| Nxt | Blockchain Platform | Proof of Stake | Official

[devphp]

I dont mean to be againt nxt, but just dont quite get it how that POS system will under terms of monetary system.

The devs plan to have NXTs provide backing for other currencies issued against NXTs, this feature is called Monetary System. This takes care of the big stakeholders not spending NXTs, because, say, you only have 100 000 NXTs, you can 'lock' them to create your own currency and use it as long as those 100 000 NXTs are 'locked' and back your new currency. You can put that new currency you issued backed by your 100 000 NXTs into the economy. After that that currency may or may not appreciate against NXTs, depending on how well you manage it. Big holders not doing anything with their NXTs can sit on them all they want. You can make the NXT world go around even with a relatively small amount of NXTs by making your stash work, by providing loans if you want in that currency you issued, by paying your employees, you can essentially be a small bank and issue your own banknotes just like every small bank in US in the 19th century issued their own, there were hundreds of banks with their own banknotes at that time.

At least that's what the devs have in their mind, let's wait for them to deliver, they say the MS is already being tested.

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[ChuckOne]

I got yet another infrastructure request to you, guys.

Have a look: http://charts.nxtcrypto.org/cNoOfAwardedForgers.aspx

We need more forging accounts.

Big stakeholders, split up your accounts to at most 5 million NXTs, please.

Small stakeholders, form hubs and forge together. Each active NXT helps.

Thanks.

As I haven't been following all of the progress with nxt can you elaborate on methods to efficiently forge. I've tried to obtain this info from the forums but still have lots of questions.

1) Can I just download a client and start forging? Can my friends with nxt lease them to me and I forge on my laptop using the client I downloaded?

2) If I download a client is this what is referred to as a hub?

3) What is the best hardware to run a hub for forging?

4) Am I correct in that I really need to have about 100,000 nxt to forge?

1) Yes. Yes.

2) No. If you download a client, this is referred to as a client. A hub is an account people can lease their power to. To be a true hub, this account should also be forging (otherwise the hub would be senseless). This is a hub for instance: https://nxtforum.org/news-and-announcements/chuckone's-hub/

3) Hmm. Hard to say. Raspis will work. Odroids will work. Your laptops will work. Supercomputers will work. Your smartphone will work. Not sure how much bandwidth will be a game-changer when we approach 1000TPS.

4) No. You can forge with 1 NQT, 10 NQTs, 100000 NQTs, 1 NXT, 100 NXTs, 100000 NXTs, 10000000 NXTs AND any amounts in between.

[JohnnyBTCSeed]

I got yet another infrastructure request to you, guys.

Have a look: http://charts.nxtcrypto.org/cNoOfAwardedForgers.aspx

We need more forging accounts.

Big stakeholders, split up your accounts to at most 5 million NXTs, please.

Small stakeholders, form hubs and forge together. Each active NXT helps.

Thanks.

As I haven't been following all of the progress with nxt can you elaborate on methods to efficiently forge. I've tried to obtain this info from the forums but still have lots of questions.

1) Can I just download a client and start forging? Can my friends with nxt lease them to me and I forge on my laptop using the client I downloaded?

2) If I download a client is this what is referred to as a hub?

3) What is the best hardware to run a hub for forging?

4) Am I correct in that I really need to have about 100,000 nxt to forge?

1) Yes. Yes.

2) No. If you download a client, this is referred to as a client. A hub is an account people can lease their power to. To be a true hub, this account should also be forging (otherwise the hub would be senseless). This is a hub for instance: https://nxtforum.org/news-and-announcements/chuckone's-hub/

3) Hmm. Hard to say. Raspis will work. Odroids will work. Your laptops will work. Supercomputers will work. Your smartphone will work. Not sure how much bandwidth will be a game-changer when we approach 1000TPS.

4) No. You can forge with 1 NQT, 10 NQTs, 100000 NQTs, 1 NXT, 100 NXTs, 100000 NXTs, 10000000 NXTs AND any amounts in between.

So when you say a small stake holder should form a hub to forge, is this statement also then including clients? (I am assuming someone can lease their forging power to my client)

let me rephrase #4 , ok so one can forge with any amount, but in order to earn nxt through forging will i need atleast 100,000 nxt ?

[devphp]

let me rephrase #4 , ok so one can forge with any amount, but in order to earn nxt through forging will i need atleast 100,000 nxt ?

When you lease your forging balance to a pool, you have a fee of 1 NXT, the withdrawal of your forged NXTs also costs 1 NXT = 2 NXTs (tx fees are subject tochange down the road). You can lease your balance for a maximum of 32 000+ blocks. With leased forging as somebody calculated, the threshold value is 6000 NXTs, that means you'll gain more in forged NXTs than your tx fees. Thus, 6000 NXTs is the bare minimum you should have to lease to a pool and expect some gains, the more you can lease - the better. If you have any significant amount, like 100 000, you can try solo forging too, however the chances with 100k NXTs is you can forge 1 block in 12 days or about that.

[ChuckOne]

I like to announce the implementation of a new feature: Smart-Leasing. https://nxtforum.org/account-control/smart-leasing-2277

When leasing, lessor needs to specify the following things:

1) lessee
2) 2) payout account
3) how long

Hub owner will be able to announce the following:

1) % of fees forged remaining in the hub

Forged fees will be distributed without further transactions, when a block is forged and according to balances leased at forging time.

Read things are new to standard leasing.

The Charity Pool is going to use it if people want it. https://nxtforum.org/news-and-announcements/chuckone's-hub/msg39690/#msg39690

[Damelon]

Nxt at Bitcoin2014 video summary:

http://youtu.be/ni1vduR9nys

[ChuckOne]

So when you say a small stake holder should form a hub to forge, is this statement also then including clients? (I am assuming someone can lease their forging power to my client)

let me rephrase #4 , ok so one can forge with any amount, but in order to earn nxt through forging will i need atleast 100,000 nxt ?

Hubs are there for two things:

1) have a steady revenue stream (not necessarily to own account but also for charity)
2) because of 1), also small stakeholders will have active stake, so securing the network


So, the difference is only in terms of how often you get something out of your stake. With a hub, more often but very little each time. On your own, only a few times, but much each time.


So, you question about 100,000 NXTs is more about, what do I need to forge a block each month on my own?

[sparta_cuss]

I dont mean to be againt nxt, but just dont quite get it how that POS system will under terms of monetary system.

The devs plan to have NXTs provide backing for other currencies issued against NXTs, this feature is called Monetary System. This takes care of the big stakeholders not spending NXTs, because, say, you only have 100 000 NXTs, you can 'lock' them to create your own currency and use it as long as those 100 000 NXTs are 'locked' and back your new currency. You can put that new currency you issued backed by your 100 000 NXTs into the economy. After that that currency may or may not appreciate against NXTs, depending on how well you manage it. Big holders not doing anything with their NXTs can sit on them all they want. You can make the NXT world go around even with a relatively small amount of NXTs by making your stash work, by proving loans if you want in that currency you issued, by paying your employees, you can essentially be a small bank and issue your own banknotes just like every small bank in US in the 19th century issued their own, there were hundreds of banks with their own banknotes at that time.

At least that's what the devs have in their mind, let's wait for them to deliver, they say the MS is already being tested.

Is it also possible to issue Assets in your proprietary, bank currency? And if so, would this mitigate the zero-sum game that we seem to be facing regarding fixed asset prices? See here:

For example a company that charges a percentage of business as fees in nxt should grow right along with nxt

Just if the business is backed up by nxt?

Otherwise the amount of nxt dividends will get smaller with a higher price for every nxt and the dividends would be shrinking with nxt growing.

A business that is nxt based will grow with nxt

Yes, but not 1 to 1. If a business is successful competition arises and eats away profit margins. Even if you have your earnings and profits in nxt, it is very hard to keep the same volume and profit if nxt tenfolds or hunderfolds in fiat value.

Well if nxt hundredfolds, assets underperforming nxt will be a small concern
With assets tending to trade opposite of nxt price it seems to offer a natural hedge that keeps overall portfolio value less volatile

Anyway i am used to beating the odds and i intend to do this

Let us meet here in one year and see who is right

James

[Simakki]

I dont mean to be againt nxt, but just dont quite get it how that POS system will under terms of monetary system.

The devs plan to have NXTs provide backing for other currencies issued against NXTs, this feature is called Monetary System. This takes care of the big stakeholders not spending NXTs, because, say, you only have 100 000 NXTs, you can 'lock' them to create your own currency and use it as long as those 100 000 NXTs are 'locked' and back your new currency. You can put that new currency you issued backed by your 100 000 NXTs into the economy. After that that currency may or may not appreciate against NXTs, depending on how well you manage it. Big holders not doing anything with their NXTs can sit on them all they want. You can make the NXT world go around even with a relatively small amount of NXTs by making your stash work, by proving loans if you want in that currency you issued, by paying your employees, you can essentially be a small bank and issue your own banknotes just like every small bank in US in the 19th century issued their own, there were hundreds of banks with their own banknotes at that time.

At least that's what the devs have in their mind, let's wait for them to deliver, they say the MS is already being tested.

Thanks, that will solve the issue what i tried to explain.

Interesting to follow how  cryptos will evolve. I have lot of similar questions related to monetary system and Cryptos but, it is kind of irritating to a non notive speaker to found right terms.

[devphp]

Is it also possible to issue Assets in your proprietary, bank currency? And if so, would this mitigate the zero-sum game that we seem to be facing regarding fixed asset prices? See here:

I believe this can be suggested to devs as an NXT Improvement Proposal. If an issuer of an asset is willing to accept other backed by NXT currencies, why limit that choice.

[Anon136]

Banking systems differs quite a bit from NXT, borrowing creates more money and money multiplier formula, so i dont quite understand how thats suppose to be good thing that, guys how have allready huge amount of nxt are the ones who benefit most.

Someone with 1000 nxt doesnt "benefit more" than someone with 100. He only receives 10 times as much in forging rewards, but he has ten times as much stake, and 10 times as much opportunity cost. Inorder for him to benefit more, he would have to recieve 11 or 12 ect times as much as someone with 100 nxt. Each unit of nxt benefits each individual exactly as much as any other unit of nxt. If each one of us had a million dollars in assets and i decided to allocate 900 thousand to bonds and 100 thousand to nxt and you decided to allocate 900 thousand to nxt and 100 thousand to bonds, you wouldnt be "benefiting more than me" because you sacraficed 900 thousand dollars worth of bond yields in order to acquire that nxt stake. Now of course if just generally wealther than you and so am able to afford more nxt than you, than sure im in a better place than you, but that has nothing to do with nxt specifically, that just comes from the fact that i am wealthier than you in general.

Would be possible that whale who owns big amount of NXT can have lets say 5% "interest" by forging ? Because in this case he would not borrow any of the money for less interest rate ?

well its not a big deal because its entirely negated by the fact that the person recieving the funds has the exact same expected return on investment as the one lending would have had had he not lend the funds. So sure the recipient would have to pay a higher interest rate, but that would be canceled out by the gains the he himself is making on the funds that he borrowed.

I dont mean to be againt nxt, but just dont quite get it how that POS system will under terms of monetary system.

no offense taken. these are rather complicated questions that surely require a little bit of serious thought to think through from anyone, no matter how smart they are.

[starik69]

You can forge with 1 NQT, 10 NQTs, 100000 NQTs

AFAIK this is wrong. Forging begins with 1NXT. 

[Shattered]

*Forgive me if this is a silly question, im new here*

I have 50 NXT coins, and have been forging for 3 or 4 days.
Am i essentially wasting my time forging with such a little balance?

I would like to have a steady stream of coins into my balance.
Whats the best way to accomplish that goal?


Thank you in advance

[lucky88888]

*Forgive me if this is a silly question, im new here*

I have 50 NXT coins, and have been forging for 3 or 4 days.
Am i essentially wasting my time forging with such a little balance?

I would like to have a steady stream of coins into my balance.
Whats the best way to accomplish that goal?


Thank you in advance

well, you are securing the network, but in the case of income from forging alone, then you are wasting time. go lease it out to a pool and you will receive a steady income, find a trusted pool at official forum at nxtforum.org
just remember it cost 1nxt to lease and probably 1nxt to take out again from the pool. but with only 50nxt even forging in a pool will take you years to accumulate just the 2nxt you are about to spend. so only lease out for the good of the network.

50nxt is worth about $3.20 right now, if you were to deposit $3.20 in the bank and wait for it to receive interest. well you won't get a dime, but you will have some extra bank fees which is more than happy to take that $3.20 from your account!

[voldemort628]

*Forgive me if this is a silly question, im new here*

you are forgiven : ))

[JJqiu1]

NXT is very strong.Have a large shipment?? I want to contact

[chris_m]

*Forgive me if this is a silly question, im new here*

I have 50 NXT coins, and have been forging for 3 or 4 days.
Am i essentially wasting my time forging with such a little balance?

I would like to have a steady stream of coins into my balance.
Whats the best way to accomplish that goal?


Thank you in advance

Are you serious? 50 NXT forging for 3 or 4 days? I dont think it is worth to forge because the power fee is more expensive than 50 NXT.
If you really want to forge, I would suggest buy more NXT than 100,000

[Shattered]

*Forgive me if this is a silly question, im new here*

I have 50 NXT coins, and have been forging for 3 or 4 days.
Am i essentially wasting my time forging with such a little balance?

I would like to have a steady stream of coins into my balance.
Whats the best way to accomplish that goal?


Thank you in advance

Are you serious? 50 NXT forging for 3 or 4 days? I dont think it is worth to forge because the power fee is more expensive than 50 NXT.
If you really want to forge, I would suggest buy more NXT than 100,000

So if i had 100k NXT, how much would a weeks worth of forging yield?

[Vega]

*Forgive me if this is a silly question, im new here*

I have 50 NXT coins, and have been forging for 3 or 4 days.
Am i essentially wasting my time forging with such a little balance?

I would like to have a steady stream of coins into my balance.
Whats the best way to accomplish that goal?


Thank you in advance

Are you serious? 50 NXT forging for 3 or 4 days? I dont think it is worth to forge because the power fee is more expensive than 50 NXT.
If you really want to forge, I would suggest buy more NXT than 100,000

So if i had 100k NXT, how much would a weeks worth of forging yield?

http://www.mynxt.info/forging_calculator.php

Simply put, you will not make decent money forging, it's not what it's for.

[devphp]

Simply put, you will not make decent money forging, it's not what it's for.

I'd like to counter-balance your statement a bit - won't make decent money forging at this point. But with each feature added, there are more and more transactions in the NXT network and more fees for forgers. One month ago there were a lot of empty blocks, but since the Asset Exchange launched, the number of empty blocks is small, most blocks come with fees. Just wait till the DGS, Alias trading and other features launch. Of course it's by leaps and bounds at this time, you get a new feature, but the fee may be lowered, but there is a NSC transferred to forgers that can be sold to compensate for lower fees. Also, definition of decent money can be different, sure, you won't make even 5% yearly from forging on your stake, but you don't risk anything either, you don't have to buy any expensive hardware, all you need is a browser. By rought estimates with forging yearly you can make at least what most western banks pay to depositors or more, and you don't need to expect a bank run.

But there is a threshold amount for forging profitability. You need at least 6000 NXTs to do a form of forging called 'leased forging', below that amount you will lose on fees to lease and withdraw your forged NXTs from a pool. 6000+ NXTs or more and you can forge profitably with a pool. 50k-100k NXTs - you can try solo forging if you feel lucky