[NXT] Decentralized Asset Exchange Discussion Thread

[7585145]

非常好。　very good.

[Anon136]

Why I can't issue an asset which name is already exist? I got a error as "xcp" is already used.

It's by design.

I don't get it. As "xcp" for example, Some one has issued "xcp" already. And I have some "xcp" and want to sell it. I can't sell it if I didn't  issue it, unless I use another name. Why? I mean all the same thing should be under the same name.

because BobsXCPTokens are a different thing from NxtskysXCPTokens. Just issue them like this NxtskysXCP.

Thanks, as a newbie, I don't completely understand how AE works. Is there any paper used to explain the AE works in detail? The NXT wiki is to simply too describe AE system.

ill just explain it to you right now. Exchanges like nxt, ripple, and mastercoin work with an idea called colored coins. So with a bitcoin any one bitcoin is the same as any other bitcoin. They are what we call fungible. Colored coins are intentionally not fungible. They are intentionally distinct and different from one another. Colored coins have a value attached to them. So for example, speaking in abstractions here, a colored nxt may have the value attached to it of "Nxtsky promises to pay 1 btc to who ever sends him this token, signed netsky". Now that token can be traded on a market.

Lets say betty wants to trade litecoin for bitcoin. She sends litecoin to "hanks litecoin gateway" with a message attached "bettys nxt address:blablabla". Hank will issue "X hankLTCTokens" and sends them to bettys nxt address. Betty uses these to fill the highest bid for on their orderbook thus gaining nxt. Next betty uses her nxt to fill the lowest ask on the orderbook for nxtskysXCPTokens. She sends her nxtskysXCPTokens to nxtskys nxt address with a message attached "bettys xcp address:blablabla". Betty waits for the xcp to arrive.

its obvious to most at first the disadvantages of what i just described. Its very complex compared to sending your coins to cryptsy but this is the cost of decentralization and decentralization comes with its own rewards. at some point in the future you will not just be buying any old random token. You will buy the ones issued by the guy who lives down the street so you can go there and pick them up in person.

[bitcoinpaul]

And what was the idea with trust and reputation within the nxt AE?

[CIYAM]

And what was the idea with trust and reputation within the nxt AE?

These are actually *separate* things - you would need to create a "trust network" on *top* of the AE rather than *within in* as you wouldn't want any AE owner to be able to *manipulate* that "trust network".

[brooklynbtc]

And what was the idea with trust and reputation within the nxt AE?

These are actually *separate* things - you would need to create a "trust network" on *top* of the AE rather than *within in* as you wouldn't want any AE owner to be able to *manipulate* that "trust network".

*trust* should/will be a variable of worth in AE. If not automatic, it will be the invisible hand of the market at work

if I buy a diamond online from Tiffanys.com, I pay more, but it comes in a blue box, UPS delivers it next day, my wife squeals, and i'm on their mailing list forever because we *trust* them

if i buy a diamond online from www.realstonez.ru It might seem cheap, but will it even arrive? is it real? did they steal all my CC info too?

If i buy silver from AnonInc, I'm more inclined to trust it, and assume it will arrive, then I will give feedback of some sort, automated I'm sure, and his *trust* rating goes up, which then would raise his VALUE

[wwdz99]

is the test acc balance be reset? my test acc balance is empty.

or somebody can send me test moeny again?

test acc is 5413092517041829505,thanks

[Zahlen]

Cross-posting from the main thread:

I'm happy to announce that TwinWinNerD has just bought some of my lovely stickers.
Yay!
77 NXT for 5 stickers+postage, its a bargain.

Which made me think: Is this transaction the first time someone has purchased a physical item in exchange for NXT ?
I can't believe no-one has done it before us, but I don't remember seeing anything earlier on in this thread.

I remember reading jefdiesel runs a pizza restaurant? Why wasn't this our first purchase?

We could do it via AE: jef issues Base Regular, Base Large pizza etc. tokens, and Ham, Olives, Green Peppers, etc topping tokens and Thin Crust, Extra Cheese etc option tokens. A pizza-loving nxter customizes and picks up his Compound Pizza Token through the AE, sends jef an AM, and jef delivers.

The world's first pizza sold for crypto$ through an AE!

(Worldwide delivery within 60 mins, piping hot or a 2nd pizza free )

We should have a mechanism for grouping option tokens like this.

I wrote that only in half-jest. What does everyone think about such a grouping mechanism? Would it be practical? e.g. could it be used as proof of pizza purchase? With such tokens on hand, send them to someone as a /r/randomactsofpizza, or trade it for a real one for yourself whenever you like? What about for other items?

EDIT: Here's how *not* to give pizza: http://www.newsweek.com/chevron-gives-residents-near-fracking-explosion-free-pizza-229491

[hisun]

GOOD!
GREAT WORK.
UP
 

[mackbells]

Good job.

[Jerical13]

Glad to see that the asset exchange feature is coming along. I have a proposal for the asset exchange feature. It can truly make decentralized peer to peer transactions/exchanges legitimate. I have been developing this idea ever since the asset exchange feature was first mentioned in NXT. Here it is.

Obviously there are dangers inherent within p2p transactions. The main issue here is the lack of trust, and the trust that is lost by not utilizing a third party. When transactions are non reversible, especially with no intervening regulatory figure, the willingness to exchange goods, services, or currencies becomes an issue. My idea to bypass these issues involves an escrow service, a rating system (similar to those on Ebay and Amazon) and the aliasing feature.

Lets say..

"Joe" wants to exchange something of value with "Sue" but Joe and Sue don't know each other. How can Joe trust Sue in receiving the item in question after Joe pays Sue? Well of course, they can utilize a third party escrow service, which will insure Joe will receive the item in question by transferring money to the escrow service.

But,

you may be asking, doesn't the escrow service defeat the purpose of a true p2p exchange? Yes it does. But it doesn't have to be permanent. This is where NXT can implement a rating based system attached to accounts or the alias' of an account. Think of it as someones credit score attached to a social security number. But within the NXT ecosystem, the credit score is a star based rating, and the social security # is the users NXT account.

Now revisiting Joe and Sue's transaction, they "must" now rate each other based on how well they serviced each other after the transaction has taken place. When Joe and Sue continue to build their "trust" rating with everyday users of NXT, they have the choice of opting out of the escrow service and they can start trading and exchanging with other users that have trustworthy reputable ratings. After people have built trustworthy ratings within the NXT ecosystem, users will now have a much better understanding of whom they are doing business with, and will establish the most efficient p2p exchange mechanism which no other
crypto-currency utilizes.  

I hope you developers see the potential of this system, especially in a p2p environment that exchanges things of value.

NXT:   5464489754473015994

This idea of third party security is a good, idea but why try to incorporate it in the network? it seems to me that it would make the usage of the feature overly complicated to implement and would work better as a private entity (i.e. a for hire security/escrow service) that could work for profit. I think that there is not an issue with financial services or products that are not decentralized. Decentralizing things like financial services and products actually would hurt the network as it would decrease incentive to participate. The Idea behind NXT from my perspective, is to provide a truly free market economy and a decentralized, common currency for that market economy. Decentralizing things like financial services and products takes away the opportunity for people to capitalize on providing these services. You should start your own NXT escrow business and charge people and make money. This is an issue that will define the network. The more things like this that you try to decentralize the more the network is actually going to be centralized. to me it is a waste of resources to try to incorporate these types of things into the network. After all, there is nothing inherently wrong with traditional financial  services and financial products aside from the fact that they are based around inflationary centralized currencies that hold no true market value. Give us a free market and a decentralized currency and let us enjoy it and benefit from it. That is as difficult and complicated as it needs to be.

[Jerical13]

The title pretty much sums it up. This thread is for discussing any aspect of or related to the NXT decentralized asset exchange.

TestNXT instructions:
1. See CfB's post here.
2. Create testNXT account here: https://holms.cloudapp.net:6875
3. DO NOT use your main password account; create an account by using a new, unique passphrase.
4. You can download fmiboy's AE-enabled client here: https://bitcointalk.org/index.php?topic=345619.msg5084677#msg5084677
5. Ask for testNXT in main thread or here; include your testNXT account number.
6. HAVE FUN!

Some links:
http://www.nxtcrypto.org/nxt-asset-exchange
https://bitcointalk.org/index.php?topic=345619.msg5054385#msg5054385
http://wiki.nxtcrypto.org/wiki/Nxt_API#Asset_exchange_operations

A brief explanation of decentralized exchange:
Exchanges like nxt, ripple, and mastercoin work with an idea called colored coins. So with a bitcoin any one bitcoin is the same as any other bitcoin. They are what we call fungible. Colored coins are intentionally not fungible. They are intentionally distinct and different from one another. Colored coins have a value attached to them. So for example, speaking in abstractions here, a colored nxt may have the value attached to it of "Nxtsky promises to pay 1 btc to who ever sends him this token, signed nxtsky". Now that token can be traded on a market.

Lets say betty wants to trade litecoin for bitcoin. She sends litecoin to "hanks litecoin gateway" with a message attached "bettys nxt address:blablabla". Hank will issue "X hankLTCTokens" and sends them to bettys nxt address. Betty uses these to fill the highest bid for on their orderbook thus gaining nxt. Next betty uses her nxt to fill the lowest ask on the orderbook for nxtskysXCPTokens. She sends her nxtskysXCPTokens to nxtskys nxt address with a message attached "bettys xcp address:blablabla". Betty waits for the xcp to arrive.

its obvious to most at first the disadvantages of what i just described. Its very complex compared to sending your coins to cryptsy but this is the cost of decentralization and decentralization comes with its own rewards. at some point in the future you will not just be buying any old random token. You will buy the ones issued by the guy who lives down the street so you can go there and pick them up in person.

So, basically this feature allows some one to generate a token on the NXT network that represents a Bitcoin or a Litecoin or essentially any commodity. Attached to these generated tokens is a "promise to pay" which give them value. These tokens can then be exchanged through the network.

Is the exchange that you describe incorporated into the feature? a user can create a token and place it on the market for open bidding? Is that the jest of what you're describing? Are these tokens divisible? Can they be generated in sets? Is the exchange to be part of the client? Sorry to hit you with so many questions:) Is there some place to find this info? I find this to be a fascinating idea.

[Anon136]

The title pretty much sums it up. This thread is for discussing any aspect of or related to the NXT decentralized asset exchange.

TestNXT instructions:
1. See CfB's post here.
2. Create testNXT account here: https://holms.cloudapp.net:6875
3. DO NOT use your main password account; create an account by using a new, unique passphrase.
4. You can download fmiboy's AE-enabled client here: https://bitcointalk.org/index.php?topic=345619.msg5084677#msg5084677
5. Ask for testNXT in main thread or here; include your testNXT account number.
6. HAVE FUN!

Some links:
http://www.nxtcrypto.org/nxt-asset-exchange
https://bitcointalk.org/index.php?topic=345619.msg5054385#msg5054385
http://wiki.nxtcrypto.org/wiki/Nxt_API#Asset_exchange_operations

A brief explanation of decentralized exchange:
Exchanges like nxt, ripple, and mastercoin work with an idea called colored coins. So with a bitcoin any one bitcoin is the same as any other bitcoin. They are what we call fungible. Colored coins are intentionally not fungible. They are intentionally distinct and different from one another. Colored coins have a value attached to them. So for example, speaking in abstractions here, a colored nxt may have the value attached to it of "Nxtsky promises to pay 1 btc to who ever sends him this token, signed nxtsky". Now that token can be traded on a market.

Lets say betty wants to trade litecoin for bitcoin. She sends litecoin to "hanks litecoin gateway" with a message attached "bettys nxt address:blablabla". Hank will issue "X hankLTCTokens" and sends them to bettys nxt address. Betty uses these to fill the highest bid for on their orderbook thus gaining nxt. Next betty uses her nxt to fill the lowest ask on the orderbook for nxtskysXCPTokens. She sends her nxtskysXCPTokens to nxtskys nxt address with a message attached "bettys xcp address:blablabla". Betty waits for the xcp to arrive.

its obvious to most at first the disadvantages of what i just described. Its very complex compared to sending your coins to cryptsy but this is the cost of decentralization and decentralization comes with its own rewards. at some point in the future you will not just be buying any old random token. You will buy the ones issued by the guy who lives down the street so you can go there and pick them up in person.

So, basically this feature allows some one to generate a token on the NXT network that represents a Bitcoin or a Litecoin or essentially any commodity. Attached to these generated tokens is a "promise to pay" which give them value. These tokens can then be exchanged through the network.

Is the exchange that you describe incorporated into the feature? a user can create a token and place it on the market for open bidding? Is that the jest of what you're describing? Are these tokens divisible? Can they be generated in sets? Is the exchange to be part of the client? Sorry to hit you with so many questions:) Is there some place to find this info? I find this to be a fascinating idea.

my understanding is: yes, yes, yes, yes, yes, yes, yes, yes, yes, yes. (i think i counted the number of questions right )

idk what would be the place to find this info. this thread i think would be the best place. try playing with the test client, that'll help i suspect.

[Jerical13]

The title pretty much sums it up. This thread is for discussing any aspect of or related to the NXT decentralized asset exchange.

TestNXT instructions:
1. See CfB's post here.
2. Create testNXT account here: https://holms.cloudapp.net:6875
3. DO NOT use your main password account; create an account by using a new, unique passphrase.
4. You can download fmiboy's AE-enabled client here: https://bitcointalk.org/index.php?topic=345619.msg5084677#msg5084677
5. Ask for testNXT in main thread or here; include your testNXT account number.
6. HAVE FUN!

Some links:
http://www.nxtcrypto.org/nxt-asset-exchange
https://bitcointalk.org/index.php?topic=345619.msg5054385#msg5054385
http://wiki.nxtcrypto.org/wiki/Nxt_API#Asset_exchange_operations

A brief explanation of decentralized exchange:
Exchanges like nxt, ripple, and mastercoin work with an idea called colored coins. So with a bitcoin any one bitcoin is the same as any other bitcoin. They are what we call fungible. Colored coins are intentionally not fungible. They are intentionally distinct and different from one another. Colored coins have a value attached to them. So for example, speaking in abstractions here, a colored nxt may have the value attached to it of "Nxtsky promises to pay 1 btc to who ever sends him this token, signed nxtsky". Now that token can be traded on a market.

Lets say betty wants to trade litecoin for bitcoin. She sends litecoin to "hanks litecoin gateway" with a message attached "bettys nxt address:blablabla". Hank will issue "X hankLTCTokens" and sends them to bettys nxt address. Betty uses these to fill the highest bid for on their orderbook thus gaining nxt. Next betty uses her nxt to fill the lowest ask on the orderbook for nxtskysXCPTokens. She sends her nxtskysXCPTokens to nxtskys nxt address with a message attached "bettys xcp address:blablabla". Betty waits for the xcp to arrive.

its obvious to most at first the disadvantages of what i just described. Its very complex compared to sending your coins to cryptsy but this is the cost of decentralization and decentralization comes with its own rewards. at some point in the future you will not just be buying any old random token. You will buy the ones issued by the guy who lives down the street so you can go there and pick them up in person.

So, basically this feature allows some one to generate a token on the NXT network that represents a Bitcoin or a Litecoin or essentially any commodity. Attached to these generated tokens is a "promise to pay" which give them value. These tokens can then be exchanged through the network.

Is the exchange that you describe incorporated into the feature? a user can create a token and place it on the market for open bidding? Is that the jest of what you're describing? Are these tokens divisible? Can they be generated in sets? Is the exchange to be part of the client? Sorry to hit you with so many questions:) Is there some place to find this info? I find this to be a fascinating idea.

my understanding is: yes, yes, yes, yes, yes, yes, yes, yes, yes, yes. (i think i counted the number of questions right )

idk what would be the place to find this info. this thread i think would be the best place. try playing with the test client, that'll help i suspect.

Thanks. I will try out he test exchange.......and prolly bug you with some more questions.

[Jerical13]

The title pretty much sums it up. This thread is for discussing any aspect of or related to the NXT decentralized asset exchange.

TestNXT instructions:
1. See CfB's post here.
2. Create testNXT account here: https://holms.cloudapp.net:6875
3. DO NOT use your main password account; create an account by using a new, unique passphrase.
4. You can download fmiboy's AE-enabled client here: https://bitcointalk.org/index.php?topic=345619.msg5084677#msg5084677
5. Ask for testNXT in main thread or here; include your testNXT account number.
6. HAVE FUN!

Some links:
http://www.nxtcrypto.org/nxt-asset-exchange
https://bitcointalk.org/index.php?topic=345619.msg5054385#msg5054385
http://wiki.nxtcrypto.org/wiki/Nxt_API#Asset_exchange_operations

A brief explanation of decentralized exchange:
Exchanges like nxt, ripple, and mastercoin work with an idea called colored coins. So with a bitcoin any one bitcoin is the same as any other bitcoin. They are what we call fungible. Colored coins are intentionally not fungible. They are intentionally distinct and different from one another. Colored coins have a value attached to them. So for example, speaking in abstractions here, a colored nxt may have the value attached to it of "Nxtsky promises to pay 1 btc to who ever sends him this token, signed nxtsky". Now that token can be traded on a market.

Lets say betty wants to trade litecoin for bitcoin. She sends litecoin to "hanks litecoin gateway" with a message attached "bettys nxt address:blablabla". Hank will issue "X hankLTCTokens" and sends them to bettys nxt address. Betty uses these to fill the highest bid for on their orderbook thus gaining nxt. Next betty uses her nxt to fill the lowest ask on the orderbook for nxtskysXCPTokens. She sends her nxtskysXCPTokens to nxtskys nxt address with a message attached "bettys xcp address:blablabla". Betty waits for the xcp to arrive.

its obvious to most at first the disadvantages of what i just described. Its very complex compared to sending your coins to cryptsy but this is the cost of decentralization and decentralization comes with its own rewards. at some point in the future you will not just be buying any old random token. You will buy the ones issued by the guy who lives down the street so you can go there and pick them up in person.

So, basically this feature allows some one to generate a token on the NXT network that represents a Bitcoin or a Litecoin or essentially any commodity. Attached to these generated tokens is a "promise to pay" which give them value. These tokens can then be exchanged through the network.

Is the exchange that you describe incorporated into the feature? a user can create a token and place it on the market for open bidding? Is that the jest of what you're describing? Are these tokens divisible? Can they be generated in sets? Is the exchange to be part of the client? Sorry to hit you with so many questions:) Is there some place to find this info? I find this to be a fascinating idea.

my understanding is: yes, yes, yes, yes, yes, yes, yes, yes, yes, yes. (i think i counted the number of questions right )

idk what would be the place to find this info. this thread i think would be the best place. try playing with the test client, that'll help i suspect.

Thanks. I will try out he test exchange.......and prolly bug you with some more questions.

Tried the test client and had no luck. (to be brutally honest though, luck didn't have so much to do with it as did my ignorance and lack of computer skills.... had trouble with opening the client despite watching tutorials and several attempts from other members to help me). Do you have any idea when this feature will be real world functional and if there will be accessibility for the programing handicapped and syntax retarded? Hate to keep bugging ya.... But this feature is really the whole essence of the Crypto movement, and I am really looking forward to the possibilities... I am sure you are aware of its implications.... just wish I could play. Thanks for the help and info.

[Jerical13]

The title pretty much sums it up. This thread is for discussing any aspect of or related to the NXT decentralized asset exchange.

TestNXT instructions:
1. See CfB's post here.
2. Create testNXT account here: https://holms.cloudapp.net:6875
3. DO NOT use your main password account; create an account by using a new, unique passphrase.
4. You can download fmiboy's AE-enabled client here: https://bitcointalk.org/index.php?topic=345619.msg5084677#msg5084677
5. Ask for testNXT in main thread or here; include your testNXT account number.
6. HAVE FUN!

Some links:
http://www.nxtcrypto.org/nxt-asset-exchange
https://bitcointalk.org/index.php?topic=345619.msg5054385#msg5054385
http://wiki.nxtcrypto.org/wiki/Nxt_API#Asset_exchange_operations

A brief explanation of decentralized exchange:
Exchanges like nxt, ripple, and mastercoin work with an idea called colored coins. So with a bitcoin any one bitcoin is the same as any other bitcoin. They are what we call fungible. Colored coins are intentionally not fungible. They are intentionally distinct and different from one another. Colored coins have a value attached to them. So for example, speaking in abstractions here, a colored nxt may have the value attached to it of "Nxtsky promises to pay 1 btc to who ever sends him this token, signed nxtsky". Now that token can be traded on a market.

Lets say betty wants to trade litecoin for bitcoin. She sends litecoin to "hanks litecoin gateway" with a message attached "bettys nxt address:blablabla". Hank will issue "X hankLTCTokens" and sends them to bettys nxt address. Betty uses these to fill the highest bid for on their orderbook thus gaining nxt. Next betty uses her nxt to fill the lowest ask on the orderbook for nxtskysXCPTokens. She sends her nxtskysXCPTokens to nxtskys nxt address with a message attached "bettys xcp address:blablabla". Betty waits for the xcp to arrive.

its obvious to most at first the disadvantages of what i just described. Its very complex compared to sending your coins to cryptsy but this is the cost of decentralization and decentralization comes with its own rewards. at some point in the future you will not just be buying any old random token. You will buy the ones issued by the guy who lives down the street so you can go there and pick them up in person.

So, basically this feature allows some one to generate a token on the NXT network that represents a Bitcoin or a Litecoin or essentially any commodity. Attached to these generated tokens is a "promise to pay" which give them value. These tokens can then be exchanged through the network.

Is the exchange that you describe incorporated into the feature? a user can create a token and place it on the market for open bidding? Is that the jest of what you're describing? Are these tokens divisible? Can they be generated in sets? Is the exchange to be part of the client? Sorry to hit you with so many questions:) Is there some place to find this info? I find this to be a fascinating idea.

my understanding is: yes, yes, yes, yes, yes, yes, yes, yes, yes, yes. (i think i counted the number of questions right )

idk what would be the place to find this info. this thread i think would be the best place. try playing with the test client, that'll help i suspect.

Hi again. I have been screwing around with this feature for a while to today,(mostly reading and watching vids about the topic) I tried your suggestion about using the test version but I am limited by my knowledge of computers and couldn't get the test client to work. I have found out a lot and while I would like to try out the test exchange, I think I have a decent understanding of the feature, so thanks for the help and info. I do how ever have a few more questions about the client that I wasn't able to find info on.

Once the exchange is operational there will be two clients, one for Forging coins and sending and receiving coins and then another for the exchange, Is this correct or will the exchange client incorporate all of these functions in one client? Are transactions that are done through the exchange processed on the same block chain as the currency? And are there fees associated with exchange transactions and If so how do they work (paid in currency or paid in the exchanged asset or some other way?)

I realize you are busy, so if there is a link you could suggest or a source of info that might help.....at any rate any info you might give would be appreciated and maybe answer someone else's  questions as well. And thanks again.

[Jerical13]

 could I get some Test NXT for the asset exchange?

testNXT 2630721545000745539

[Anon136]

The title pretty much sums it up. This thread is for discussing any aspect of or related to the NXT decentralized asset exchange.

TestNXT instructions:
1. See CfB's post here.
2. Create testNXT account here: https://holms.cloudapp.net:6875
3. DO NOT use your main password account; create an account by using a new, unique passphrase.
4. You can download fmiboy's AE-enabled client here: https://bitcointalk.org/index.php?topic=345619.msg5084677#msg5084677
5. Ask for testNXT in main thread or here; include your testNXT account number.
6. HAVE FUN!

Some links:
http://www.nxtcrypto.org/nxt-asset-exchange
https://bitcointalk.org/index.php?topic=345619.msg5054385#msg5054385
http://wiki.nxtcrypto.org/wiki/Nxt_API#Asset_exchange_operations

A brief explanation of decentralized exchange:
Exchanges like nxt, ripple, and mastercoin work with an idea called colored coins. So with a bitcoin any one bitcoin is the same as any other bitcoin. They are what we call fungible. Colored coins are intentionally not fungible. They are intentionally distinct and different from one another. Colored coins have a value attached to them. So for example, speaking in abstractions here, a colored nxt may have the value attached to it of "Nxtsky promises to pay 1 btc to who ever sends him this token, signed nxtsky". Now that token can be traded on a market.

Lets say betty wants to trade litecoin for bitcoin. She sends litecoin to "hanks litecoin gateway" with a message attached "bettys nxt address:blablabla". Hank will issue "X hankLTCTokens" and sends them to bettys nxt address. Betty uses these to fill the highest bid for on their orderbook thus gaining nxt. Next betty uses her nxt to fill the lowest ask on the orderbook for nxtskysXCPTokens. She sends her nxtskysXCPTokens to nxtskys nxt address with a message attached "bettys xcp address:blablabla". Betty waits for the xcp to arrive.

its obvious to most at first the disadvantages of what i just described. Its very complex compared to sending your coins to cryptsy but this is the cost of decentralization and decentralization comes with its own rewards. at some point in the future you will not just be buying any old random token. You will buy the ones issued by the guy who lives down the street so you can go there and pick them up in person.

So, basically this feature allows some one to generate a token on the NXT network that represents a Bitcoin or a Litecoin or essentially any commodity. Attached to these generated tokens is a "promise to pay" which give them value. These tokens can then be exchanged through the network.

Is the exchange that you describe incorporated into the feature? a user can create a token and place it on the market for open bidding? Is that the jest of what you're describing? Are these tokens divisible? Can they be generated in sets? Is the exchange to be part of the client? Sorry to hit you with so many questions:) Is there some place to find this info? I find this to be a fascinating idea.

my understanding is: yes, yes, yes, yes, yes, yes, yes, yes, yes, yes. (i think i counted the number of questions right )

idk what would be the place to find this info. this thread i think would be the best place. try playing with the test client, that'll help i suspect.

Hi again. I have been screwing around with this feature for a while to today,(mostly reading and watching vids about the topic) I tried your suggestion about using the test version but I am limited by my knowledge of computers and couldn't get the test client to work. I have found out a lot and while I would like to try out the test exchange, I think I have a decent understanding of the feature, so thanks for the help and info. I do how ever have a few more questions about the client that I wasn't able to find info on.

Once the exchange is operational there will be two clients, one for Forging coins and sending and receiving coins and then another for the exchange, Is this correct or will the exchange client incorporate all of these functions in one client? Are transactions that are done through the exchange processed on the same block chain as the currency? And are there fees associated with exchange transactions and If so how do they work (paid in currency or paid in the exchanged asset or some other way?)

I realize you are busy, so if there is a link you could suggest or a source of info that might help.....at any rate any info you might give would be appreciated and maybe answer someone else's  questions as well. And thanks again.

Transactions in the decentralized exchange are processed on the same blockchain as the currency. Yes there are fees, just like bitcoin you are bidding for inclusion, but probably there will be a hard coded minimum to prevent spam, probably it will be 1nxt or 0.1nxt. fees are payed in nxt.

[Jerical13]

The title pretty much sums it up. This thread is for discussing any aspect of or related to the NXT decentralized asset exchange.

TestNXT instructions:
1. See CfB's post here.
2. Create testNXT account here: https://holms.cloudapp.net:6875
3. DO NOT use your main password account; create an account by using a new, unique passphrase.
4. You can download fmiboy's AE-enabled client here: https://bitcointalk.org/index.php?topic=345619.msg5084677#msg5084677
5. Ask for testNXT in main thread or here; include your testNXT account number.
6. HAVE FUN!

Some links:
http://www.nxtcrypto.org/nxt-asset-exchange
https://bitcointalk.org/index.php?topic=345619.msg5054385#msg5054385
http://wiki.nxtcrypto.org/wiki/Nxt_API#Asset_exchange_operations

A brief explanation of decentralized exchange:
Exchanges like nxt, ripple, and mastercoin work with an idea called colored coins. So with a bitcoin any one bitcoin is the same as any other bitcoin. They are what we call fungible. Colored coins are intentionally not fungible. They are intentionally distinct and different from one another. Colored coins have a value attached to them. So for example, speaking in abstractions here, a colored nxt may have the value attached to it of "Nxtsky promises to pay 1 btc to who ever sends him this token, signed nxtsky". Now that token can be traded on a market.

Lets say betty wants to trade litecoin for bitcoin. She sends litecoin to "hanks litecoin gateway" with a message attached "bettys nxt address:blablabla". Hank will issue "X hankLTCTokens" and sends them to bettys nxt address. Betty uses these to fill the highest bid for on their orderbook thus gaining nxt. Next betty uses her nxt to fill the lowest ask on the orderbook for nxtskysXCPTokens. She sends her nxtskysXCPTokens to nxtskys nxt address with a message attached "bettys xcp address:blablabla". Betty waits for the xcp to arrive.

its obvious to most at first the disadvantages of what i just described. Its very complex compared to sending your coins to cryptsy but this is the cost of decentralization and decentralization comes with its own rewards. at some point in the future you will not just be buying any old random token. You will buy the ones issued by the guy who lives down the street so you can go there and pick them up in person.

So, basically this feature allows some one to generate a token on the NXT network that represents a Bitcoin or a Litecoin or essentially any commodity. Attached to these generated tokens is a "promise to pay" which give them value. These tokens can then be exchanged through the network.

Is the exchange that you describe incorporated into the feature? a user can create a token and place it on the market for open bidding? Is that the jest of what you're describing? Are these tokens divisible? Can they be generated in sets? Is the exchange to be part of the client? Sorry to hit you with so many questions:) Is there some place to find this info? I find this to be a fascinating idea.

my understanding is: yes, yes, yes, yes, yes, yes, yes, yes, yes, yes. (i think i counted the number of questions right )

idk what would be the place to find this info. this thread i think would be the best place. try playing with the test client, that'll help i suspect.

Hi again. I have been screwing around with this feature for a while to today,(mostly reading and watching vids about the topic) I tried your suggestion about using the test version but I am limited by my knowledge of computers and couldn't get the test client to work. I have found out a lot and while I would like to try out the test exchange, I think I have a decent understanding of the feature, so thanks for the help and info. I do how ever have a few more questions about the client that I wasn't able to find info on.

Once the exchange is operational there will be two clients, one for Forging coins and sending and receiving coins and then another for the exchange, Is this correct or will the exchange client incorporate all of these functions in one client? Are transactions that are done through the exchange processed on the same block chain as the currency? And are there fees associated with exchange transactions and If so how do they work (paid in currency or paid in the exchanged asset or some other way?)

I realize you are busy, so if there is a link you could suggest or a source of info that might help.....at any rate any info you might give would be appreciated and maybe answer someone else's  questions as well. And thanks again.

Transactions in the decentralized exchange are processed on the same blockchain as the currency. Yes there are fees, just like bitcoin you are bidding for inclusion, but probably there will be a hard coded minimum to prevent spam, probably it will be 1nxt or 0.1nxt. fees are payed in nxt.

Thanks. Finally figured out the test client. I am gonna mess with it for a bit and see how it works. thanks for the help.

[pt]

Anyone care to give coins for the Exchange?

Thanks in advance.

4768424258192371668

[mackbells]

great job.