BMF/NYAN Proposed Auction Post (See Post #29)

[burnside]

Hey all, don't have a lot of time to post.  Busy time of the year and all. 

I have decided to help Usagi wind things down.  We'll be re-creating all of his assets on BTC-TC.  They will all bypass the moderation stage and go straight to active, HOWEVER... they will not be trade-able on the open market.

Usagi will be able to issue dividends, execute buyouts, trade shares of his assets for shares of other assets.  But there will be no open market trading unless by some miracle he passes the usual moderation process.

I believe this to be in the best interest of everyone involved.  Please let me know if there is something I'm missing.  (eg, some way he could take advantage of this situation?)

It will definitely take us a few days to get everything setup.  Don't expect progress until after Christmas. 

Cheers.

[1715291609]

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[usagi]

Hey all, don't have a lot of time to post.  Busy time of the year and all. 

I have decided to help Usagi wind things down.  We'll be re-creating all of his assets on BTC-TC.  They will all bypass the moderation stage and go straight to active, HOWEVER... they will not be trade-able on the open market.

Usagi will be able to issue dividends, execute buyouts, trade shares of his assets for shares of other assets.  But there will be no open market trading unless by some miracle he passes the usual moderation process.

I believe this to be in the best interest of everyone involved.  Please let me know if there is something I'm missing.  (eg, some way he could take advantage of this situation?)

It will definitely take us a few days to get everything setup.  Don't expect progress until after Christmas. 

Cheers.

Thank you very much. These restrictions are fine and I'll agree to any other restrictions as needed.

The complete list of assets is:
BMF
CPA
NYAN
NYAN.A
NYAN.B
NYAN.C
YARR

Take your time, I'll send out letters to all the shareholders letting them know to sign up to BTCT or confirm an address for liquidation.

[Deprived]

Hey all, don't have a lot of time to post.  Busy time of the year and all.  

I have decided to help Usagi wind things down.  We'll be re-creating all of his assets on BTC-TC.  They will all bypass the moderation stage and go straight to active, HOWEVER... they will not be trade-able on the open market.

Usagi will be able to issue dividends, execute buyouts, trade shares of his assets for shares of other assets.  But there will be no open market trading unless by some miracle he passes the usual moderation process.

I believe this to be in the best interest of everyone involved.  Please let me know if there is something I'm missing.  (eg, some way he could take advantage of this situation?)

It will definitely take us a few days to get everything setup.  Don't expect progress until after Christmas.  

Cheers.

burnside:

Sounds a decent plan.  Only thing you probably should do is create the assets with exactly the number of shares due to be allocated - that prevents unsold shares being transferred and becoming outstanding shares that dilute dividends or otherwise confuse the issue.  Preventing issue of new paper is the key restriction.  Assume this is just basically a case of setting all the assets to having trade permanently frozen.  No need to worry about things like forced recalls at a tiny price - as usagi wouldn't be listing in the first place if he was intending to just steal all the funds.

I assume investors will be able to do private trades via transfer - don't see any problems with that and its necessary to consolidate from temporary accounts anyway.

Usagi: no need to get investors to make accounts, they'll get ones made for them during import - then they can keep those or make new ones to transfer to if they prefer.

[usagi]

Hey all, don't have a lot of time to post.  Busy time of the year and all.  

I have decided to help Usagi wind things down.  We'll be re-creating all of his assets on BTC-TC.  They will all bypass the moderation stage and go straight to active, HOWEVER... they will not be trade-able on the open market.

Usagi will be able to issue dividends, execute buyouts, trade shares of his assets for shares of other assets.  But there will be no open market trading unless by some miracle he passes the usual moderation process.

I believe this to be in the best interest of everyone involved.  Please let me know if there is something I'm missing.  (eg, some way he could take advantage of this situation?)

It will definitely take us a few days to get everything setup.  Don't expect progress until after Christmas.  

Cheers.

burnside:

Sounds a decent plan.  Only thing you probably should do is create the assets with exactly the number of shares due to be allocated - that prevents unsold shares being transferred and becoming outstanding shares that dilute dividends or otherwise confuse the issue.  Preventing issue of new paper is the key restriction.  Assume this is just basically a case of setting all the assets to having trade permanently frozen.  No need to worry about things like forced recalls at a tiny price - as usagi wouldn't be listing in the first place if he was intending to just steal all the funds.

I assume investors will be able to do private trades via transfer - don't see any problems with that and its necessary to consolidate from temporary accounts anyway.

Usagi: no need to get investors to make accounts, they'll get ones made for them during import - then they can keep those or make new ones to transfer to if they prefer.

Hello everyone. Thanks for letting us list burnside, and Deprived that was an excellent idea about the shares but there appears a problem on the horizon.

I have 3 weeks left to liquidate dozens of different assets and pay out dividends. After talking with Juan and a few other shareholders, they have raised the issue that they don't think this plan is going to work. The long and short of it is there's not going to be enough time. I could wrap things up a little more quickly if I could establish market value for BMF and then trade chunks of assets for shares of BMF. But I can't, since BMF can't trade, and only having three weeks left means I need to liquidate for below fair value. Every day someone from GLBSE lists somewhere, we get more and more money back in claims. We just claimed all our RSM shares for example. But can I sell them for a decent price in 3 weeks? I don't know.

Here's the basic problem: "Usagi, work faster!" is not an option. It is starting to be less about me chasing down people and more about the market. Say we have 10,000 shares of BINGOMINING. We either sell them today at 0.003, or we wait a week and sell at 0.0035, or we wait a month and sell it at 0.004. In this example we can't sell it at 0.004 today, because of the illiquid market. And we don't have a month. And, every day I don't sell the problem gets worse because we have a shorter time remaining until delisting day. Obviously on delisting day everything we hold goes to nearly zero as I would be forced to sell it and pay out. I now have hundreds of BTC in assets on BTC-TC and bitfunder like that, which we have on bitfunder or btc-tc and I feel really bad about being forced to liquidate in this fashion. It's not helping investors to punish me when I am not doing anything untrustworthy winding down my assets.

What's worse is that there's always going to be a wave of selling when an asset goes up as many people want out and to have time to rethink what they're doing. So selling at this time is hugely damaging for my shareholders.

So, advice please. I'm thinking that maybe it would be possible to go back to vote and try to get listed at the end of january. The stipulation would be that the companies wind down operations -- we buy back shares and cancel shares on a regular basis.

To the people who voted us down originally, or really anyone in the community, does this sound fair? Any advice?

[Deprived]

I'm not sure that listing BMF would actually solve much - the problem at root is the lack of liquidity in most assets.  Establishing a market price for BMF wouldn't do anything about that. 

As BMF is closing its value is the total value of its assets - nothing more or less.  Paying out based on a market price for BMF would actually made the situation worse - as if the market happened to value BMF above the value of its assets and you started distributing assets you'd run out of assets with BMF shares left that had received nothing.

They key issue is to establish the value of the assets BMF holds.  Problem is you can't do that on market due to illiquidity (plus some assets aren't even tradable).  Then once you've established value of the assets you can in theory give out assets instead of cash - but you then run into the problem that some investors may believe you've over-valued the assets you try to give them.

I believe there is a solution - which satisfies the main criteria:

1.  Transparent.
2.  No investor gets assets at above the price they value it at.

Weakness of it is that assets may not realise their true value - but that's unavoidable when closing down: there's no way to get full value for all assets AND do it quickly AND make sure no investor gets something they believe is overvalued and worth less than it's been given in lieu of.

Here's my proposal - maybe some tinkering around with it would improve it.

Sell ALL assets by public auction. Make an estimate of their ball-park value and split them into blocks worth around 1 BTC (only the order of magnitude matters) - much less and it's too much hassle, much more and you lose potential bidders.  People bid on blocks - so if you have 100 shares of BingoMining and you think they're worth around .1 BTC each then you'd sell them as 10 blocks of 10 shares.

Set a fairly long date for the auctions - like a week - with a decent anti-sniper clause (like 6 hours extension from last bid) and bids to be in increments of 0.1 BTC/block.  Top bidders win the blocks - obviously investors can bid and then will be effectively buying the shares with the proceeds from their final dividends.  One caveat on it - at end of auction if any of the assets can be sold on market for more than bids that would otherwise win then you sell them on market.

You can even sell off totally illiquid stuff like OBSI shares and Matthew debt - just instead of doing the transfer on an exchange you'd exchange GPG-signed messages assigning them all rights.

You should get more buyers in an auction than on a site - people don't have to sign up to bid and also don't have to tie up cash in bids waiting for a seller (one of the reasons why liquidity is so poor).

I really believe setting market-value for BMF is a red-herring - it seems like a good idea until you get down to the detail.  In principle you can't go giving investors shares unless they agree with your valuation of them.  If you agree on valuation then you don't need to know a value for BMF - just sell them the shares at the agreed price and they'll get their cash back in the final dividends (but I recommend AGAINST this as it's not transparent).

Public auction of assets is a commonly-used method in liquidation in RL - provided all investors know about it and are allowed to bid they have no real cause to complain things were sold under-priced.  If you trust specific investors not to default then you could, in theory, agree that their payment for assets they bid on can be deferred until after you've made partial settlement by dividend - so they can pay out of the first tranche of proceeds from BMF liquidation rather than having to find extra cash short-term.  That last point would achieve a similar end to giving assets in return for BMF shares - but with more transparency, explicit agreement on value and competition to ensure best price practical was achieved.

[usagi]

I'm not sure that listing BMF would actually solve much - the problem at root is the lack of liquidity in most assets.  Establishing a market price for BMF wouldn't do anything about that. 

As BMF is closing its value is the total value of its assets - nothing more or less.  Paying out based on a market price for BMF would actually made the situation worse - as if the market happened to value BMF above the value of its assets and you started distributing assets you'd run out of assets with BMF shares left that had received nothing.

They key issue is to establish the value of the assets BMF holds.  Problem is you can't do that on market due to illiquidity (plus some assets aren't even tradable).  Then once you've established value of the assets you can in theory give out assets instead of cash - but you then run into the problem that some investors may believe you've over-valued the assets you try to give them.

I believe there is a solution - which satisfies the main criteria:

1.  Transparent.
2.  No investor gets assets at above the price they value it at.

Weakness of it is that assets may not realise their true value - but that's unavoidable when closing down: there's no way to get full value for all assets AND do it quickly AND make sure no investor gets something they believe is overvalued and worth less than it's been given in lieu of.

Here's my proposal - maybe some tinkering around with it would improve it.

Sell ALL assets by public auction. Make an estimate of their ball-park value and split them into blocks worth around 1 BTC (only the order of magnitude matters) - much less and it's too much hassle, much more and you lose potential bidders.  People bid on blocks - so if you have 100 shares of BingoMining and you think they're worth around .1 BTC each then you'd sell them as 10 blocks of 10 shares.

Set a fairly long date for the auctions - like a week - with a decent anti-sniper clause (like 6 hours extension from last bid) and bids to be in increments of 0.1 BTC/block.  Top bidders win the blocks - obviously investors can bid and then will be effectively buying the shares with the proceeds from their final dividends.  One caveat on it - at end of auction if any of the assets can be sold on market for more than bids that would otherwise win then you sell them on market.

You can even sell off totally illiquid stuff like OBSI shares and Matthew debt - just instead of doing the transfer on an exchange you'd exchange GPG-signed messages assigning them all rights.

You should get more buyers in an auction than on a site - people don't have to sign up to bid and also don't have to tie up cash in bids waiting for a seller (one of the reasons why liquidity is so poor).

I really believe setting market-value for BMF is a red-herring - it seems like a good idea until you get down to the detail.  In principle you can't go giving investors shares unless they agree with your valuation of them.  If you agree on valuation then you don't need to know a value for BMF - just sell them the shares at the agreed price and they'll get their cash back in the final dividends (but I recommend AGAINST this as it's not transparent).

Public auction of assets is a commonly-used method in liquidation in RL - provided all investors know about it and are allowed to bid they have no real cause to complain things were sold under-priced.  If you trust specific investors not to default then you could, in theory, agree that their payment for assets they bid on can be deferred until after you've made partial settlement by dividend - so they can pay out of the first tranche of proceeds from BMF liquidation rather than having to find extra cash short-term.  That last point would achieve a similar end to giving assets in return for BMF shares - but with more transparency, explicit agreement on value and competition to ensure best price practical was achieved.

That sounds like a good idea actually. Where should I put the auction? It seems like it might be possible to put it in it's own thread here in the Securities forum. I'd be interested in starting this process asap.

[Deprived]

I'm not sure that listing BMF would actually solve much - the problem at root is the lack of liquidity in most assets.  Establishing a market price for BMF wouldn't do anything about that. 

As BMF is closing its value is the total value of its assets - nothing more or less.  Paying out based on a market price for BMF would actually made the situation worse - as if the market happened to value BMF above the value of its assets and you started distributing assets you'd run out of assets with BMF shares left that had received nothing.

They key issue is to establish the value of the assets BMF holds.  Problem is you can't do that on market due to illiquidity (plus some assets aren't even tradable).  Then once you've established value of the assets you can in theory give out assets instead of cash - but you then run into the problem that some investors may believe you've over-valued the assets you try to give them.

I believe there is a solution - which satisfies the main criteria:

1.  Transparent.
2.  No investor gets assets at above the price they value it at.

Weakness of it is that assets may not realise their true value - but that's unavoidable when closing down: there's no way to get full value for all assets AND do it quickly AND make sure no investor gets something they believe is overvalued and worth less than it's been given in lieu of.

Here's my proposal - maybe some tinkering around with it would improve it.

Sell ALL assets by public auction. Make an estimate of their ball-park value and split them into blocks worth around 1 BTC (only the order of magnitude matters) - much less and it's too much hassle, much more and you lose potential bidders.  People bid on blocks - so if you have 100 shares of BingoMining and you think they're worth around .1 BTC each then you'd sell them as 10 blocks of 10 shares.

Set a fairly long date for the auctions - like a week - with a decent anti-sniper clause (like 6 hours extension from last bid) and bids to be in increments of 0.1 BTC/block.  Top bidders win the blocks - obviously investors can bid and then will be effectively buying the shares with the proceeds from their final dividends.  One caveat on it - at end of auction if any of the assets can be sold on market for more than bids that would otherwise win then you sell them on market.

You can even sell off totally illiquid stuff like OBSI shares and Matthew debt - just instead of doing the transfer on an exchange you'd exchange GPG-signed messages assigning them all rights.

You should get more buyers in an auction than on a site - people don't have to sign up to bid and also don't have to tie up cash in bids waiting for a seller (one of the reasons why liquidity is so poor).

I really believe setting market-value for BMF is a red-herring - it seems like a good idea until you get down to the detail.  In principle you can't go giving investors shares unless they agree with your valuation of them.  If you agree on valuation then you don't need to know a value for BMF - just sell them the shares at the agreed price and they'll get their cash back in the final dividends (but I recommend AGAINST this as it's not transparent).

Public auction of assets is a commonly-used method in liquidation in RL - provided all investors know about it and are allowed to bid they have no real cause to complain things were sold under-priced.  If you trust specific investors not to default then you could, in theory, agree that their payment for assets they bid on can be deferred until after you've made partial settlement by dividend - so they can pay out of the first tranche of proceeds from BMF liquidation rather than having to find extra cash short-term.  That last point would achieve a similar end to giving assets in return for BMF shares - but with more transparency, explicit agreement on value and competition to ensure best price practical was achieved.

That sounds like a good idea actually. Where should I put the auction? It seems like it might be possible to put it in it's own thread here in the Securities forum. I'd be interested in starting this process asap.

Options for where to put it would be:

1.  Here - where the people most likely to bid are.
2.  Auctions forum - where people can't edit or delete bids after making them.

Would suggest putting it in the auctions section but with a thread here - as the contents are clearly relevant to this section of the forum.

You MAY want to require a 10% refundable (if overbid) deposit from unknowns placing bids.

Would suggest putting everything in one thread -  and having clear rules on how to bid.

So your listing would have the various assets for sale - e.g. :

LOT 1 (BINGOM) : 100 shares of BingoMining split into 10 bundles of 10 shares (listed on exchange A).
LOT 2 (SCAMMERX) : 50 BTC debt owed by scammer X - whole debt is 1 bundle.
LOT 3 (LOTTOM) : 50 shares of LottoMining split into 2 bundles of 25 shares (not listed on any exchange).

Then my bids may be:

LOT 1 (BINGOM) : 2 bundles at 1.1 BTC, 3 bundles at 0.8 BTC, 5 bundles at 0.1 BTC
LOT 3 (LOTTOM) : 1 bundle at 0.6 BTC

By having a tag by each lot number and requiring the lot number AND tag to be listed it prevents any claims of misunderstanding what was being bid on later.

Other general guidelines:

1.  Have sniper period - so if you were ending auction at midday next Sunday, definition ofend date would be : "Bidding on each Lot will finish at the later of 12:00PM (midday) 13th January 2013 and 6 hours after the last valid bid on the Lot."  Having an anti-sniper period deters last-minute bidding (impossible to snipe).

2.  Make explicit that if the bids for any lots are lower than market Bids at end of auction then you will sell into market.  Absolutely NO private offers though - as that encourages people to try to buy in private, removing transparency and also removing competition resulting in lower results.

3.  So long as each bundle has a value around 1 BTC or higher, you can just set a minimum bid of 0.1 BTC and incrememnts of 0.1 BTC.  You may lose out on fractions somewhere that someone would have paid 0.21 to out bid 0.2 - but it'll be more than made up for by the occasions they actually outbid (and win) with 0.3 rather than 0.21.  Plus it means less bids.

4.  Encourage people to put ALL their bids in a single post - then quote it with increases when they add more bids (avoids issues like if someone in one post bids 0.3 on 2 blocks of LOT 1, thgen bids 0.4 on 3 blocks of LOT 1 in a second post - have they bid on 3 blocks or 5?)".

5.  Absolutely no removal of bids to be allowed.  If someone bids 0.3 for 2 blocks of LOT 1 they can't then bit 0.5 for 1 block and drop the bid on the 2nd block.

6.  Allow a short time-scale for correction of obvious typos - so if someone accidentally bids 12 BTC instead of 1.2 they get say 10 minutes to fix it in (quoting original, stating it was typo and correcting it).  Any attempts to correct after that would be a bid cancellation against the auction rules and result in all of their bids on everything being ignored.

Remember if you do it in the auction section YOU can't edit the OP after posting (nothing can be edited there) - so get it right first (e.g. post draft in here, wait for coments and correct it before posting it there).

[Deprived]

One last thing - for Lots that aren't listed on Exchanges it would probably greatly help you get most value if the asset issuer/debtor were to confirm that they will honour the transfer of assets/rights upon conclusion of the auction.

[usagi]

Comments? This will go live sometime this week if there are no concerns.

Code:

BMF / CPA / NYAN AUCTION

RULES:

This is an auction for any amount of shares. Similar to bidding for bitcointalk.org advertisement slots.

a) Post your bids in this thread.
b) Prices must be stated in BTC per share.
c) You must state the max number of shares you want.
d) When the auction ends, the highest bidders will have their bids filled until all shares are filled.

So if someone bids for 200 of 200 shares @ 5 BTC and this is the highest bid per-share, then he'll get all 200 shares.
If the two highest bids are 200 shares at 1btc/share and 50 shares at 1.1btc/share, then the person who bid 1.1btc/share will get 50 shares and the person who bid 1btc will get 150 shares.

The notation "2 @ 5" means 2 shares for 5 BTC EACH. Not 2 shares for 5 BTC total.

- When you post a bid, the bids in your previous posts are considered to be automatically canceled. You can put multiple bids in one post, however.
- Bids must be at least 1% higher than the previous bid or they will not replace the older (cheaper) bid.
  ex. the bid is 1btc, someone bids 1.005. This will be considered on par with 1btc. Later someone bids 1.01 BTC. The 1.01 btc will replace
  both the 1btc and 1.005btc bid.
- I will end the auction at an arbitrary time after january 20th but before January 30th, 2013.
- I will probably end the auction 1-3 days before January 30th, 2013.
- If two people bid at the same price (or within 1% as mentioned above), the person who bid first will have his shares filled first.
- Bids are considered invalid and will be ignored if they do not specify both a price and a max quantity, or if they could not possibly win any slots
- If you have less than 500 forum posts you must pay a 10% deposit or your bid will be invalid. I will PM you with details, just bid and I'll give you the info you need for the deposit.
- If you make a typo don't worry, just re-post your bid within TEN MINUTES.
- I will also accept litecoin bids at +5% spot (in my favor). Just offer bitcoins and state you will pay the fee and in litecoins.
- Sale of shares on an exchange like btc-tc or bitfunder will supercede any bid placed here.
- Transfer of right will be done by actual transfer of shares where possible, or by signed GPG statement where not possible.

If these rules are confusing, look at some of the past forum ad auctions to see how it's done. I may post periodic status updates which should help make things clear.

You must pay for your slots within 48 hours of receiving the payment address. Otherwise your slots may be sold to someone else.

ASSETS FOR AUCTION:
[url=https://bitcointalk.org/index.php?topic=133168.msg1418441#msg1418441]NOTE: PLEASE SEE THE CLAIMS THREAD FOR INFORMATRION[/url]


007 (11 shares)
GIGAMINING (10 shares)
YABMC (30 shares)
BTC-MINING (300 shares)
BTCMC (165 shares)
BFLS.RIG (124 shares)
UDN (1000 shares)
FPGAMINING (635 shares)
OBSI.HRPT (10,089 shares)
JTME (170 shares)
ASICMINER (10 shares)
BIF.5-10.MININGBOND (120 shares)
BTC-BOND (4799 shares)
TEEK.A (196 shares)
MU (150 shares)
MINING (121 shares)
TYGRR.BOND-A (200 shares)
M.ETF 80 (shares)
BDK.BND (100 shares)
BIF.1YR.LOAN (220 shares)
FPGA.ICORE.DEV (100 shares)
BIT.INC (438 shares)
BIB.BVPS (33,848 shares)
BITCOINTORRENTZ (30 Shares)
FUTUREFUND (296,225 shares)
FZB.A (1,802 shares)
REBATE (500 shares)
ZIP.A (100 shares)
BIF-AG-INDEX (104 shares)
BITCOINMINV (200 shares)
GSDPT (6,000 shares (remaining)
BIF.P2P. LOANS (383 shares)
V.HRL (160 shares)
GMVT-BOT (200 shares)
TEEK.B (50 shares)
Matthew N. Wright debt (750 bitcoins)
Hashking Debt (550 btc)
Imsaguy debt (approx. 300 BTC)
PPT debt (everything from goat to brendio direct -- if you really want this just PM me)

Assets we are not sure we have rightful claim to as of yet (also for auction, but the only transfer of right we may give you is theoretical)
DMC (1300 shares, held by BMF)
DMC (10 shares, held by NYAN)
BAKEWELL (432 shares)
BITCOINRS (2000 shares)

[Carnth]

Comments? This will go live sometime this week if there are no concerns.

GMVT-BOT has already liquidated and paid 0.1 BTC per share.

[Deprived]

Comments? This will go live sometime this week if there are no concerns.

GMVT-BOT has already liquidated and paid 0.1 BTC per share.

That would be the payment usagi received other week and couldn't work out what it was for.

[usagi]

Comments? This will go live sometime this week if there are no concerns.

GMVT-BOT has already liquidated and paid 0.1 BTC per share.

That would be the payment usagi received other week and couldn't work out what it was for.

No I did get this in e-mail but I forgot to update. Thanks for the reminder. Looks like it was a good suggestion to post here for comments first :>

[🏰 TradeFortress 🏰]

Is this still going ahead? I am very interested in bidding.

[usagi]

Is this still going ahead? I am very interested in bidding.

Thanks. I'm going to post it tomorrow. I just wanted to let it sit out for a couple of days to see if there would be any objections, any comments, if I made any typos or anything. I'll be removing a couple of assets which we've sold, like GMVT-BOT, but besides that it looks like the main gist of it is acceptable.

[Deprived]

Couple of minor issues for clarification:

1.  In the case of debts, are you accepting bids for part of the debt?  Would seem to me that would be tricky to actually handle - but either way it needs clarification (would assume people would bid for X BTC-worth of debt - but what is minimum size of X?).  I'd recommend selling debts in their entirety as likelihood anyone would be able to negotiate settlement on a small portion of it has to be tiny.

2.  What's the situation if someone bids on some shares then, before auction ends, the asset-issuer sends full/partial payment to you?  Potentially someone could end up with bids on shares that no longer have any value (if full settlement was paid).  Obviously regular weekly/monthly dividends can be ignored - but bids made on the basis that the share value includes all dividends since GLBSE vanished should be cancellable if payment in respect of them is made to you AFTER the bid was placed.  Other alternative would be to include all payments received since start of auction into the lot (applied as a discount when settling).  In the latter case, obviously if you received payments exceeding the bids then no sale would take place.

3.  Could you somehow indicate which assets the issuer has confirmed you have ownership of.  Asking particularly in respect of ASICMINER (which I'll bid on) as I know friedcat hasn't confirmed everyone's holdings yet (mine haven't been confirmed).  What's the scenario if an asset issuer subsequently denies that you owned specific shares that were auctioned?  If disclosure is made that an asset issuer hasn't confirmed your ownership of specific shares then I'd have no problem with it being buyer's risk - but obviously that requires you to identify which have been confirmed and which haven't.

[usagi]

Couple of minor issues for clarification:

1.  In the case of debts, are you accepting bids for part of the debt?  Would seem to me that would be tricky to actually handle - but either way it needs clarification (would assume people would bid for X BTC-worth of debt - but what is minimum size of X?).  I'd recommend selling debts in their entirety as likelihood anyone would be able to negotiate settlement on a small portion of it has to be tiny.

2.  What's the situation if someone bids on some shares then, before auction ends, the asset-issuer sends full/partial payment to you?  Potentially someone could end up with bids on shares that no longer have any value (if full settlement was paid).  Obviously regular weekly/monthly dividends can be ignored - but bids made on the basis that the share value includes all dividends since GLBSE vanished should be cancellable if payment in respect of them is made to you AFTER the bid was placed.  Other alternative would be to include all payments received since start of auction into the lot (applied as a discount when settling).  In the latter case, obviously if you received payments exceeding the bids then no sale would take place.

3.  Could you somehow indicate which assets the issuer has confirmed you have ownership of.  Asking particularly in respect of ASICMINER (which I'll bid on) as I know friedcat hasn't confirmed everyone's holdings yet (mine haven't been confirmed).  What's the scenario if an asset issuer subsequently denies that you owned specific shares that were auctioned?  If disclosure is made that an asset issuer hasn't confirmed your ownership of specific shares then I'd have no problem with it being buyer's risk - but obviously that requires you to identify which have been confirmed and which haven't.

It's buyer's risk. In some cases I am being denied a claim that I have on record. So I've asked Nefario for help. In that case the claim is denied then the transfer of title is only theoretical, and it is up to the buyer to track down and enforce his or her ownership.

Debt will be sold as a single unit. I.E. hashking owes us say 550 coins; it's 550 or nothing.

[kjj]

2.  What's the situation if someone bids on some shares then, before auction ends, the asset-issuer sends full/partial payment to you?  Potentially someone could end up with bids on shares that no longer have any value (if full settlement was paid).  Obviously regular weekly/monthly dividends can be ignored - but bids made on the basis that the share value includes all dividends since GLBSE vanished should be cancellable if payment in respect of them is made to you AFTER the bid was placed.  Other alternative would be to include all payments received since start of auction into the lot (applied as a discount when settling).  In the latter case, obviously if you received payments exceeding the bids then no sale would take place.

Ugh.  Lousy situation.  My opinions...

If there are dividends that have been deferred because of the chaos left in the wake of GLBSE's closure, or if new dividends come in before the asset transfer, those dividends are owned by the company (shareholders), not by the winner of the auction.  Effort should be made to secure those payments prior to the auction.  If this isn't possible and the dividends can only be paid to the winning bidder, I don't see what else can be done but to note it with the asset and let the potential buyers bid accordingly.

In the case of a debt repayment or a share buyout/buyback, it would depend a bit.  In the real world, there would be a court, and the court would not allow such an attempt unless the price met or exceeded the auction price (which would mean a temporary injunction, etc, etc).  In this case, I doubt that anyone has the power to place such a hold on things.  To the extent possible, usagi should consider those to be bids like all others, when he has the ability to refuse them.  Since he usually won't be able to refuse, not much can be done except add a clause to the auction agreement that he may need to involuntarily cancel some items.

P.S.  Glad to see that this is winding down nicely.