Ok, most of us know, here on #Publish0x, the #whales move the price of any crypto anyway they want up and down, with 'naked' positions for buy and sell offers, short and long, cuz they always get what they want (for now).
Regulatory Oversight in crypto exchanges and protection against "naked" position market manipulation?
Well there really isn't any, especially when it comes to " #trusted_price_discovery", for any crypto on any exchange today.
You should not be, if, you have done your home work.
Those of us with eyes wide open know we are "riding the coat tails" of other bigger , well armed traders. (Checkout https://covesting.io/ for what this looks like in the real world of trading...)
Gambling Halls Version 4.0- Crypto Markets
When you take fiat and buy some crypto of any flavor with it, simply understand you have plunked yourself into that crypto "gambling hall", where whales, with much more capital at their disposal are able to, with Quant style, automated trading capabilities, swing a market price up and down any way they way want.
the entire market is one big gambling hall largely, with many different tables (some number higher than 4,000 of these tables, the last time I checked).
Feeling a bit wheezy?
Simply approach your crypto buy or sell as you would any poker table and, be ever vigilant, the other 'players' will try to play you, by getting you to react to real and false narratives (news), matched by simply placing unsecured, automated buy and sell orders they can rescind(remove) at any time. (Whoops did you feel that carpet get pulled out right from underneath your feet? Bump your head a bit?)
Anyway I digress just a bit above, the point out there is, there is not one crypto exchange, out there, which can say to me, any of the buy and sell offers/orders on their exchanges are a real commitment to do so, backed up with a contract because there is no trusted price discovery. It's gambling pure and simple. ;)
Copyright 2016 Jennifer Miller www.featherdust.com
TRUSTED PRICE DISCOVERY- THE MYTHICAL BEAST OF CRYPTO EXCHANGES?
Well it's likely to be that way for a while, mythical, unless one or more of the key crypto projects with TPS "Transaction Per Second" Scale and UXTO 'colour coin" capable audit capabilities steps up to this, imo, killer use case for crypto.
UXTO is squarely in the #BTC camp, the first crypto camp from which UXTO sprang, has the ability to enable part of the mythical beast. Let's call it ' griff' for now after the Gryphon, Griffin, tomatoe, tomato whatever shown above. ;)
Others, such as IOTA are having their epiphany moments and are moving away from traditional double entry book keeping as found on Ethereum and following BTC and #Hyperledger 's lead in this way, largely to improve TPS @ scale, and also support coloured coins as described in this excellent and brief article by Binance's Tech Director Flora Sun here (circa 2018), pointing out the differences between the two different DLT book keeping (audit) methods.
TPS is also a big part of this 'mythical' #griff solution @ scale, as are: Smart contracts; time stamps; staking; audit trails and likely a few other things I have missed to cover secondary and exception use cases of griff.
TK note- I will focus on the primary use case for 'griff' as I see it, which is bid/ask on a crypto DEX backed up by SCs on 'scale-able' distributed permissionless public ledgers like BTC and IOTA (there are worthy others, so don't feel left out.. ;) )
GRIFF Development - Needs Developers with BIG, Trading Market 'NADS' & DEX Experience
I am all ears on this one for those readers which such rare attributes to develop such a break thru solution for what I believe to be the "blockchain Killer Use Case"
I have some ideas, rooted on IOTA's recent SC advances which via oracles can be linked nicely into BTC and even Hyperledger (to find the remittance at least accounted for on private books gleaning data from the public permissionless DL)
So I'd like to hear from any of you with such an interest in the comments below. (Because public key addresses are not enough ;) )
GRIFF for now is the label for such a proposed effort. You can also send me a note here .. email@example.com
Enjoy my "electronic cattle prod" of one of the IOTA founders below... ;)
There are always lots of these...
In the meantime, enjoy your #getbacktowork moments and, please checkout #stfugates on twitter for some decent #lol entertainment as, we all emerge from this super-sillious #lockdown which indeed, drained our bank account surpluses/buffer for the benefit of the fiat world masters, in exchange for a shitty government check. (if you take the next vaccine, the likely future scenario is, you might get future govt. checks too .)
Live long and prosper,
TK over and out
Dragon or Griffin
Awesome Art post background by
My Response to David Sonstebo, one of IOTA's founders per his post Feb 3rd, 2020 ( preCOVID panic)
"A GRIFF" blueprint.? Some early dev 'recipe' thoughts beyond my first article, for those in the crypto tech realm to consider ;)"
Given the shift to #UXTO to ultimately support of coloured coins via largely the notion of saving state per coin colour balance, there is an opportunity to latch this type of capability to a (qubic) Smart Contract backed bid and ask positions posted to the Tangle to be ‘surfaced’ as bid/ask prices on a #DEX investors can refrences as a reliable trusted price with a validity time period , which would, for the first time surface ‘trusted price discovery” in the world of crypto exchanges, finally getting rid of the ‘naked” positions (market manipulation cheating)currently algorithmic-ally driven by today’s crypto automated trading systems which are using “mob” multi-price positions to affect price direction (up or down) to the advantage of those bi, well financed speculators piloting such mobbing advantages for pure speculative gain (usually made via side #OTC (bets) transactions).
Proportional Staking “PropoS” (to the amount of the bid/ask position) recorded in the SC posted to the DL(#Tangle) is also imo, an excellent way to instill trust for such SC controlled bid/ask positions, in other words, if the investor removes the trade (typical naked action ) before the SC time stamped deadline, a monetary penalty previously set in the posted SC bid/ask (a percent of the position) is auto transferred to a DEX Wallet, held in trust, then for example, periodically auto air-dropped (proportionate to trade activity might be one metric) as a bonus to those investor wallets that have traded fairly (not pulled their position) and frequently.
#Trusted_Price_Discovery (that is the bid or ask position is staked and time period bound (time stamp start/finish) with a Smart Contract, where the value and state is mutable during the period of the #SC posted to the #Tangle for instance so traders can adjust their bid ask positions, and there is an audit trail with in the trade period they sign up for in the SC) can be HUGE for IF and the #IOTA community at large.
That said, It’s only a HUGE opportunity for IF when specifically someone at the IF owns the “Trusted Price Discovery” USE Case and, the IF secure a grizzled “been there done that” dev leader with a biz math/stock market brain and the trading dev experience that goes with it, coupled with like minded members of the IOTA community and #IEN who together, can get their collective heads around how to solve this “ #killer_app ” challenge, making use of the IOTA tech advances nicely emerging at IOTA, which imo, is in a better than average position (relative to other cryptos) to finally solve ‘Trusted Price Discovery on for a crypto DEX’
IF and the IOTA Community doing the above, would finally lead to“Safe, Trusted (audit trail backed) Trading and Settlement” for crypto exchanges (especially an SC equipped TANGLE backed DEX, similar to what is found (in some respects in Futures and Commodity Trading Markets).