FeedZeBirds UPDATE Feb 9, 2013

[DeaDTerra]

Can someone please tell me why are there bids higher than 0.08667? Is there any advantage in doing that? Thanks.

It guarantees that you get the shares if there's enough bids to buy all the shares that are being issued
But as this is not the case it has no advantage.
//DeaDTerra

[bitfoo]

Can someone please tell me why are there bids higher than 0.08667? Is there any advantage in doing that? Thanks.

It guarantees that you get the shares if there's enough bids to buy all the shares that are being issued
But as this is not the case it has no advantage.
//DeaDTerra

You can't be sure of that yet. IPOs tend to get sniped at the last moment quite often.

[DeaDTerra]

Can someone please tell me why are there bids higher than 0.08667? Is there any advantage in doing that? Thanks.

It guarantees that you get the shares if there's enough bids to buy all the shares that are being issued
But as this is not the case it has no advantage.
//DeaDTerra

You can't be sure of that yet. IPOs tend to get sniped at the last moment quite often.

True, I just stated the case at it was at that moment
//DeaDTerra

[minimalB]

Aha, Thanks for info DeaDTerra. I thought the sistem is time related (early placed bids are first to be executed).

[DeaDTerra]

Aha, Thanks for info DeaDTerra. I thought the sistem is time related (early placed bids are first to be executed).

No it's price that decides who gets the shares
//DeaDTerra

[bitfoo]

Aha, Thanks for info DeaDTerra. I thought the sistem is time related (early placed bids are first to be executed).

I believe that's true too. For bids that are at the same price, earlier ones get priority.

[unclescrooge]

I'm somewhat surprised there isn't more excitement for something that isn't pirate related, but glad that it looks like I'll get all the shares I can afford.

The more real businesses we get on the exchange, the better.

+1

[jackmaninov]

Aha, Thanks for info DeaDTerra. I thought the sistem is time related (early placed bids are first to be executed).

I believe that's true too. For bids that are at the same price, earlier ones get priority.

In a real stock market priority going to early bids is important, but on GLBSE people can simply outbid you by 1 satoshi and get priority. Bidding 1 satoshi higher on an order of 1000 shares stills costs you well under $0.01, so there's no real reason not to do it. The result is that the practical cost of sniping shares is zero.

[bearbones]

In a real stock market priority going to early bids is important, but on GLBSE people can simply outbid you by 1 satoshi and get priority. Bidding 1 satoshi higher on an order of 1000 shares stills costs you well under $0.01, so there's no real reason not to do it. The result is that the practical cost of sniping shares is zero.

I love that about pricing in Bitcoin. Granularity is important. If the purpose of the market is to find the right price, then how much more right is the price when it is accurate to a an extra 6 decimal places?

[jackmaninov]

I love that about pricing in Bitcoin. Granularity is important. If the purpose of the market is to find the right price, then how much more right is the price when it is accurate to a an extra 6 decimal places?

It still makes things annoying given how flaky GLBSE can be under load, or when IPOs don't actually release their shares on time (since its a manual operation).

[jackmaninov]

We made a new campaign for a last minute marketing push. Everyone tweet! http://www.feedzebirds.com/3g9lk

I really like that you can retweet this and have the proceeds go straight into your GLBSE account where you can use it to buy FZB. You can bootstrap into bitcoin stock ownership without ever having your own wallet!

I wouldn't count on being paid out in time...

[bearbones]

The shares are in the wild. Have fun.

[jackmaninov]

The shares are in the wild. Have fun.

Congrats to all (especially Nefario) for a smooth IPO.

[ShireSilver]

We made a new campaign for a last minute marketing push. Everyone tweet! http://www.feedzebirds.com/3g9lk

I really like that you can retweet this and have the proceeds go straight into your GLBSE account where you can use it to buy FZB. You can bootstrap into bitcoin stock ownership without ever having your own wallet!

I wouldn't count on being paid out in time...

I'm definitely not, but it is interesting that there's multiple ways to get free or cheap bitcoins (admittedly in small amounts) and you can invest them in small amounts for some good returns. And all without needing a wallet of your own. Kinda reminds me of playing that Neuromancer game, where you started off waking up in a plate of spaghetti and have to build your way back up, bootstrapping a small start and growing it.

[SgtSpike]

I'm somewhat surprised there isn't more excitement for something that isn't pirate related, but glad that it looks like I'll get all the shares I can afford.

The more real businesses we get on the exchange, the better.

+1

I was interested, but the company is vastly overvalued, IMO.  I think when I calculated it, the per-share IPO puts the valuation of the company at $43,000 or so.  It's just not worth that much given the past earnings.

[bearbones]

I was interested, but the company is vastly overvalued, IMO.  I think when I calculated it, the per-share IPO puts the valuation of the company at $43,000 or so.  It's just not worth that much given the past earnings.

I'm in a similar boat. Also, twitter just isn't my bag.

That said I am sure they will be successful and maybe they will prove us wrong.

Value is, of course, subjective. Based on how other companies with similar business models are faring, I don't think we'll have any trouble justifying our price pretty quickly.

[Stephen Gornick]

I believe that's true too. For bids that are at the same price, earlier ones get priority.

In a real stock market priority going to early bids is important, but on GLBSE people can simply outbid you by 1 satoshi and get priority. Bidding 1 satoshi higher on an order of 1000 shares stills costs you well under $0.01, so there's no real reason not to do it. The result is that the practical cost of sniping shares is zero.

Technically wouldn't the IPO'd shares at 0.08667 be "same time or earlier" than my bid, and thus no matter my bid amount as long as it is at 0.08667 BTC or higher, the trade will occur at 0.08667 until all those at that price have sold out?

I would think that to be a flaw in how IPOs are handled.  You want to have bidders willing to go higher, to know the true demand for the IPO'd shares.  This way it makes it that the investor needs to personally attend the account during the IPO, rather than allowing orders to be entered well in advance and let the system market do what markets do.

[k]

In a real stock market priority going to early bids is important, but on GLBSE people can simply outbid you by 1 satoshi and get priority. Bidding 1 satoshi higher on an order of 1000 shares stills costs you well under $0.01, so there's no real reason not to do it. The result is that the practical cost of sniping shares is zero.

I love that about pricing in Bitcoin. Granularity is important. If the purpose of the market is to find the right price, then how much more right is the price when it is accurate to a an extra 6 decimal places?

Saw this blog post today and thought it was interesting in relation to the discussion above on the minimum trade increments.

http://marginalrevolution.com/marginalrevolution/2012/05/should-stocks-trade-in-0001-increments.html

[bearbones]

In a real stock market priority going to early bids is important, but on GLBSE people can simply outbid you by 1 satoshi and get priority. Bidding 1 satoshi higher on an order of 1000 shares stills costs you well under $0.01, so there's no real reason not to do it. The result is that the practical cost of sniping shares is zero.

I love that about pricing in Bitcoin. Granularity is important. If the purpose of the market is to find the right price, then how much more right is the price when it is accurate to a an extra 6 decimal places?

Saw this blog post today and thought it was interesting in relation to the discussion above on the minimum trade increments.

http://marginalrevolution.com/marginalrevolution/2012/05/should-stocks-trade-in-0001-increments.html

That was a great read. I'd never thought about high speed trading as an alternative to precise pricing, but it seems so obvious.

[jackmaninov]

In a real stock market priority going to early bids is important, but on GLBSE people can simply outbid you by 1 satoshi and get priority. Bidding 1 satoshi higher on an order of 1000 shares stills costs you well under $0.01, so there's no real reason not to do it. The result is that the practical cost of sniping shares is zero.

I love that about pricing in Bitcoin. Granularity is important. If the purpose of the market is to find the right price, then how much more right is the price when it is accurate to a an extra 6 decimal places?

Saw this blog post today and thought it was interesting in relation to the discussion above on the minimum trade increments.

http://marginalrevolution.com/marginalrevolution/2012/05/should-stocks-trade-in-0001-increments.html

So GLBSE has effectively taken this issue to the other extreme, where I would argue that the one satoshi increment is so small that no value is being added to the market by such small incremental bids in order to snipe shares.

Suppose an IPO of 30000 shares is offered and an arbitrage bot can outbid the offer price by one satoshi in the millisecond before the shares are offered, then turns around and resells the shares. Is the extra 30000 satoshis the issuer receives actually a benefit to them? Or suppose that two arbitrage bots are outbidding each other by 1 satoshi as quickly as GLBSE can process the orders. One will win the shares, but is that winner "smarter" at discovering the "true price"?  Would that price ever have been discovered if there wasn't a pointless race?

/rantcomplete