[OFFICIAL]Bitfinex.com first Bitcoin P2P lending platform for leverage trading

[wilfried]

is the bitstamp-bitfinex link so that arbitrage is not possible? i.e. if bitstamp price is lower than you cant buy @ the bistamp price and vice versa; but then, how comes they have the same price-curves, how is the linking explainable practically? thx

it is there to add liquidity, not to prevent arbitrage. Arbitrage is something positive for the market and the trading sites.

ok, but how comes my orders @ bitstamp prices are never filled, if bitfinex prices are higher?

[TwinWinNerD]

is the bitstamp-bitfinex link so that arbitrage is not possible? i.e. if bitstamp price is lower than you cant buy @ the bistamp price and vice versa; but then, how comes they have the same price-curves, how is the linking explainable practically? thx

it is there to add liquidity, not to prevent arbitrage. Arbitrage is something positive for the market and the trading sites.

ok, but how comes my orders @ bitstamp prices are never filled, if bitfinex prices are higher?

Because Bitfinex doesn't have funds 100% of the time on bitstamp. Also you have to calculate the spread that gets added. Trading fees on BFX <<<BSP!

[wilfried]

one thing about the darkcoin stuff going on on the site:

bitfinex guys, please tell us one/two days before you switch on that darkcoin trading,
cause the btc price on bitfinex will plummet then, because nobody trusts that darkstuff and that will cause a lot of margin calls and so a lot of liquidity beeing trashed, because as we all know all funds are insured by themselves..

Maybe they will add a feature so you decide what your BTCs can be lend for, is that possible?

no, i mean that people will get out of bitfinex as soon as that darkstuff is beeing switched on, just to wait and see how things develop and so it will cause a massive drop in bitfinex-btc-price (for example the kind of guys that think darkcoin is a scam or stuff and bitfinex is involved or other thoughts).

[TwinWinNerD]

one thing about the darkcoin stuff going on on the site:

bitfinex guys, please tell us one/two days before you switch on that darkcoin trading,
cause the btc price on bitfinex will plummet then, because nobody trusts that darkstuff and that will cause a lot of margin calls and so a lot of liquidity beeing trashed, because as we all know all funds are insured by themselves..

Maybe they will add a feature so you decide what your BTCs can be lend for, is that possible?

no, i mean that people will get out of bitfinex as soon as that darkstuff is beeing switched on, just to wait and see how things develop and so it will cause a massive drop in bitfinex-btc-price (for example the kind of guys that think darkcoin is a scam or stuff and bitfinex is involved or other thoughts).

Why would the price decline? People would cashout with BTC rather than USD. So price would climb, if anything happens.

[wilfried]

is the bitstamp-bitfinex link so that arbitrage is not possible? i.e. if bitstamp price is lower than you cant buy @ the bistamp price and vice versa; but then, how comes they have the same price-curves, how is the linking explainable practically? thx

it is there to add liquidity, not to prevent arbitrage. Arbitrage is something positive for the market and the trading sites.

ok, but how comes my orders @ bitstamp prices are never filled, if bitfinex prices are higher?

Because Bitfinex doesn't have funds 100% of the time on bitstamp. Also you have to calculate the spread that gets added. Trading fees on BFX <<<BSP!

thats not possible is it? they are routing the order to bitstamp after adding/substracting bitstamp fees, so one bitstamp order generates revenue for bitfinex? i think the fees bitfinex pays to bitstamp are included in the fees that bitfinex takes from the customers.

[wilfried]

one thing about the darkcoin stuff going on on the site:

bitfinex guys, please tell us one/two days before you switch on that darkcoin trading,
cause the btc price on bitfinex will plummet then, because nobody trusts that darkstuff and that will cause a lot of margin calls and so a lot of liquidity beeing trashed, because as we all know all funds are insured by themselves..

Maybe they will add a feature so you decide what your BTCs can be lend for, is that possible?

no, i mean that people will get out of bitfinex as soon as that darkstuff is beeing switched on, just to wait and see how things develop and so it will cause a massive drop in bitfinex-btc-price (for example the kind of guys that think darkcoin is a scam or stuff and bitfinex is involved or other thoughts).

Why would the price decline? People would cashout with BTC rather than USD. So price would climb, if anything happens.

we will see, but you dont know for sure, so i´d rather stop offering swaps thank risking them

[TwinWinNerD]

is the bitstamp-bitfinex link so that arbitrage is not possible? i.e. if bitstamp price is lower than you cant buy @ the bistamp price and vice versa; but then, how comes they have the same price-curves, how is the linking explainable practically? thx

it is there to add liquidity, not to prevent arbitrage. Arbitrage is something positive for the market and the trading sites.

ok, but how comes my orders @ bitstamp prices are never filled, if bitfinex prices are higher?

Because Bitfinex doesn't have funds 100% of the time on bitstamp. Also you have to calculate the spread that gets added. Trading fees on BFX <<<BSP!

thats not possible is it? they are routing the order to bitstamp after adding/substracting bitstamp fees, so one bitstamp order generates revenue for bitfinex? i think the fees bitfinex pays to bitstamp are included in the fees that bitfinex takes from the customers.

No, look at it this way. You want to buy at 1000$ at bitfinex.

Bitfinex will either execute your order at 1000$ on finex or 1000+X$ on bitstamp. X = the difference between bitstamp fee - bitfinex fee. So for 0.4% - 0.2% = 0.2%   So X would be 1000 *0.002 = 2$

The order would only get filled on bitstamp if the price reaches 1002 there

[Joshuar]

You guys realize that Bitifinex is looking at the $, which is what any exchange with half a mind would do.

Darkcoin has A Lot of buys/sell every hour, much less everyday. There are Buys in the 100s of BTC's, more than Litecoin....

Dark would bring Bitifinex a lot of new revenue...

[TwinWinNerD]

You guys realize that Bitifinex is looking at the $, which is what any exchange with half a mind would do.

Darkcoin has A Lot of buys/sell every hour, much less everyday. There are Buys in the 100s of BTC's.

Dark would bring Bitifinex a lot of new revenue...

Yes but I guess a lot of traders frown apon adding such a coin and will consider leaving this site. There aren't only upsides

[Joshuar]

You guys realize that Bitifinex is looking at the $, which is what any exchange with half a mind would do.

Darkcoin has A Lot of buys/sell every hour, much less everyday. There are Buys in the 100s of BTC's.

Dark would bring Bitifinex a lot of new revenue...

Yes but I guess a lot of traders frown apon adding such a coin and will consider leaving this site. There aren't only upsides

The amount of traders coming in, with 100s of BTC and USD to trade DRK will far outnumber the # leaving because of ignorant reasons frankly..

Dark is traded more than Litecoin and DRK is the 2nd most traded coin besides BTC itself..

[TwinWinNerD]

You guys realize that Bitifinex is looking at the $, which is what any exchange with half a mind would do.

Darkcoin has A Lot of buys/sell every hour, much less everyday. There are Buys in the 100s of BTC's.

Dark would bring Bitifinex a lot of new revenue...

Yes but I guess a lot of traders frown apon adding such a coin and will consider leaving this site. There aren't only upsides

The amount of traders coming in, with 100s of BTC and USD to trade DRK will far outnumber the # leaving because of ignorant reasons frankly..

Sure.

Don't call them ignorant reasons please.

1. DRK is a pseudo-anonyous coin, that hides transactions (ofuscating) and thus makes anonymous transactions possible. If a government/regulation wants to ban those, Bitfinex could get more trouble than would have been neccessar.y

2. DRK has a way-higher volatitlity and lenders don't want to lend to such a risky investment with margin. We know that bitfinex says the money is guaranteed, but we all know that it is only backed by the funds stored on the site, if the total amount available drops below the amount owed to lenders, then they can't pay without running fractional exchange.

[traderman]

Has this whole DRK thing been confirmed officially by Bitfinex or is all this speculation at this point?

[Joshuar]

You guys realize that Bitifinex is looking at the $, which is what any exchange with half a mind would do.

Darkcoin has A Lot of buys/sell every hour, much less everyday. There are Buys in the 100s of BTC's.

Dark would bring Bitifinex a lot of new revenue...

Yes but I guess a lot of traders frown apon adding such a coin and will consider leaving this site. There aren't only upsides

The amount of traders coming in, with 100s of BTC and USD to trade DRK will far outnumber the # leaving because of ignorant reasons frankly..

Sure.

Don't call them ignorant reasons please.

1. DRK is a pseudo-anonyous coin, that hides transactions (ofuscating) and thus makes anonymous transactions possible. If a government/regulation wants to ban those, Bitfinex could get more trouble than would have been neccessar.y

2. DRK has a way-higher volatitlity and lenders don't want to lend to such a risky investment with margin. We know that bitfinex says the money is guaranteed, but we all know that it is only backed by the funds stored on the site, if the total amount available drops below the amount owed to lenders, then they can't pay without running fractional exchange.

I see your concerns. Many people also had the same concerns for BTC, it would be wise to not underestimate/be wary of coins because of new things they bring to the table.

[TwinWinNerD]

I see your concerns. Many people also had the same concerns for BTC, it would be wise to not underestimate/be wary of coins because of new things they bring to the table.

What exactly are you talking about? I have not commented on the quality of the coin... I was talking about regulatory issues and market statistics..

[Joshuar]

I see your concerns. Many people also had the same concerns for BTC, it would be wise to not underestimate/be wary of coins because of new things they bring to the table.

What exactly are you talking about? I have not commented on the quality of the coin... I was talking about regulatory issues and market statistics..

I'm also talking about regulatory issues. I meant people thought BTC was an "anonymous" coin because you couldn't see who owned an address. DRK  takes the next steps with anonymity, I doubt it will get regulated, at least not anytime soon(for a few years) imo

[jabetizo]

is the bitstamp-bitfinex link so that arbitrage is not possible? i.e. if bitstamp price is lower than you cant buy @ the bistamp price and vice versa; but then, how comes they have the same price-curves, how is the linking explainable practically? thx

it is there to add liquidity, not to prevent arbitrage. Arbitrage is something positive for the market and the trading sites.

ok, but how comes my orders @ bitstamp prices are never filled, if bitfinex prices are higher?

Because Bitfinex doesn't have funds 100% of the time on bitstamp. Also you have to calculate the spread that gets added. Trading fees on BFX <<<BSP!

thats not possible is it? they are routing the order to bitstamp after adding/substracting bitstamp fees, so one bitstamp order generates revenue for bitfinex? i think the fees bitfinex pays to bitstamp are included in the fees that bitfinex takes from the customers.

Raphael said here that Bitfinex is no longer brokering Bitstamp orders

[TwinWinNerD]

I see your concerns. Many people also had the same concerns for BTC, it would be wise to not underestimate/be wary of coins because of new things they bring to the table.

What exactly are you talking about? I have not commented on the quality of the coin... I was talking about regulatory issues and market statistics..

I'm also talking about regulatory issues. I meant people thought BTC was an "anonymous" coin because you couldn't see who owned an address. DRK  takes the next steps with anonymity, I doubt it will get regulated, at least not anytime soon(for a few years) imo

Ok, now I get your angle.

The thing is, BTC doesn't go around screaming: "Hey use our coin to make anonymous payments".

But as you say, we will see, only future will tell.

[TwinWinNerD]

is the bitstamp-bitfinex link so that arbitrage is not possible? i.e. if bitstamp price is lower than you cant buy @ the bistamp price and vice versa; but then, how comes they have the same price-curves, how is the linking explainable practically? thx

it is there to add liquidity, not to prevent arbitrage. Arbitrage is something positive for the market and the trading sites.

ok, but how comes my orders @ bitstamp prices are never filled, if bitfinex prices are higher?

Because Bitfinex doesn't have funds 100% of the time on bitstamp. Also you have to calculate the spread that gets added. Trading fees on BFX <<<BSP!

thats not possible is it? they are routing the order to bitstamp after adding/substracting bitstamp fees, so one bitstamp order generates revenue for bitfinex? i think the fees bitfinex pays to bitstamp are included in the fees that bitfinex takes from the customers.

Raphael said here that Bitfinex is no longer brokering Bitstamp orders

Oh, sorry I missed that.

[wilfried]

is the bitstamp-bitfinex link so that arbitrage is not possible? i.e. if bitstamp price is lower than you cant buy @ the bistamp price and vice versa; but then, how comes they have the same price-curves, how is the linking explainable practically? thx

it is there to add liquidity, not to prevent arbitrage. Arbitrage is something positive for the market and the trading sites.

ok, but how comes my orders @ bitstamp prices are never filled, if bitfinex prices are higher?

Because Bitfinex doesn't have funds 100% of the time on bitstamp. Also you have to calculate the spread that gets added. Trading fees on BFX <<<BSP!

thats not possible is it? they are routing the order to bitstamp after adding/substracting bitstamp fees, so one bitstamp order generates revenue for bitfinex? i think the fees bitfinex pays to bitstamp are included in the fees that bitfinex takes from the customers.

Raphael said here that Bitfinex is no longer brokering Bitstamp orders

Oh, sorry I missed that.

yeah, but very interesting posting indeed; correct me if i´m wrong: some days ago i read a post from raphael or giancarlo stating that they just met with the bitstamp guys and everything is fine with them and so on - and now the link is cut??? thats a major change - was there an annoucement or any news? or am i misunderstanding something?

edit: here´s the link to the post:
https://bitcointalk.org/index.php?topic=229438.msg6913625#msg6913625

[Dalmar]

You guys realize that Bitifinex is looking at the $, which is what any exchange with half a mind would do.

Darkcoin has A Lot of buys/sell every hour, much less everyday. There are Buys in the 100s of BTC's.

Dark would bring Bitifinex a lot of new revenue...

Yes but I guess a lot of traders frown apon adding such a coin and will consider leaving this site. There aren't only upsides

The amount of traders coming in, with 100s of BTC and USD to trade DRK will far outnumber the # leaving because of ignorant reasons frankly..

Sure.

Don't call them ignorant reasons please.

1. DRK is a pseudo-anonyous coin, that hides transactions (ofuscating) and thus makes anonymous transactions possible. If a government/regulation wants to ban those, Bitfinex could get more trouble than would have been neccessar.y

2. DRK has a way-higher volatitlity and lenders don't want to lend to such a risky investment with margin. We know that bitfinex says the money is guaranteed, but we all know that it is only backed by the funds stored on the site, if the total amount available drops below the amount owed to lenders, then they can't pay without running fractional exchange.

Plus DRK may just be all hype with little sustainability.

Adding DRK now would only fuel the bubble which is not healthy.

If they are serious about DRK, they should just wait a couple of months. See if people are still interested in it and then perhaps add it. Now is not the best time.