Shares 2.0 | Crypto Craft

  • Shares 2.0

    From craigwright.net

    I want you to imagine for a minute a new form of shares that security companies can issue. The security offering would be one that disincentivises speculative trading. Imagine that day jobbers and speculators are punished for not holding shares for a set minimum time. The existing form of institutional investors, including those in hedge funds that rely on arbitrage-based trading, leads to significant changes in how management operates (Cao et al., 2020). Using the same idea, value investors would be rewarded. It is known that long-term investments end up producing higher returns than short-term investments. For any ... (full story)

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cryptocow
Oct 5, 2021 2:56pm
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Oh no, CW is proposing SafeMoon.
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yieldjunkie
Oct 5, 2021 8:49pm
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Forcing a long-term investment horizon by adding an arbitrary penalty on selling seems like a bad idea for more reason than one. At face value, it would remove liquidity from the system and I don't know of a situation where that is positive.

Also.. if the fee goes to the issuing company, wouldn't that incentivize the issuer to create headline volatility? Free money for choppy newsflow.
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Goat
Oct 6, 2021 3:27pm
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Quoting yieldjunkie
it would remove liquidity from the system and I don't know of a situation where that is positive.
Very good point. Have to wonder if CW considered that.

Quoting yieldjunkie
Also.. if the fee goes to the issuing company, wouldn't that incentivize the issuer to create headline volatility?
That could happen too!!
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BTCmailman
Oct 6, 2021 4:19pm
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Rantings of a lunatic, I almost feel bad for him.... almost.

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Goat
Oct 5, 2021 6:10pm
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Interesting concept to tie holding period to profits. Are short holding periods really a problem though? Even the 2010 flash crash was caused by selling a position that had been held long term.
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