RE: How SBD peg actually works OR How the @sbdpotato conversions won't affect SBD price

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OK, now we are going on the right direction with this discussion.

The reason i am researching this subject isn't to mislead anyone, but to point what i see as flaws on these project concepts and eventually find out better solutions to the Steem economy.

I do think you raise one good issue here, which is that it would probably be better for @burnpost to power up all rewards under these conditions and burn later (as it already does when SBD is overvalued), to avoid the immediate negative effect on numerical supply altogether.

Yes, i think this could work better to bring the debt ratio to the normal market conditions without adding downward pressure to the STEEM price, specially with @sbdpotato happening. That way both projects would add up to help with the debt.

Guilty as charged. Instead of spending 5x as much of my time addressing every error and misunderstanding your post, I summarized that it is overall of poor accuracy and quality, which hopefully helps avoid spreading bad information, or at least raises some alarms and gives people a reason to be skeptical and do their own research. I also don't think inaccurate and misleading information should be rewarded. Sorry.

No problems here. What matters is that you noticed it and brought the discussio back to a productive direction.

And i know that i might be wrong on some points, and part of my analysis could be wrong (wich i don't think so yet), but isn't the point of starting a discussion a exchange of information so both sides get out of it with a better understanding on the matter?

So please, feel free to point out what i got wrong, and i will reevalute my arguments.

And about doing it's everyone doing it's own research, what am i doing here if not presenting another side of the subject to allow people to make a better informed decision?

Bringing up a light (which I agree is a good thing) can be done by asking questions or making narrower observations which are actually accurate. It doesn't require, or even benefit from, putting out confused, misleading, and incorrect information

Well, i still don't see where is the "confused, misleading and incorrect information".

They don't. and I never claimed otherwise. What I claim is that they transmit supply and demand imbalances between exchanges keeping the prices in line

Indeed, but my theory here is that the arbitrage bots don't have a significant effect on the external price because the external liquidity is too low, therefore they can't create a big order outside to reflect the internal change, or they would move the price too much, wich would make it harder to do a profitable operation on the other direction.

I'll get back to you with one or two of the account names for arbitrage bots.

Plese do! I am really curious about how they actually work, and learning about the financial markets is my secret passion. Every knowledge is well recieved!



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(Edited)

One of the arbitrage bots is @paco-steem (steemd). I an pretty sure there are others but they are harder to find since I don't have my market maker bot running, I don't get to easily see which other bots are constantly trading with it.

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