attract enough miners.

Blockchains are insanely expensive. SInce everyone has to trust you anyway it is absolutely insane to add $54000 or more PER DAY of overhead to your business just for the privilege of making your accounting vulnerable to attackers armed with ASICs and FPGAs and GPUs.

It is insane, you might as well just ship all the gold and silver you can find directly to Anon.

If you absolutely have to use a blockchain, research "coloured coins" or "colored coins".

-MarkM-

This is because most of the coins being merged mined are basically worthless.  I'll spell it out for you.

There is an enormous waiting list at MtGox, people waiting to get their dollars in and out of the exchange.  Let us suppose that SRC exists.

Mr. Silver trader visits me and trades me a 100oz silver bar for 100SRC, with which he may do what he likes.  What he likes to do is sell his SRC's to the general public for dollars.  So now Bitcoin-noob comes into his little shop and pays $25 per SRC.  He buys 4 of them.  Mr. Silver now has $100, with which he may buy more silver (just a little over 4 ounces at the current rate) and he's ready to make another deposit with me.  Now I'm holding 104.1oz of silver and Mr. Silver holds 100.1SRC.  Bitcoin-noob now goes to an exchange and trades his SRC for BTC.  When he's ready to cash out, he trades his BTC back to SRC and visits either me or Mr. Silver to get back to dollars.

It sounds convoluted, but it can be done basically anonymously in a matter of hours.

See how everyone is making out like bandits, especially when compared to what we do now?

Multiply this for large amounts of gold and silver and with trades happening all the time.  The transaction fees start to add up.

Even with half of transaction fees going to me for administrative costs, it should be clear that miners have every incentive to mine, especially as my reserve ramps up.

Have you actually examined how merged mining is actually working to secure chains though?

Even chains that are outright giving away (minting) coins to miners are mostly not getting mined, and every one of the many chains that proposed to pay miners only with transaction fees was forced to quit using blockchains at all because miners bsically just would not mine them.

Even making a Massively Merged Mining pool did not work to get miners, even though such a pool could necessarily pay more than any other pool could pay.

So basically your idea is screwed from the start. Take a look at how much the various currencies are worth that are listed at

http://galaxies.mygamesonline.org/digitalisassets.html

You can there see that even being worth an ounce of gold per coin still is not good enough to make it feasible to use a blockchain, because you just will not get enough miners.

First we need to build massive ASIC farms committed to massively merged mining, only then will it maybe start to look reasonable to use blockchains for currencies that do not let miners make up coins out of thin air.

-MarkM-

The idea is that they can be merge mined with Bitcoin.  Because transaction fees are backed by gold and silver and thus highly tradeable, it is in the interest of people to mine GDC and SRC.

Yes! Lets keep publishing dumber and dumber alt coin ideas until no one has any trust for any of the crypto currencies! YAY!

How much hashing power do you have to secure these blockchains?

Do you have a whole bunch of Avalons or are you waiting on BFL or what?

If you don't have an absolutely massive amount of hash power the whole concept is screwed from the start.

Use Cyclos or Open Transactions or just mysqladmin or something to track your metal, its much more secure.

-MarkM-

If something like this were to take off, I'd have more gold and silver than I care to be responsible for.  No need to include other metals.

Of course. Now lets see this in action someday, and while you're at it, make a PDC PTC and RHC too.

Thank you.  No hard feelings.   

Point proven. No need for me to discuss anymore. Good luck.

A - If you sent me a 1kg gold bar I would give you the equivalent GDC.  Why wouldn't I?  What are you not understanding?

B - In what world is a 1oz gold bar going to have 5 grams of chemicals attached to it?  What is it, an 18 karat gold bar?  It's like you keep asking me nonsensical questions, and despite my attempts to give you sensible answers, still you persist.

"OK, here's a tough one for you...  Say I give you a 1oz gold coin.  But then you test it and it turns out... there's only .5oz of gold in it.  The rest is lead!  Will you give me 1GDC?"

What do you think?  Why would I?

Why would I give you 1GDC for .5oz of gold?  This would quickly put me in hot water, as everyone would rush to redeem their GDC's and I'd not have enough gold to cover their requests.  Perhaps people don't like my mint, because they prefer traditional looking bars over my bars... which look like gold plated golf balls.  Or they don't like my bars because I've stamped a picture of my face on them.  Who knows?  This would bring the GDC to USD rate down perhaps... but the GDC to physical weight in gold rate would remain the same, at least insofar as it is me doing the trade.  Trade your GDC's for whatever the guy down the road is selling and perhaps he might be able to accommodate your uncirculated, mirror finish PAMP fetish.

A. Ok, lets use a different example. If i sent you a gold bar thats the exact same size and weight as a Pamp 1kg, would you accept it? No markings, no certifications at all.

B. This is not trading in dollars. What about uncirculated bars vs circulated bars? What about bars with non-gold elements attached to them? Sure you're receiving a full 1 oz gold bar...with 5 grams of chemicals that cant be taken off.

Your solution: "Melting down the bars and reminting them would be the absolute best option to make everything uniform and equal. If not, then no one would be willing to trade their higher premium bars for lower premium bars in the long run. Every USD dollar is still worth 1 USD regardless if it is bent, folded, has markings, or has been stained. The only way to devalue a USD is if you were to cut off part of it. That is not the same for metals. Matte finish silver rounds do not go for the same rate as mirror finish silver rounds. Until everything is equal, this concept will only be a fantasy. I would support this if it was possible.

I don't think you're getting it.

A - Your example of the 1kg gold bar that is the size of a netbook...  This is like asking me if I'm prepared to give you 32GDC for for a 1kg Toblerone bar covered in gold colored foil.  No.  I'm not.  If you're not giving me gold, you're not getting GDC.  Testing what I'm getting would be part of the process, obviously.

B - If the name matters to you... fine.  That's because you're looking to trade in dollars and the amount of dollars someone is willing to pay for 1kg PAMP bar is different that a 1kg JM bar.  This is irrelevant because the trading that happens is not in dollars, or PAMP bars, or bags of loose silver dimes.  The trading happens in GDC and SRC, just like trade happens in BTC now.  Outside and beyond me, the issuer, the rates will float around as the markets see fit, bearing in mind of course, that anyone who comes to me looking to trade their GDC's and SRC's for metal, will be getting back pure metal only, irrespective of the mint.  Hell, if I were to amass enough of it, I'd probably be melting it down and reminting it, just for the sake of vault uniformity.

C - I would not be a bank, so any talk of getting the same particular metal out that you may have put in is nonsensical, and would be the result of luck.  You might as well ask if you can get back the same exact dollar bills from the ATM that you deposited in cash a week earlier.

Some dealers do not accept Credit Suisse Bars as recognized bars. If you say the picture on the coin or bar is meaningless to you, would you be ok with buying a generic 1 kilo gold bar for current market price? Absolutely no certification or anything stamped on it? Things like these make people decide not to purchase certain assayer's bars.  "It is only the weight that matters" If i sent you a gold bar that weighed 1 kilo and was the size of a netbook, would you accept it and give me 32 GRC? I THINK NOT. That would truly raise a red flag at why a gold kilo bar is that big. There is more to this problem than just centralizing the coin. The gold and silver would also have to be assayed and stamped at the same refinery in order to meet the same qualities for each thing. So lets say this concept is put into play, if I sent you 500 Pamp 1 oz gold bars, and I wanted them back later on, and you decide to send me 500 1 oz JM bars, then I have basically lost $20 x 500 dollars worth on my gold.

It is only the metal weight that matters.  So if someone wants to withdraw 1oz of silver, they'll need to send 1SRC to some address.  How they trade it with someone other than me is up to them.  And yes, if someone trades 1oz of silver as a Canadian Maple Leaf for 1GDC, only to send it back to me asking for metal back, they may very well wind up with a bar or something other than a Canadian Maple Leaf.

I don't think I'll be taking anything other than pure silver and gold (.999+), so I have a difficult time seeing how it would be an issue to those looking purely at weight anyhow.  The picture on the coin or bar is meaningless to me.

However, as the genesis block miner entity grows, it would probably cease dealing with individuals at some point and work exclusively with large orders.  The traders with large orders will be getting appropriate amounts of GDC and SRC in return for their metal, with which they may do what they will.

This is all more or less fantasy academics until someone produces the code to do what I'm looking for and I actually start doing something with it.  I've not looked into the legal aspects of it... so it could very well be that it's not possible to do at all in the US without going to jail.

At this point, I'm most interested in having the program running on my machine.

Concept doesnt really work. The metals are use for everyday purposes, which is why they have value. The coins themselves do not have value, you are attaching a value to something that isnt even tangible. I could also say "Oh, my BTC is backed by Platinum, come on, buy it!" A lot of people stay away from things that arent tangible because of the risk of being hacked or glitches, which explains why there arent massive amounts of people playing the "pool account markets".  Another thing to mention is: Is one GDC redeemable for ANY 1oz gold? Is it YOUR choice to pick what the consumers get in return? What if I had 100 GDC and I wanted 100 PAMP Suisse Bars only? Would you honor that? Or would you give me 100 bars of some cheap gold bar like Credit Suisse, which is worth less than PAMP Suisse?

Bounty is now 4oz of silver.

Or a negotiated amount of BTC.

Bumping before adding another ounce of silver to the bounty.

I'll be increasing the reward periodically until either someone takes up my offer or I cannot redeem SRC rewards.  If you guys don't see the potential here for the thousands of gold and silver dealers around the world, that's fine.  If you think I ought to use Ripple instead, that's fine.  If you think this will turn into a fractional reserve deal, that's fine.  If you think this is detrimental to Bitcoin, that's fine.  If you think I'll end up in jail, that's fine.

If you want to debate and discuss the above topics here, have at it.