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Core Development Discussion / Re: Nxt 2.0 design
« on: February 22, 2016, 07:21:46 am »...+1440 Also would like to point out that trading asset-to-NXT has inherent limitation, present in in 1.7, where the amount of assets that can traded are constrained by the amount of NXT liquidity at the given time. For example assume a gold pegged asset. If the amount bought/sold is equivalent to $1000 USD then no problem, since this will not move the price of NXT much. However, if someone wants to buy $1M worth, the NXT price would easily double and then half again if seller cashes out. Not an ideal case for either the buyer or seller. Someone mentioned a few pages ago asset-to-asset transfer which might solve this, and also make the asset concerns for NXT 2.0 a moot point. If the $1M worth asset is traded against a BTC pegged asset, the BTC price would not move much. However, if the transaction was $1 Billion worth, it would require another asset that can handle the liquidity such as a USD backed asset. I don't know whether asset-to-asset is feasible to implement, which is why I am bringing it up. Or perhaps support only limited more liquid assets such as BTC. The bottom line is that NXT should be the engine for making the asset trade happen and the NXT price not affected by transfer of value from NXT to/from asset. The value of NXT should strictly derive for being a useful token. Just my 0.02 NXT and sorry if this was already brought up - not much time lately to catch up on discussions
Assets value should be tied to profit making capacity of the underlying instrument, and not to be valued by NXT's inherent value.
