The BitBay “Dynamic Peg”, learn more from source.

BitBay is yet another cryptocurrency attempting to implement a stablecoin mechanism. Their system functions on a voting system, whereby coin-stakers can vote on whether to increase or decrease the liquid supply. For those who do not wish to vote, you can opt to use an algorithm. Their whitepaper is supposed to be released sometime later today.

For those curious about how I do my research? Well I tend to look at the Cryptocurrency Calendar, to see what’s going on.

Find events from https://cryptocalendar.pro, price-data may be delayed or incorrect.

Remember to evaluate all stability mechanics carefully, it is a complex subject. Forces of supply and demand can often slay our best algorithms and cryptoeconomic models.

Only through trial-by-fire, may we determine the best algorithms for stability. Bear that in-mind.

The cautionary tale of Nubits.

This article will act as a stub as I accumulate more information. I aim to slowly research and monitor several stable coins over time.

You can check out the idea for their stability mechanic here: https://bitbay.market/dynamic-peg. And follow the discussion here: https://www.reddit.com/r/BitBay/comments/8a8ijg/theoretical_problem_with_the_dynamic_peg/

BitBay Has UX Issues

BitBay’s Windows app, which can be downloaded from: https://bitbay.market.

The major issue that BitBay has, is that in order for you to interact with the marketplace, you have to sync the entire chain first. This is a huge roadblock for non-techies.

The truth is, most people are impatient and don’t understand the importance of decentralisation (validating the chain yourself). Because of this, they prefer to trust centralised-validators, to interact with the blockchain on their behalf.

My personal opinion, is that to speed adoption, trusted validators are necessary in the interim, until we can solve the issue of having to sync the entire blockchain.