[ANN] [NAUT] Nautiluscoin - First Coin w/Stabilization Fund - Digishield

[BK_PHI]

Now, while we're on the subject of the NSF I wanted to ask you - do you think the need for the NSF will disappear as the market cap grows, or will there always be a room for it? The reason why I'm asking is because the larger a coins cap is, the less volatile it is. This is not surprising as more and more money is required to move it, but I wanted to hear your thoughts on if you can see a point where you would dismantle the NSF altogether? If not, do you think the best bet is to automate is as use of NAUT grows to keep it as neutral as possible?

It is possible that the NSF could morph into something else as the price stabilizes. One reason why I have not automated it yet is because I want to retain the ability to remain flexible - always keeping in mind the goal is to prevent massive price swings. That being said, the price volatility has been much larger than I expected - I did not anticipate the power of miners auto-selling (that is the price of being a newbie).  The flaw in my logic was that I assumed all holders of the coin would have the same objective, i.e. increased market cap - but clearly paying an electric bill in fiat was more important.

As the ecosystem grows the possibilities are endless - one potential is using the NSF as collateral for a derivatives contract.  If we leverage the NSF we could conceivably place a floor under the price - this floor may have to be significantly away form the market, but it would still establish more stability as the market cap grows.  Alternatively, if options are ever traded on NAUT we could sell calls against the fund to generate income and grow the NSF resources. Of course these are a long way off.

But the real stability/support will come when there is a reason people have to buy NAUT - that is to say a product or service they want is only priced in NAUT.  The oil market is a great example, every benchmark is priced in US Dollars.  I am working on a few projects that will push NAUT toward becoming a reserve currency for the crypto world.


-BK

[Wheeljack]

You could sell NAUT to Wall Street as a way to invest in other cryptos indirectly. You buy on their behalf via NAUT, the NSF eats the risk, you pay out via NAUT on demand and any fees go back into the NSF.

All the talk about Wall Street in this thread is always one directional : NAUT as "wall street's coin", selling NAUT as asset class. But what about the problem you could solve for investors by having NAUT as an instrument that works the other way, allowing people to invest in the market without worrying about scammy coins and dishonest exchanges? There are a lot of people out there who have made substantial money on tipping and joke currencies like Doge, and NAUT is an ideal way for them to "grow up" and for Wall Street to exploit that resource, and encourage eagerness for serious investments. #getnauti could be #getserious for younger people who have had fun with Doge or BC, and now want something with a little more bite. Looking at all those juicy 250k market caps on CCM and Naut is primed to take a bite of them on behalf of investors...

[axsdf]

The same thing goes with down swings, since it takes longer to discover new blocks you need to give it more room to go down, but not enough to send it to the floor.

[BK_PHI]

You could sell NAUT to Wall Street as a way to invest in other cryptos indirectly. You buy on their behalf via NAUT, the NSF eats the risk, you pay out via NAUT on demand and any fees go back into the NSF.

I am trying to understand your idea: Are you suggesting NAUT become a 'hedge' fund of crypto coins?  If you buy NAUT you are buying a basket of coins?

[Wheeljack]

You could sell NAUT to Wall Street as a way to invest in other cryptos indirectly. You buy on their behalf via NAUT, the NSF eats the risk, you pay out via NAUT on demand and any fees go back into the NSF.

I am trying to understand your idea: Are you suggesting NAUT become a 'hedge' fund of crypto coins?  If you buy NAUT you are buying a basket of coins?

As toxic as this idea might sound to many here, I am absolutely suggesting this.

Think about it this way.

You buy NAUT on an exchange. That's "bronze" level. It goes into your wallet. That's for us, traditional Bitcoin enthusiasts, people who spend a small amount of money experimenting with crypto because it's fun, and occasionally there's a payout to our speculation. Mostly we have Bitcoin. We like tech, new algos and strong personalities. We mostly don't have any economic experience.

But you could also offer a "silver" or "gold" level where you don't buy NAUT on an exchange, but via a card or document. Something to hold that anyone can understand. The user still keeps the private keys (this is vital) to the wallet, but additionally you may offer a "sliding scale" service where a viable % is also paid to purchase a basket of coins on behalf of invesotrs. The user doesn't get those coins in a wallet, only the NAUT, but they can convert those back into NAUT. This for risk adverse investors who want to put a large amount of money down and not worry about the details. People with economic experience who have many other assets to think about. Imagine how profitable it would have been to have this in Febuary, before Darkcoin and before Black! Then you can start tempting the "bronze" level in with merchant deals or bonuses...

The mistake with DIRAC was currency pairing, which is nothing but the same mistake as having a peg and actually a step backwards from your "reserve currency" idea. But NAUT's strength so far is that it is a coin that learns from its mistakes. Very quickly. You already bought some DIRAC, why not a "basket" fund for your investors, too? Why stop at one pair? Who says we even need exchanges?

[mdtspain]

I am trying to understand your idea: Are you suggesting NAUT become a 'hedge' fund of crypto coins?  If you buy NAUT you are buying a basket of coins?

This is a great possibility....if you know ALL the ins and outs from the coins, dev, fudsters etc... from the coins where you make the basket from. Otherwise this will become a desaster, in my opinion

You will need to know everything. In CC we don't know anything, what is the real name of the coin owner, a phonenumber, which country he comes from....just to start with.

Letting a coin proof itself to BK, make a list with requirements to become part of a basket......that will change the game

Sorry for the updates all the time...lol

[BK_PHI]

You could sell NAUT to Wall Street as a way to invest in other cryptos indirectly. You buy on their behalf via NAUT, the NSF eats the risk, you pay out via NAUT on demand and any fees go back into the NSF.

I am trying to understand your idea: Are you suggesting NAUT become a 'hedge' fund of crypto coins?  If you buy NAUT you are buying a basket of coins?

As toxic as this idea might sound to many here, I am absolutely suggesting this.

Think about it this way.

You buy NAUT on an exchange. That's "bronze" level. It goes into your wallet. That's for us, traditional Bitcoin enthusiasts, people who spend a small amount of money experimenting with crypto because it's fun, and occasionally there's a payout to our speculation. Mostly we have Bitcoin. We like tech, new algos and strong personalities. We mostly don't have any economic experience.

But you could also offer a "silver" or "gold" level where you don't buy NAUT on an exchange, but via a card or document. Something to hold that anyone can understand. The user still keeps the private keys (this is vital) to the wallet, but additionally you may offer a "sliding scale" service where a viable % is also paid to purchase a basket of coins on behalf of invesotrs. The user doesn't get those coins in a wallet, only the NAUT, but they can convert those back into NAUT. This for risk adverse investors who want to put a large amount of money down and not worry about the details. People with economic experience who have many other assets to think about. Imagine how profitable it would have been to have this in Febuary, before Darkcoin and before Black! Then you can start tempting the "bronze" level in with merchant deals or bonuses...

The mistake with DIRAC was currency pairing, which is nothing but the same mistake as having a peg and actually a step backwards from your "reserve currency" idea. But NAUT's strength so far is that it is a coin that learns from its mistakes. Very quickly. You already bought some DIRAC, why not a "basket" fund for your investors, too? Why stop at one pair? Who says we even need exchanges?

I like the idea and it is actually something I have been working on - essentially what you are suggesting is a fund that is priced in NAUT - similar to John Paulson's fund that is priced in Gold.  At this point I am at the regulatory exploration stage, I am not sure whether or not it would fall under US securities law.  I know I can setup a private investment vehicle, it gets trickier when offering to the general public.

[Wheeljack]

Using blockchain technology, your fund would never need know or hold the assets. They would go directly to your investors: their NAUT private keys become the keys to the vault, as it were.

It's potentially so much more than just pricing in NAUT. Think big. "Thinking outside the box" in crypto usually translates as "thinking outside of exchanges"

I'm not sure if that makes for worse or better from a regulatory perspective... but that's why you're the captain of this ship, other coins don't give a crap about any of this stuff.

[zhulick]

i also like the idea of something like "Nautilus Holdings LLC" that essentially acts like a holding company, but for crypto...

and i would love to see that company buck the current trend towards anonymity and go full SEC compliant, and offer shares in in the holding company as pink sheets...

i remember you mentioning that you started this coin partially to help your wall street friends get involved in crypto... i don't see a faster and easier way to get them involved then offering something they already know, and are comfortable with buying - securities...

one share of naut holdings = 1 naut coin, or whatever formula you want to setup... the value of the naut coin is then determined by whatever derivatives package formula you want to setup, and will be based on how much crypto the holding company controls etc...

it's a unique way to offer a "bridge" from real world securities to the wacky world of crypto, and if something like that could be implemented - naut would become a true pioneer, not only in crypto, but in the overall securities world as well... this means more publicity, more interest and more reasons for you to have your mug plastered all over msnbc

besides, if you're hearing the same rumors i'm hearing, then you already know that it's only a matter of time before SEC jumps in to regulate all this shit...  from what i understand, it's pretty much a done deal, and the only thing holding it up is the amount of legaleze that needs to be completed and the fact that like all government agencies, SEC moves at a snail's pace... but from what i hear, it's not a question of if, but when...

so, if that's the case, then you have a huge advantage over just about any coin out there - you already have the experience and the knowledge of how to handle compliance... may as well exploit that advantage early

[Wheeljack]

Nautilus - the holding company that doesn't have the risk of holding.

The "basket" doesn't even have to be coins. It can be mining time/shares, content, CC friendly merchants, anything where a "bridge into the real world" might be valuable.

[mdtspain]

I understand the way you look to this alll. But the SEC has nothing to do with this. Maybe only in the USA....but the rest of the world...no SEC.

Just to let you all know, CC is not only US based

[kehtolo]

I understand the way you look to this alll. But the SEC has nothing to do with this. Maybe only in the USA....but the rest of the world...no SEC.

Just to let you all know, CC is not only US based

We know and understand that mtdspain but Brian Kelly sure is USA based. And if doing anything financially related in that country, you'd better be fully compliant.

[mdtspain]

I understand the way you look to this alll. But the SEC has nothing to do with this. Maybe only in the USA....but the rest of the world...no SEC.

Just to let you all know, CC is not only US based

We know and understand that mtdspain but Brian Kelly sure is USA based. And if doing anything financially related in that country, you'd better be fully compliant.

or start Nautilus Holdings LLC, if it will start, in a more "friendly" country

[BK_PHI]

I understand the way you look to this alll. But the SEC has nothing to do with this. Maybe only in the USA....but the rest of the world...no SEC.

Just to let you all know, CC is not only US based

I think this is where the difficulty lies in regulation.  CC isn't domiciled anywhere, nor is it a corporation - its just computer code.  All crypto currencies are really just DACs...most of them waiting for a problem to solve.  How do you regulates something that is not a legal entity?

But this is why I (BKCM LLC) needs to make sure we are in compliance with whatever laws may come.  

[BTCrawl]

Nautilus - the holding company that doesn't have the risk of holding.

The "basket" doesn't even have to be coins. It can be mining time/shares, content, CC friendly merchants, anything where a "bridge into the real world" might be valuable.

This is awesome! An investment fund for those wanting to put some money into crypto, but who for some reason don't like Bitcoin :-) I think this is something that would do incredibly well, even among investors who aren't necessarily very rich. I know a ton of people who would love to throw a couple of hundred, or even thousands, of dollars on the crypto market, but they don't know enough to feel safe doing so.

Having someone like BK provide a way for non-techies to invest would be a true game changer. This could be something that would not only make NAUT one of the top alt coin, but an actual Bitcoin competitor!

[zhulick]

I understand the way you look to this alll. But the SEC has nothing to do with this. Maybe only in the USA....but the rest of the world...no SEC.

Just to let you all know, CC is not only US based

We know and understand that mtdspain but Brian Kelly sure is USA based. And if doing anything financially related in that country, you'd better be fully compliant.

or start Nautilus Holdings LLC, if it will start, in a more "friendly" country

maybe...

but i see SEC compliance as a huge advantage, and a monster selling point...

if the true goal here is to attract institutional investors, then acting "shady" by setting up off-shore is a mistake... the world of crypto already doesn't have a reputation of "being filled with boy scouts", so a firm that can be fully compliant and "squeaky clean" will have a big leg up...

[zhulick]

i even see a slogan :

Nautilus - helping you safely navigate the dangerous waters of crypto

[kehtolo]

maybe...

but i see SEC compliance as a huge advantage, and a monster selling point...

if the true goal here is to attract institutional investors, then acting "shady" by setting up off-shore is a mistake... the world of crypto already doesn't have a reputation of "being filled with boy scouts", so a firm that can be fully compliant and "squeaky clean" will have a big leg up...

+1 Bang on! Nail. Hit. On. Head.

It would be a massive advantage.

[BTCrawl]

i even see a slogan :

Nautilus - helping you safely navigate the dangerous waters of crypto

Maybe working something out with Barry Silbert, who has a Bitcoin fund, would be a good idea? :-) Also, didn't the IRS say that digital currencies would be looked upon as commodities in the US? If so, wouldn't it make setting up a fund of this kind a lot easier?

[mdtspain]

It's so funny to hear people say so. If it's not US it's "shady".

It will be a difficult thing to get everything conform the SEC. The SEC is not up to date...and never will be. If you say think big, you need to think global...US is to small for CC

In the country where I was born, a judge in court allready defined that CC is no money. It's just a verhicle to trade with.