Silk Road forums
Discussion => Silk Road discussion => Topic started by: anarcho47 on August 24, 2011, 03:34 am
-
So I have had my account as hedged since the very first day it became an option. Peace of mind and more accurate forecasting are far more important to me than potential gains or losses, adding another layer of speculation to SR.
However, my latest transactions to clear all came in substantially lower than the hedged value, actually lower than I would have gotten F2F and just barely eking me out a profit. Has SR unofficially cut hedging (I'm still active, but my latest orders are all hedged BTC, NOT USD). I would like to get a response on this so I can adjust my sales methods accordingly. I will probably have to start doing everything over 1/8 as an out-of-escrow transaction if this is the case as I have had a bad run on SR while I was on vacation, and am still licking my wounds from that.
Anybody else noticing this or am i the only one? Or is the hedge pool vastly diminished and is it now a first-come-first-serve basis? Just wanting some clarity so I can adjust the game plan.
-
Are you sure it wasn't the buy/sell difference that SR uses? I know that when I hedged, the buy/sell difference was quite a bit. So much so that I have discovered that hedging (while in theory a good idea) does not work well for me. For example if i hedged something that I put up for 50 bucks and the buyer clicked received, I would only get about 48 bucks because of the way hedging works (the bitcoin didn't move a cent). Now, if the bitcoin drops like a rock like it has been known to do, well, thats when hedging will save your rear end.
I know when I first hedged, I had SR explain why there was a difference and it was explained to me like any forex type deal, Or mt. gox/trade hill transaction. you always have a buy and a sell price. When Its hedged I guess there is a hedge/non hedged price. To me, I will risk the volitility of the bitcoin market rather than hedge. I consider it expensive insurance, lol. Its still great that it's available, I just wish it was a little cheaper and had the ability to chose which products you want to hedge rather than hedge everything or not...
-
What I'm saying is that I have hedging active on my account but all of my current orders are just in BTC Escrow - not being hedged at all.
I'm just wondering if the major hit (I'm not sure if there are put options to hedge against long exposure on BTC yet) wiped out the hedge pool but nobody's said anything...