Thursday, August 3, 2017

But not in bitcoin units

Bitcoin exchange Bitfinex tweeted on Thursday that it has enabled margin trading for Bitcoin Cash (BCH). BCH is the new cryptocurrency resulting from the August 1 hard fork of the Bitcoin blockchain. The exchange explained that it is using BCH as the ticker symbol and “Bcash” as the descriptive name “to avoid confusion with bitcoin.” However, “BCH will not be eligible as collateral for margin positions,” it previously announced.
Here the exchange is allowing fiaty borrowing for bitcoin and bitcash.  This is becoming common, but it relies on the guarantees of the fiat central banker.  The b old part is the give away.

Also the margin trading is termed, so we gonna get bunching at the expiration dates.  If you dump time, then trade bitcoin deposits against bitcoin loans you have solved both problems, and the technology looks a lot like current coin exchanges. As Nick Rose hinted, you are just trading negative coins against positive, so to speak. It should be very similar to trading fiat and bitcoin.

But it can only be done with custodial coins, owned by the matching bot, the pit boss. So everyone needs to check in their person bit coins, trade with the custodials, then check out at your leisure.  Exchanges can do this, a lot of mathematicians read my blog, go look one up.

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