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RE: Witness @jackmiller - BIAS, Market, Savings, Bots.
If I report STEEM is $2, then SBD on the internal market will get you 0.5 STEEM = $1
Sorry, but this is factually inaccurate. The price feed reported by the witnesses is used for SBD->STEEM conversions. Not the internal market. The internal market prices are 100% decided by supply and demand of the traders.
Also fyi, if the blockchain is paying interest on SBD, it pays it on all SBD - not just SBD in "savings".
Well then, maybe it needs to be discussed among the TOP20 Witnesses as to WHAT is correct of these two statements, because the above quoted equation was in fact confirmed and given to me by one of the most reliable and resourceful TOP20 witnesses here.
Now, I'm not doubting what you are saying, all I am saying is that I did do my due diligence prior to making any statement here.
Something doesn't add up then, but not with my homework!
Will be glad to pass on a screenshot of this here to the Witness I am referring to and in all fairness to you and to him, let the two of you sort it our among yourselves, without me paying the price for it!
(fingers crossed).
I'm happy to talk to whoever said it. Just have them reach out to me on steem.chat or discord.
Done, forwarded as stated.
As for the Savings option, it is there for a reason, as things stand right now there is no incentive apart from the time lock for people to use it.
In the event that an interest on SBD were to be paid, then this would add incentive for people to hold their SBD here and not elsewhere.
"Someone who holds SBD without redeeming it is effectively lending the community the value of a dollar."
Whitepaper.
All I am stating is my view on the savings option and how to incentivize it so that it gets used effectively and works as planned for the good of all.
Really the only purpose it serves as it is currently implemented is as a time-lock for security. More could be done with it, but I don't think there are plans to implement anything along those lines.
Well, as clearly expressed in my post, I firmly believe that this option is a viable tool that the creators of this excellent endeavour made available for the right reasons and can be used for the good of all of us.
To try and elaborate on that:
As banks offer security, i.e. " a safe with a time lock on it" (so as to give a parallel to this option here) they also offer incentive via interest rates for people to use their secure savings options.
We have an internal market, we have wallets, we have a secure savings option.
We have it all, so that we may counter the affects of SBD being viciously traded because of various reasons, such as the "pay for bid bots", which I pointed out.
I don't see where I stated anything incorrect as far as how interests rates are applied. I did list the relevant pages of our Whitepaper for more information.
As I was clearly defining my views on how the savings option can be put to use, as probably planned by the creators (otherwise it wouldn't be here) with reference to our Whitepaper, and nothing more than that. I believe that my views and statements are all in good standing order and "hold water" as the old saying goes.
So I feel that your comment:
"Also fyi, if the blockchain is paying interest on SBD, it pays it on all SBD - not just SBD in "savings"."
Was a little misleading in that it kind of suggests that I said something to differ.
But then again, could be a typical case of a screen relaying words and not a person with emotions, facial expressions and so on. So maybe it just came across in a tone that was misunderstood.
NHF.
Just want to make sure that my words are not taken out of context or misunderstood.
It was just a misunderstanding then. The way I read your post, it seemed to imply there was a relationship between “savings” and “APR”. I just wanted to clarify that the APR (if witnesses have a non zero APR) is paid to all SBD holders, regardless of whether their SBD is in savings or not.
I appreciate that as a witness you are taking these things seriously and taking the time to figure out what the repercussions of setting these parameters can be :)
Glad that you brought it up, as I concentrated on the savings feature and how it could be utilized. Guess I should have literally quoted our Whitepaper rather than just link it.
"Taking mental notes for the next time I express a view on something"
;)