|
Title: How will BTC prevent naked shorting? Post by: fognozz on November 28, 2013, 02:22:38 AM I've seen the price of gold and silver be depressed by naked shorting - is there something in the protocol that will prevent the same happening to BitCoin, once there are ETFs involved?
Title: Re: How will BTC prevent naked shorting? Post by: lnternet on November 28, 2013, 03:32:38 AM Any entity can emit BTC shorts for people to buy.
I could offer you a BTC short if we were in a trustful enough relationship. Title: Re: How will BTC prevent naked shorting? Post by: PenAndPaper on November 28, 2013, 04:12:37 AM Any entity can emit BTC shorts for people to buy. I could offer you a BTC short if we were in a trustful enough relationship. Yes but not any entity can sell bitcoins that don't possess. The guy is talking about naked short selling. Title: Re: How will BTC prevent naked shorting? Post by: bill.joy on November 28, 2013, 08:29:32 AM Any entity can emit BTC shorts for people to buy. I could offer you a BTC short if we were in a trustful enough relationship. Yes but not any entity can sell bitcoins that don't possess. The guy is talking about naked short selling. I think those who own a big exchange can do short selling. If the trades only happen within the exchange, they don't go to the blockchain. It can be used to manipulate the market price, just like in any fiat or stock exchange. |