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The article skips over the biggest risks of running an anonymous market like this. 1. How do we know the pricing feed is not tampered with. If Bitstamp takes a
by ianpurton 10y ago
The article skips over the biggest risks of running an anonymous market like this.
1. How do we know the pricing feed is not tampered with. If Bitstamp takes a huge position in this market they can make it so that they win.
2. The 'trusted oracle' velocity can also take positions if it sees a whale opportunity and steal funds.
As an aside if you have a trusted oracle then there's no need to use ethereum. You can implement all of this on the Bitcoin blockchain.
- waynenilsen 10y agoUnfortunately I think the only relevant assets to this kind of system are on-chain assets.