Thursday, April 26, 2018

Is there a hurricane coin?

Regarding my proposed hurricane prediction market. My market generates the best channel prediction when the gulf hurricane alley is modeled as value added chaotic chain. The market discovers the liquidity algebra and generates a synthetic derivative, an exchange trade fund. Then bettors carries a fund share on margin, it is liquid at coin exchanges.

Not a real coin, not a unit of account. The resulting insurance bonds are a pretty good unit of account, they are a risk bet based upon hurricane derivatives. Insurance is a second layer. General transactions are not hurricane backed except around Puerto Rico, southern Florida and New Orleans.

We should note the definition of a discount coin, as they have a long history.  In the gulf economy merchants could very well accept hurricane derivatives for price discount. Frequent flyer works this way.

Smart cards allow this. I would already expect hardware stores to offer hurricane discounts as they correct for measured hurricane allocations native to gulf. Whatever its current form, sandbox supports.

No comments: