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T62A

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Hello, i'm new around!, I'm also fairly new with coins working on top of the bitcoin network.
So i have an observation about LTBcoin. Every altcoin with their own Blockchain distribute coins in a fair, blind and over time way, in the case of LTBcoin, one specific holder has all of the coins and he decides who should be rewarded and by how much, also he can reward itself with all those coins if he wants.
1) No one knows how many coins will be in circulation at a certain time, we will always have to assume all of the coins are in circulation, which gives the coin very little value.2) We need to trust no insiders will manipulate the market using the original stash, or sweep the bidbook if the project is going to close. 3) If the private keys of the original stash are hacked, LTBcoin lose almost all of it's value on the market. Because that stash may be very big, or LTB would have no more LTBcoins to pay for new content.
Mi proposal is: Find a way for the algorithm itslef to release LTBcoins over time and send them to the original stash. I know is easier said than done but this way we do not need to trust LTB with all of the original stash, yet LTB still decides how the newest coins are distributed:
1) We will know how many LTBcoins maximum will be in circulation at a certain time.2) LTB can't manipulate the market or make a run, at least not as hard as it could with all the coins.3) If the private keys are stolen, the thieve can't just dump all of the coins on the market, meanwhile, other system to protect the keys or create new ones can be used (i guess).
I know LTBcoin will be based on another tech, MasterCoin or CounterParty, maybe this post is born from the lack of knowledge of how those techs work, maybe this questions/suggestions should be directed to them, but that's exactly my question, how will LTBcoin handle this issues?. 
Great idea, let's see how LTBcoin plays out.

Posted on March 14, 2014 at 1:11 AM
Last Edited: March 14, 2014 at 1:16 AM

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• adam

  

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  So i have an observation about LTBcoin. Every altcoin with their own Blockchain distribute coins in a fair, blind and over time way, in the case of LTBcoin, one specific holder has all of the coins and he decides who should be rewarded and by how much, also he can reward itself with all those coins if he wants.
  1) No one knows how many coins will be in circulation at a certain time, we will always have to assume all of the coins are in circulation, which gives the coin very little value.One of the advantages of using a token built of Counterparty is we can do a few things you can't with a normal blockchain.  First, our token will have an asset page where you can see very clearly whats going on, both in terms of how many tokens are in existence and what the concentration of wealth is on an address by address basis.
  Secondly, we can do multiple issuances.  So rather than the MarketCap of LTBcoin being kinda meaningless like Ripple's because there are all these non-circulating units, LTBcoin is going to be issued weekly and distributed immediately.2) We need to trust no insiders will manipulate the market using the original stash, or sweep the bidbook if the project is going to close. There won't be an original stash, the tokens are going to be distributed (I hope to have a script/interface created to automate this) immediately after being created.  3) If the private keys of the original stash are hacked, LTBcoin lose almost all of it's value on the market. Because that stash may be very big, or LTB would have no more LTBcoins to pay for new content.We haven't talked about this yet, but I have no intention of being the holder of the key.  At the very least it needs to be a multi-sig controlled by all the senior editorial staff at the network, and really it would be good if it was a representative from each network that uses the coin.
  Does this satisfy you concern?  I'm definitely looking for ways to divest myself of total responisibility.  I'm a known figure, having the exclusive ability to create money might be dangerous for my health.

  Posted on March 14, 2014 at 1:22 AM
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• adam

  

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  You can see the asset (it currently has one unit issued, held by one person - the Counterparty dev) http://blockscan.com/assetInfo.aspx?q=LTBCOIN

  Posted on March 14, 2014 at 1:29 AM
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• T62A

  

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  Adam said:Does this satisfy you concern?  I'm definitely looking for ways to divest myself of total responisibility.  I'm a known figure, having the exclusive ability to create money might be dangerous for my health.

  More or less, still trying to figure some things out, mainly the rarity/scarcity of the coin. So basically LTB can create more LTBcoins whenever it wants, but, it will create a fixed amount each week (i.e. 100 each week).My opinion is that this is okay as long as the amount is fixed and LTB creates always that fixed amount or less per week. We would still have to trust LTB to do not create more than the fixed amount (we can see if LTB does that, but we can't do anything about that if it does), at least the number of distributed coins would not be random ruining rarity. This way we have both rarity (only 100 coins per week) and a "unlimited" lifetime in which LTB can pay miners.
  I still don't like the "trust" idea, less after gox lol! but it will be very interesting to stick around and see how people play this coin.
  
   

  Posted on March 14, 2014 at 5:15 AM
  Last Edited: March 14, 2014 at 5:18 AM
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• book

  

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  Adam it seems you addressed all concerns,
  
  Though I don't know if it is good to distribute to multiple people, especially not casually.  Could lead to a whodunnit situation.
  
  I don't know if I have a better idea because I am not familiar with this project yet.
  

  Posted on March 14, 2014 at 7:19 AM
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• Matt

  

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  book said: Adam it seems you addressed all concerns,
  
  Though I don't know if it is good to distribute to multiple people, especially not casually.  Could lead to a whodunnit situation.
  
  I don't know if I have a better idea because I am not familiar with this project yet.
  

  Coins need to continue to circulate within the system after the point of initial disbursement and one of the primary goals of the project is to help people gain access to different channels of mining outside of computational mining.  I think its important for the community to grow as a whole and continue to work in conjunction for the overall benefit of the network since everyones assets are tied directly to the vale of the overall network.
  We will develop proofing models and protocols that verify if users are completing tasks and develop a testnet for deploying "untested proof-of-work models" so we can break these protocols and secure them before they're deployed.  Adam had a great idea of developing an LTBcoin asset, something like "FAKELTBcoin" that could be used as a test currency on the test net and would be exchanged for in small percentage to real LTBcoins.  Essentially gamifying the initial development process and encouraging a forum for people to hack LTBcoin proofs and be rewarded for it.  Given the network will continue to evolve, I think this network could be ongoing in support of the primary network.
  TLDR: We're going to examine and develop the most beneficial ways for the community to earn coins that are proven and tested.  Initial disbursement of funds is not going to be the long term incentive for users interacting with the network, so areas which govern the operation of the network need to continue to acquire LTBcoins, so the community continues to grow.

  Posted on March 18, 2014 at 3:21 PM
  Last Edited: March 18, 2014 at 3:29 PM
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• adam

  

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  T62A said:

  Adam said:Does this satisfy you concern?  I'm definitely looking for ways to divest myself of total responisibility.  I'm a known figure, having the exclusive ability to create money might be dangerous for my health.

  More or less, still trying to figure some things out, mainly the rarity/scarcity of the coin. So basically LTB can create more LTBcoins whenever it wants, but, it will create a fixed amount each week (i.e. 100 each week).My opinion is that this is okay as long as the amount is fixed and LTB creates always that fixed amount or less per week. We would still have to trust LTB to do not create more than the fixed amount (we can see if LTB does that, but we can't do anything about that if it does), at least the number of distributed coins would not be random ruining rarity. This way we have both rarity (only 100 coins per week) and a "unlimited" lifetime in which LTB can pay miners.
  I still don't like the "trust" idea, less after gox lol! but it will be very interesting to stick around and see how people play this coin.
  
   

  The problem with gox was transparency.  If as soon as someone broke the rules and the system wasn't performing as directed, people would have noticed, freaked out and it would have been resolved immediately before things could proceed.
  Our asset is public, you can see the very block each was created by, and what addresses they're distributed to. http://blockscan.com/assetInfo.aspx?q=LTBCOIN - Currently there has been one issuance, but every week there will be a new one.
  Also, LTBcoins are not being issued on a fixed schedule (i.e. 100 per week) they are being issued on a fixed deflationary schedule, (i.e. 100 for the first week, 99 for the second week, 98 for the third week, etc).  Numbers used in this example are obviously not real.

  Posted on March 18, 2014 at 3:29 PM
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• CryptoCoin

  

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  Adam, I really appreciate 1) what you're doing here with LTB and this community and 2) that you're taking huge steps to not make yourself a single point of failure.Really excited to see LTBCoin take off!-CC

  Posted on March 20, 2014 at 4:14 PM
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