Silk Road forums

Support => Feature requests => Topic started by: Andrewbud420 on August 12, 2012, 09:15 pm

Title: Give buyers the choice if they want their order hedged
Post by: Andrewbud420 on August 12, 2012, 09:15 pm
Can't stand losing money after I am forced to cancel an order, I would prefer to keep those coins and take responsibility if there is a large flux in btc/usd
Title: Re: Give buyers the choice if they want their order hedged
Post by: psychonauts on August 14, 2012, 04:22 am
the hedging system is supposed to protect against decreases in bitcoin value, but bitcoin is a deflationary currency -- it keeps getting more valuable. the only exception is when the price spikes for an hour and people buy a bunch of shit, and then the btc price goes back down before the order is finalized (or even shipped). if buyers can cancel hedging, then how do we protect vendors from this situation?
Title: Re: Give buyers the choice if they want their order hedged
Post by: echo_ on August 14, 2012, 04:44 am
Hedging is exclusively for vendor protection.
Escrow is exclusively for buyer protection.
Yin and yang. Ya dig?
Title: Re: Give buyers the choice if they want their order hedged
Post by: Andrewbud420 on August 14, 2012, 12:45 pm
Well getting dinged 4% on a large order due to having to cancel because a vendor ran out of product seems a bit stupid to me.

All listings should be priced in BTC this mix of BTC/USD is really screwing a lot of people.


I mine 100% of my coins and would prefer to take that chance myself. I canceled a 300+ order and lost a chunk of my coins because the value raised within 5 days...

I want to keep all my orders IN BTC without Hedging.... If the value lowers and I owe a vendor more BTC than so be it. Vendors should be able to leave feedback on Buyers stats page......

We should not be getting charged anything on cancelled orders.... period...... Makes me want to bring my mined coins to the exchange instead of here.... 

Title: Re: Give buyers the choice if they want their order hedged
Post by: psychonauts on August 14, 2012, 07:08 pm
well when you get a refund, you should get refunded the same amount of BTC.. i doubt the system ACTUALLY exchanges the BTC for USD, they would lose too much on commissions. DPR prob just ate that 4%.
Title: Re: Give buyers the choice if they want their order hedged
Post by: Andrewbud420 on August 14, 2012, 07:30 pm
No sir he did not.

Put in a 30 BTC order when the value is @ $10.90 = $327.... You cancel this order when btc value is @ 11.00,,, you will get $327USD worth of BTC back minus 4% or whatever BS rate he is charging on a cancelled order.....


Charge all you want on completed orders...... you are providing a service, but PLEASE DO NOT charge me when I have no choice to cancel or have an order cancelled on me....

You will only ever get the same BTC back if the order is unhedged and the prices are in BTC not USD.... this is vendor dependent and it drives me NUTS


Title: Re: Give buyers the choice if they want their order hedged
Post by: jameslink2 on August 15, 2012, 01:24 am
The 4% difference is SR's cut. They take there cut if the order goes through or is canceled. You cant blame the vendor for that.
Title: Re: Give buyers the choice if they want their order hedged
Post by: pestlepete on August 15, 2012, 02:53 am
It's tough for SR to give you the money back without charging you - even if they are not selling it on mtgox right away, they're still covering the risk. But don't longer orders create more risk? So perhaps they could charge 1% for a cancelled order if it's cancelled by the seller? Or, could hedging start when the order is confirmed? Maybe you could "confirm inventory" to start hedging and have another step to go to "in transit" (having two steps was suggested by another thread because of people confirming early).

Certainly in the case of the vendor running out of stock (presumably because he listed more than his actual inventory) he owes you for the fee. But all the orders I've cancelled so far have been buyers not reading my policies, or requesting the cancellation. It would be nice if the party at fault had to pay, but for now it's up to the vendor to take the blame if they deserve it

I think the best solution is that vendors who use hedging should be willing to specify a policy about when they will provide refunds for a cancellation (e.g. if they guarantee their inventory and it runs out, they should have no issue covering your loss; if they don't guarantee their inventory, I wouldn't place a large order there). To me it seems like this issue is poorly known. Should it be put in the seller's guide?

Peace

PS -  I believe that if your settings are exposed but pegged to USD you should still get the fixed amount of BTC back. Pegging to USD adjusts the BTC price before placing the order, but that specific BTC amount is put in escrow. At least, I have never seen my "BTC in escrow" change with the market, and customers have never mentioned any lost money on a cancellation.
Of course, that doesn't address your main point
Title: Re: Give buyers the choice if they want their order hedged
Post by: Andrewbud420 on August 15, 2012, 01:19 pm
Well I think SR is doing well enough that they don't NEED to make money on cancelled orders.......  seems rather greedy to me..
Title: Re: Give buyers the choice if they want their order hedged
Post by: Andrewbud420 on August 19, 2012, 03:35 pm
Now that the value of the BTC is dropping like mad due to BTCST and Pirateat40...... I just don't care anymore :P