Bitfinex hack means it's a great time to buy bitcoin -cough- I mean BitShares

in bitshares •  8 years ago 

Is this the end of bitcoin? No.

Are we nearing the end of centralized exchanges? I hope so.

That's why I'm buying more BitShares, not just as an investment in and of itself, but also as an investment in the whole crypto ecosystem.

I may have lost a small amount of bitcoin today (only time will tell), it was a calculated risk and I'm not upset. I do feel bad for the newbies who may have lost big today.

With vehicles like Steemit, we're going to see a lot of "non-crypto" people entering the ecosystem. We can't expect them to fully understand the risks involved with exchanges like bitfinex.

We need a decentralized exchange!

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And again a hacker made money by simply shorting the hell out of BTC. From about 600-470 EUR in just a few days...Tbh I think the price will rise in long term back where it was but still your decentralized exchange sounds nice

I upvoted You

yup, buying bitshares now :D

  ·  8 years ago (edited)

price is now like the last two months
smart people buy a lot of BTC on the bottom price @ Bitfinex bad news 8]

Nice briefing. But, I think, it is buy time for Bitcoin - Reasons Inside.

Does bitshares enable fiat trading at present?

Watch for waves platform. Decentralized exchange on blockchain.

We need a decentralized exchange!

There are several, I successfuly tested Bitsquare. 100% P2P

A decentralized exchange would be fantastic! The only way to do that is pure crypto to crypto. There has to be a mechanism to on ramp fiat to crypto and there are automated ways to support that today. Maybe the next true DAO can be a self functioning decentralized exchange that pays profits to it's users. We can dream.

Not all is lost with Finex. I posted about it here and there will be an announcement later today. https://steemit.com/investment/@venomspike/hacked-but-not-lost-bitfinex-announcement-today-and-light-at-the-end-of-the-tunnel#comments

Actually, there is more to it than that.
There are several ways to trade arbitrary cryptos on the BitShares exchange.

  1. Exchanges issue their own IOUs for, say, Bitcoin as something like open.BTC or trade.BTC.
  2. Anyone could set up a market pegged asset. There is one for Bitcoin on the blockchain called bitBTC.
  3. Eventually we'll have sidechain technology to make trading between chains automagic.

Method 1 has counterparty risk, but you are only exposed to it for a few moments while you are entering/exiting the market.
Method 2 has no counterparty risk, you are protected by collateral held for that purpose in a smart contract on the blockchain.
Method 3 has even more power and we'll have to see how it gets implemented.

Good input, still reflects my point that cryptos are the only possible exchange at the moment. Even if we're talking IOU's or pegged assets, the underlying is a crypto.

Even if we take it a step further and use pegs for fiat based assets like USD, it doesn't solve the problem of actually transferring and accounting for dollars. The existing financial system isn't "programmable" and has no on ramp that can eliminate human intervention (or custody in some cases)

Love the third idea. Any method that eliminates counterparty risk is beneficial, and using sidechains to exchange value makes perfect sense.

Decentralize the people.... Im sorry to admit i am a newbie to a lotta cryptocurrencies and i probably lost most of it. But it was my own choice and gamble.