Blockchain technology and cryptocurrencies are rapidly changing how business is done, but speculation and volatility have created issues. Cryptocurrencies fluctuate greatly in value due to speculation rather than based on their actual use as currencies. This makes them unsuitable for regular transactions. While pegging cryptocurrencies to other stable assets has been tried, previous attempts have failed. BitBay is developing an innovative decentralized solution using user voting to stabilize the value of their cryptocurrency and limit price fluctuations. As cryptocurrencies become more widely adopted, regulation by governments remains an open issue and how it may impact decentralization is still uncertain.

1. WHAT’S ON THE
HORIZON FOR
CRYPTOCURRENCIES?

2. JOIN THE CONVERSATION
ON TWITTER
@BITBAYOFFICIAL

3. ABOUT
BITBAY
BitBay is a suite of free-to-use,
multi-platform applications
including the world’s first
fully-functional Decentralized
Marketplace.

4. Want to see
everything our
advanced client can
do?
VIEW ROADMAP

5. Blockchain technology, the underlying
architecture behind cryptocurrencies is
quickly changing the way we do
business.

6. ‘Due diligence’ is highly recommended
these days and rightfully so. Hundreds of
digital currencies have failed to stand the
test of time, and it’s fair to say speculation
has been a monumental issue.
UNCERTAINTY

7. Misinformation is something to
be wary of, and it’s found in
abundance.
Speculation contributes to an existing issue
with cryptos: High Volatility.

8. Unfortunately speculation has serious effects
on market prices. Press releases and market
conditions result in investors trading according
to what they believe will profit them sooner
rather than later.

9. The fluctuation of coin prices has
prompted handling cryptocurrencies like a
stock or asset, instead of treating them as
a currency. With some saving accounts
netting below zero interest rates these
days, more people have begun exploring
crypto as a short term investment.

10. HOW COULD EITHER PARTY IN A
TRANSACTION CHOOSE THE
CORRECT PRICE IF THE VALUE OF
THE MONEY BEING USED IS
ALWAYS FLUCTUATING??
They Can’t.

11. A centralized peg is fixing the value
of a currency to the value of another
currency, multiple currencies
(basket), or something else of value.
Many attempts to peg cryptos
directly to FIAT, assets, or
commodities have been
unsuccessful.
PEGS

12. Pegging to FIAT requires a coin
project to hold the same amount of
FIAT in reserve as issued crypto.

13. When cryptocurrencies are
converted back to FIAT,
depending on the situation the
options can be limited and
expensive.

14. Pegs have previously been broken by
system hacks that reduce the perceived
security and value of coin projects, but
more concretely the centralized company
that manages this centralized peg can be
shutdown by governments, can decide to
shutdown/run away, or can become
insolvable.

15. How will cryptocurrencies be
stabilized in the future then?
BitBay is home to the first fully
functional decentralized marketplace.
Very soon we are releasing an
innovative solution to stabilize the
value of our digital currency ($BAY).

16. A dynamic peg limits price fluctuations
based on a decentralized user voting
system, in which coin holders choose
if they want the total supply to
increase, decrease, stay the same or
allow an algorithm to decide for them.

17. A fraction of everyone’s Bay is temporarily
frozen in reserve, leaving fewer $BAY
liquid. This increases the liquid supply’s
value, and conversely the voting can result
in unfreezing the reserve decreasing the
value of the liquid coins relatively to the
amount of reserve that is becoming liquid.

18. HOW ARE DIGITAL CURRENCIES
GOING TO BE REGULATED?
There are serious concerns how regulation
could limit the effectiveness and anonymity of
cryptocurrencies.This topic is quite
complicated as international use and trade
standards haven’t been established for this
asset class.

19. In the United States, the SEC has
now defined most cryptocurrencies
as securities or digital assets. Based
on their own set of guidelines for
securities, the SEC now subjects
cryptocurrency exchanges to all
applicable laws as well.

20. The cryptocurrency market in South
Korea is believed to be among the
top in the world, but the government
has already banned ICO’s and
anonymous trading on centralized
exchanges.

21. Meanwhile China has banned ICO’s
and domestic exchanges as well,
purportedly with plans on creating
national cryptocurrency. The plan is
said to digitize assets in a manner
that reliably upholds accountability
and standardizes blockchain use
within China’s economy.

22. If national cryptocurrencies are
happening, how will cryptocurrencies
remain decentralized?
If states create their own
cryptocurrencies people will still be
attracted to truly decentralized
cryptocurrencies that are not
manipulated by governments,
especially as these cryptocurrencies
were the first to establish themselves.

23. Blockchain technology and
cryptography has created an avenue
for any information to be shared
privately, securely, and on the cheap.
One key element is the removal of
intermediaries that normally create
lag and add expense to transactions.

24. Contracting platforms like BitBay’s
Markets Client allow users to buy, sell,
trade, and create smart contracts.
Beyond use for purchases, our
marketplace has the ability to enforce
smart contracts without
intermediaries.

25. Click HERE to
get started
today.
Have any
questions?
Ask HERE