Bitcoin Forum
November 22, 2017, 12:01:08 AM *
News: Latest stable version of Bitcoin Core: 0.15.1  [Torrent].
 
   Home   Help Search Donate Login Register  

Warning: Moderators do not remove likely scams. You must use your own brain: caveat emptor. Watch out for Ponzi schemes. Do not invest more than you can afford to lose.

Pages: [1] 2 »  All
  Print  
Author Topic: [BitFunder] Mining difficulty futures now available: CoinBr.iDiff-*  (Read 5405 times)
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
February 02, 2013, 12:32:50 AM
 #1

CoinBr.iDiff-* futures are suitable for hedging mining operations/securities (for example, against new technology) and other kinds of short-term insurance/speculation against hashrate/mining difficulty. The share value is directly determined by current difficulty - as difficulty in satoshis. So, if CoinBr.iDiff-* expired today with difficulty 2968775 , every share would be worth 0,02968775 BTC.

This asset is available for shorting to anyone who provides collateral. Please inquiry on info@coinbr.com about doing so. Escrow at trusted third party is possible.

Sample scenario 1: Joe Miner fears his GPU becoming obsolete, so he buys 1000 CoinBr.iDiff-O at 0.07 for 70 BTC. The difficulty indeed rises to 10 million by March 20, so his shares will now liquidate at 0.1BTC, yielding him 100 BTC, with 30 BTC profit.

Sample scenario 2: B.Mixon's research unveils that no significant amount of ASICs will be delivered in February and decides to cash on it. Provides 100BTC collateral and gets 1250 shares of CoinBr.iDiff-E. Decides to sell them for 0.045, yielding 56,25 BTC. On 20th February the difficulty indeed stagnates and it is 3.5 million. He has to cover 0.035 per share. His net profit is 56.25-1250*0.035 = 12.5 BTC.

They are inspired by X.IDIFF futures on MPEx with improvements:
  • Maximal coverage is clearly known in advance. In case of MPEx futures, they are covered somewhere more than 2.9x last quarter difficulty, it's not publicly known how much exactly.
  • More short-term and will be renewed every month with expiration date of two months instead of quarters away. I believe that in current quickly changing landscape longer time speculation is not feasible.

Update July 2013: Both iDiff-O and iDiff-E are now split by a factor of 100 to make the prices more accessible. This means all prices and payout per share were divided by 100, otherwise the assets keep working as before.

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
1511308868
Hero Member
*
Offline Offline

Posts: 1511308868

View Profile Personal Message (Offline)

Ignore
1511308868
Reply with quote  #2

1511308868
Report to moderator
1511308868
Hero Member
*
Offline Offline

Posts: 1511308868

View Profile Personal Message (Offline)

Ignore
1511308868
Reply with quote  #2

1511308868
Report to moderator
1511308868
Hero Member
*
Offline Offline

Posts: 1511308868

View Profile Personal Message (Offline)

Ignore
1511308868
Reply with quote  #2

1511308868
Report to moderator
Join ICO Now Coinlancer is Disrupting the Freelance marketplace!
Advertised sites are not endorsed by the Bitcoin Forum. They may be unsafe, untrustworthy, or illegal in your jurisdiction. Advertise here.
1511308868
Hero Member
*
Offline Offline

Posts: 1511308868

View Profile Personal Message (Offline)

Ignore
1511308868
Reply with quote  #2

1511308868
Report to moderator
1511308868
Hero Member
*
Offline Offline

Posts: 1511308868

View Profile Personal Message (Offline)

Ignore
1511308868
Reply with quote  #2

1511308868
Report to moderator
TradeFortress
VIP
Legendary
*
Offline Offline

Activity: 910


View Profile
February 02, 2013, 03:56:55 AM
 #2

The summary of the O and E assets are messed up. CoinBr.iDiff-O says Feb too.
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
February 02, 2013, 08:03:15 AM
 #3

The summery of the O and E assets are messed up. CoinBr.iDiff-O says Feb too.
Thanks for observation, funny how we checked for everything and this escaped. Now I see the problem, it's inconsistent with MPBPT, and -O/-E should refer to closing month, not starting one.
Since there were no orders/transactions so far, we decided to switch them. It will be thus:

CoinBr.iDiff-E expires on 20th February

CoinBr.iDiff-O expires on 20th March

After iDiff-E expires, it will be reintroduced with third wednesday of April expiration, and so on, to keep up with MPEx IDIFF dates.

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
MPOE-PR
Hero Member
*****
Offline Offline

Activity: 756



View Profile
February 02, 2013, 12:02:30 PM
 #4

The summery of the O and E assets are messed up. CoinBr.iDiff-O says Feb too.
Thanks for observation, funny how we checked for everything and this escaped. Now I see the problem, it's inconsistent with MPBPT, and -O/-E should refer to closing month, not starting one.
Since there were no orders/transactions so far, we decided to switch them. It will be thus:

CoinBr.iDiff-E expires on 20th February

CoinBr.iDiff-O expires on 20th March

After iDiff-E expires, it will be reintroduced with third wednesday of April expiration, and so on, to keep up with MPEx IDIFF dates.

How did you pick O and E?

My Credentials  | THE BTC Stock Exchange | I have my very own anthology! | Use bitcointa.lk, it's like this one but better.
TradeFortress
VIP
Legendary
*
Offline Offline

Activity: 910


View Profile
February 02, 2013, 01:09:17 PM
 #5

The summery of the O and E assets are messed up. CoinBr.iDiff-O says Feb too.
Thanks for observation, funny how we checked for everything and this escaped. Now I see the problem, it's inconsistent with MPBPT, and -O/-E should refer to closing month, not starting one.
Since there were no orders/transactions so far, we decided to switch them. It will be thus:

CoinBr.iDiff-E expires on 20th February

CoinBr.iDiff-O expires on 20th March

After iDiff-E expires, it will be reintroduced with third wednesday of April expiration, and so on, to keep up with MPEx IDIFF dates.

How did you pick O and E?

E = even
O = odd
MPOE-PR
Hero Member
*****
Offline Offline

Activity: 756



View Profile
February 02, 2013, 04:42:10 PM
 #6

E = even
O = odd

Ah, okay. Cool.

My Credentials  | THE BTC Stock Exchange | I have my very own anthology! | Use bitcointa.lk, it's like this one but better.
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
February 02, 2013, 05:15:08 PM
 #7


Ukyo's idea, to give due credit. As well as to put CoinBr right in the names of the assets Grin

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
molecular
Donator
Legendary
*
Offline Offline

Activity: 2408



View Profile
February 03, 2013, 08:52:38 PM
 #8

Is CoinBr (or jurav) affiliated with bitfunder somehow?

PGP key molecular F9B70769 fingerprint 9CDD C0D3 20F8 279F 6BE0  3F39 FC49 2362 F9B7 0769
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
February 03, 2013, 09:27:51 PM
 #9

Is CoinBr (or jurav) affiliated with bitfunder somehow?
I'm just one of issuers there.

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
February 21, 2013, 10:39:41 AM
 #10

CoinBr.iDiff-E February expired as planned, paid everyone 0.03651011 per share (current difficulty) and also returned remaining collateral 0.08-0.03651011 = 0.04348989 per share to people who were short selling. In few days it will be reintroduced as CoinBr.iDiff-E April.

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
molecular
Donator
Legendary
*
Offline Offline

Activity: 2408



View Profile
February 21, 2013, 11:25:18 AM
 #11

CoinBr.iDiff-E February expired as planned, paid everyone 0.03651011 per share (current difficulty) and also returned remaining collateral 0.08-0.03651011 = 0.04348989 per share to people who were short selling. In few days it will be reintroduced as CoinBr.iDiff-E April.

what happens to existing shares? can you "decommission" them?

PGP key molecular F9B70769 fingerprint 9CDD C0D3 20F8 279F 6BE0  3F39 FC49 2362 F9B7 0769
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
February 21, 2013, 12:36:14 PM
 #12

CoinBr.iDiff-E February expired as planned, paid everyone 0.03651011 per share (current difficulty) and also returned remaining collateral 0.08-0.03651011 = 0.04348989 per share to people who were short selling. In few days it will be reintroduced as CoinBr.iDiff-E April.

what happens to existing shares? can you "decommission" them?
Yes, we'll start with clean slate. MPBPT works this way, too. Both iDiff and MPBPT are investments where you can either profit or lose part of your investment, so keeping the shares would require some kind of "negative dividends". It's simpler just to remove all shares and pay everyone out at expiration date. Another possibility would be mutual fund with fixed pricing based on underlying assets, maybe that will happen in future.

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
molecular
Donator
Legendary
*
Offline Offline

Activity: 2408



View Profile
February 21, 2013, 01:22:15 PM
 #13

CoinBr.iDiff-E February expired as planned, paid everyone 0.03651011 per share (current difficulty) and also returned remaining collateral 0.08-0.03651011 = 0.04348989 per share to people who were short selling. In few days it will be reintroduced as CoinBr.iDiff-E April.

what happens to existing shares? can you "decommission" them?
Yes, we'll start with clean slate. MPBPT works this way, too. Both iDiff and MPBPT are investments where you can either profit or lose part of your investment, so keeping the shares would require some kind of "negative dividends". It's simpler just to remove all shares and pay everyone out at expiration date. Another possibility would be mutual fund with fixed pricing based on underlying assets, maybe that will happen in future.

totally acceptable. Just wasn't sure how it would go down technically (I don't know bitfunder from issuer perspective at all)

PGP key molecular F9B70769 fingerprint 9CDD C0D3 20F8 279F 6BE0  3F39 FC49 2362 F9B7 0769
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
February 23, 2013, 11:24:34 PM
 #14

CoinBr.iDiff-E April now open. Ask set accordingly to our assessment of difficulty to stay < 9.5m Wink We'll see... Bids were left as is, you may want to update them.

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
March 20, 2013, 07:06:55 PM
 #15

CoinBr.iDiff-O paid 0.04847647 BTC/share as per current difficulty, liquidated and reissued with 15th May expiration.

Also,CoinBr.iDiff-E now sells again at 0.095!

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
April 13, 2013, 09:45:27 AM
 #16

Quote
<jurov> ;;bc,stats
<gribble> Current Blocks: 231122 | Current Difficulty: 7672999.920164138 | Next Difficulty At Block: 231839 | Next Difficulty In: 717 blocks | Next Difficulty In About: 4 days, 4 hours, 37 minutes, and 53 seconds | Next Difficulty Estimate: 9033281.16731 | Estimated Percent Change: 17.72815
As CoinBr.iDiff-E expires in 4 days (on Wednesday midnight UTC), seems it will be interesting till last moment. If you don't want to get only 0.07672999 paid per share, mine hard!  Wink

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
April 18, 2013, 10:46:44 AM
 #17

CoinBr.iDiff-E April future liquidated with 0.08974296 paid per share. Jun issue under preparation.

There were few chaotic trades ysterday jsut before closing, I can understand some wanted to liquidate prematurely, but there were some new shares bought at a loss too.... if you don't understand how this work, don't be shy to ask!

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
May 08, 2013, 08:32:59 PM
 #18

CoinBr.iDiff-E price at its lowest ... now only at 0.17 BTC.

Thinking we now have silence before ASIC storm in June and difficulty will be over 17 million on June 19? BUY! Wink

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
gog1
Hero Member
*****
Offline Offline

Activity: 756


View Profile
May 08, 2013, 09:31:16 PM
 #19

Is there forced buy-back for the short if difficulty spikes?

The shares do get liquidated on expiration?
rini17
Sr. Member
****
Offline Offline

Activity: 340


GO http://bitcointa.lk !!! My new nick: jurov


View Profile WWW
May 09, 2013, 10:55:13 AM
 #20

Is there forced buy-back for the short if difficulty spikes?
Yes, if difficulty spikes to 35 million(EDIT: this limit is different for every month, check the description), they expire and pay off prematurely.
The shares do get liquidated on expiration?
Yes.

CoinBr.com: First online MPEx brokerage launched beta! Easy to use interface and reasonable fees. Charts for MPEx stocks: live.coinbr.com * My Blog *
Pages: [1] 2 »  All
  Print  
 
Jump to:  

Sponsored by , a Bitcoin-accepting VPN.
Powered by MySQL Powered by PHP Powered by SMF 1.1.19 | SMF © 2006-2009, Simple Machines Valid XHTML 1.0! Valid CSS!