I don't think this scheme deters you necessarily from caring about the investors. If anything it puts you on the spot if site profit ever deviates significantly again from the 1% line. In other words you're gonna lose all credibility if another nakowa event takes place.
Oo What? If nakowas happening, which are big betters, making fluktuating the profit in a mathematically optimised border would make someone think dooglus isnt credible then for sure the investor isnt right in his head. Otherwise your fortune telling threat would mean dooglus would have to lower max profit even more which in fact means a lower kelly criterion.
And i think the argument that the new system has to come because dooglus could steal the house isnt valid since he already became a USD-Millionaire with JD. Seeing him in the forum, seeing what he writes about and thinks let me think that he didnt change livestyle the way that 1 Million USD would be too worse than 4 Million USD or maybe even 36Million when stealing the house. If there would be a hint that dooglus's character is that way then investing is the highest risk. Fees wouldnt safe it.
Dooglus:
so just getting back to pre-nakowa site profit levels isn't enough for investors to get back to peak profit.
I think it shows a nice character that you care for the investors that lost but investment is risk and you dont have to make sure everyone wins. Otherwise you would have a unsolveable task doing that for gamblers too.
Investors know the risk, investors should know the mathematics behind and because of that they should know that unusual high wins of players have to go back sooner or later. Staying invested is the way to solve it.
You made the decision to lower the risk for all investors though that means on the other hand that investors that believe in the math behind and want to take higher risks are punished now. Again, i dont think that you have to ensure that every investor makes profit.
Dooglus
Also, what is this "fall back to the 1% line" thing? We've been around 0.2 to 0.3% profit for a couple of months now, it seems to me. It will take a long time to get back near 1%, if it ever happens. I guess I misunderstood what you're suggesting we wait for.
I believe he meant the chart at
https://bitcoinproject.net/justdice.php that calculates the theoretical profit coming from the house edge. Thats why i dont see why you think you would have earned more fees with the new system. Is it because of the 0.2% profit? Im not sure but i believe its natural when the house isnt as high as it is today from the start.
The JD-Profit cant possibly be at 1% because the house started with low amounts. Those low amounts made their 1% profit each. But when you add more and more thousands to the house then it looks like the profit isnt matching anymore. The reason is only that the house wasnt from the start at 36000BTC. I think thats the reason. And no i really dont think that it looks bad. It looks GREAT. Im angry at myself that i didnt check out JD some months ago. The monthly profit is great. Way more than the 24% Asicminer shares brought and 24% annual is already great. So i think you have a great website and i dont see the reason for your melancholy.
Because of that i dont see why you should have gotten more fees with the new system. I believe you would be exactly at the point you are now. Otherwise... think about it... 4 times higher fee means the investors would have made only 60% profit anymore while you get 40%. Thats nothing that will work very well i think.
Dooglus
And I don't feel like I have a good solution for how to treat those investors who are due a bunch of commission-free profits. Like the guy who bought the old mechs account, which had some 200 BTC of investment losses, and so is able to earn 200 BTC of investment profit before paying any more commission.
When you charge per bet then when would you charge the investors? Surely not really at each bet. So at the end you would charge each investors investment once a week, daily or so in order to not kill your server. And when they divest. So thats the time when you take investment losses into account. It even would work together with individual risk settings per investor when you divide the investment value into the investment value AND the max risked amount of bitcoins like i proposed as a way for implementing individual kelly values.
The investment losses would die with the new system over time though because everyone pays a practically fixed fee and the theoretical profit is NEVER dropping down. So those calculations can stop at some point because everyone pays always.
Dooglus
Lots of investors have been divesting and withdrawing recently. I'm guessing a bunch finally got back into profit after suffering large losses to nakowa and have been waiting for that point to quit the site.
Nice... Its not hurting. Remaining investors have a slightly higher risk but higher reward too because the house is smaller. If the max profit at some point really is too low then there are options to defend...