I think the idea is to make your altcoins instantly have value by transferring the value from the bitcoins to your altcoins. Kind of like if I decided to use p

I think the idea is to make your altcoins instantly have value by transferring the value from the bitcoins to your altcoins. Kind of like if I decided to use pine cones as a new currency, I could try to convince you by literally burning dollar bills and telling you their value had moved into those pine cones. That's how I'm reading it at least.