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NautilusCoin Coin (NAUT) | NautilusCoin Pool | NautilusCoin Wallet

About Nautiluscoin

Nautilus Coin NAUT

Nautilus Coin NAUT

Nautiluscoin is a next generation digital currency and free payment network designed to process transactions faster than Bitcoin with reduced volatility.


 

An Improved Digital Currency

Nautiluscoin was designed as a next generation digital currency. The rapid acceptance and ascent of Bitcoin has exposed several drawbacks in the original design. Volatility and slow transaction speeds may present hurdles for end users of Bitcoin. Nautiluscoin speeds up transaction time and reduces volatility making it an ideal global digital currency.

Faster Transactions

A transaction with Bitcoin requires an impractical ten minutes before it is confirmed, but with Nautiluscoin transactions are confirmed every sixty seconds. Keeping customers satisfied requires fast, secure transactions – with Nautiluscoin customers are on their way ten times faster than Bitcoin. Transactions are safeguarded from multi-pools using DigiShield.

Reduced Volatility

The price volatility of Bitcoin has been a stumbling block for wider acceptance. Nautiluscoin was designed with a self-stabilization mechanism – the Nautiluscoin Stabilization Fund. Whether you choose to convert your Nautiluscoin immediately or hold for the long run, our goal is to provide a deep, stable, and liquid market.

Nautiluscoin Specifications:

* Scrypt
* 159.39 coins per block
* 1 minute block target
* 16,180,000 total coins
* 1% reduction every week
* DigiShield difficulty retargeting
* 1% premine

Nautiluscoin Stabilization Fund:

Trading and Stabilization Operations

One percent of Nautiluscoin was pre-mined and partially used to establish the Nautilus Stabilization Fund (NSF). All proceeds from sales of the pre-mined coins allocated to the NSF will be used to place buy orders for Nautiluscoin. The NSF will actively make a market in Nautiluscoin to ensure a stable growth pattern. The goal of the NSF is to reduce price volatility while providing steady price appreciation. By allowing for price appreciation, the NSF will combat the effects of inflation on purchasing power.

NSF Explained

I have noticed a lot of chatter/confusion over the NSF so I though I would expand on the purpose and design.  The inspiration for the NSF is Friedrich Hayek’s book The Denationalization of Money.

Hayek believed that the state should not have a monopoly on the creation of currency – he viewed currency as a commodity that should compete for acceptance.  He surmised that competition would create the strongest currency and society would benefit. The conclusion Hayek reached was that a weak currency (devalued) would hurt creditors as they would be paid back with currency that is worth less than when it was lent.  For example, if I lend money at an interest rate of 10% but the currency falls by 20% I am really losing 10% of purchasing power.

On the other hand, a strong currency hurts debtors as they must pay back debt with currency that can buy more than when it was borrowed.  So, if I borrow money at 10% and the currency appreciates by 10%, my interest rate is really 20%.

Hayek concluded that both debtors and creditors would gravitate toward a stable currency because it was mutually beneficially.

The biggest criticism of Bitcoin from the financial community is its volatility – everyone has the same question,  “How can bitcoin ever become a viable currency if it fluctuates 10-20% a day?”  The volatility is a huge flaw for BTC and it is why I created Nautiluscoin.  A merchant must have a reasonable expectation that a currency can be converted to fiat if needed without losing 10% of its value. At the same time, those who want to use the currency must first buy the currency and need to be assured that they can buy enough to make a purchase without having to pay 10% higher to obtain the currency.  In other words, a stable growth pattern is needed.

I share Hayek’s view that a currency should reflect its supply and demand – if more people want to use it, the price should rise. Wild daily fluctuations will kill any medium of exchange.

My original concept was to use either a currency peg system or daily band. However, as we have seen countless times these systems are flawed. Once the market realizes the entity responsible for maintaining the peg is under-capitalized people abandon the currency. For a real life example we need not look any further than the breaking of the Bank of England.

The NSF is designed to act as a speed bump – when things get out of hand in either direction the NSF has the ability to step into the market. As with all systems the NSF has a flaw too – it can be overwhelmed.  That is to say if a miner decides to dump, the NSF can only buy so much…alternatively if merchant and investment interest create tremendous demand the price can move rapidly higher.

The speed bump nature of the NSF is a way to gain acceptance, just like Hayek concluded.  The NSF does not prevent the price from appreciating significantly, it just aims to make the pace reasonable so end users of the currency will be attracted.  At the same time, the NSF cannot prevent the price falling to zero as it does not have enough fire power to buy every NAUT in existence.

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