Coin rating agency?
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Curious. Is there a coin rating agency/group? Kind of like how standard and poor rates countries?
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and Morningstar rates securities.
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So I’m guessing no.
What would be the methodology to properly rate a crypto-coin?
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No but there should be. This is a good idea.
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[quote name=“jeremiel” post=“28341” timestamp=“1379443243”]
So I’m guessing no.What would be the methodology to properly rate a crypto-coin?
[/quote]There’s two schools of thought: Technical and Fundamental.
Technical analysis would plug all the numbers that are available into a formula to rank them against each other. Such technical numbers may include:
Number of coins minted
Rate of coins minted
Retarget rate
Abs(Rate of coins minted - rate of coins expected)
The last price since the last sample
The amount of change in price since the last sample
The percentage of change in price since the last sample
The volume traded since the last sample
The market cap
Dividend rate (for PoS coins)
Dividend yield
Past performanceFundamental analysis would attempt to provide quantitative figures for comparing aspects of the coin that are unrelated to it’s performance to date, such as
Guardianship
Recent changes
Features, implemented or promised
Comparable markets
News and community sentiment
Overall health of the coinIt’s not an impossible feat by any means, but getting it perfect is certainly impossible, since all these things are subject to change at a moments notice.
It’s also highly subjective. Are faster confirmation times better? Always? Maybe a bell curve adjustment on that so there’s a sweet spot? Such exercises are the realms of highly motivated (or perhaps completely bored) mathematicians and financial analysts. If you happen to know one, or fancy yourself one, take a crack at it and see what you produce. It’s easy to do: You can plug in historical data up to a date, then see if your analysis matches the resulting trend after that date. We call this “backtesting”: [url=http://en.wikipedia.org/wiki/Backtesting]http://en.wikipedia.org/wiki/Backtesting[/url]
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[quote name=“Kevlar” post=“28356” timestamp=“1379448132”]
[quote author=jeremiel link=topic=3700.msg28341#msg28341 date=1379443243]
So I’m guessing no.What would be the methodology to properly rate a crypto-coin?
[/quote]There’s two schools of thought: Technical and Fundamental.
Technical analysis would plug all the numbers that are available into a formula to rank them against each other. Such technical numbers may include:
Number of coins minted
Rate of coins minted
Retarget rate
Abs(Rate of coins minted - rate of coins expected)
The last price since the last sample
The amount of change in price since the last sample
The percentage of change in price since the last sample
The volume traded since the last sample
The market cap
Dividend rate (for PoS coins)
Dividend yield
Past performanceFundamental analysis would attempt to provide quantitative figures for comparing aspects of the coin that are unrelated to it’s performance to date, such as
Guardianship
Recent changes
Features, implemented or promised
Comparable markets
News and community sentiment
Overall health of the coinIt’s not an impossible feat by any means, but getting it perfect is certainly impossible, since all these things are subject to change at a moments notice.
It’s also highly subjective. Are faster confirmation times better? Always? Maybe a bell curve adjustment on that so there’s a sweet spot? Such exercises are the realms of highly motivated (or perhaps completely bored) mathematicians and financial analysts. If you happen to know one, or fancy yourself one, take a crack at it and see what you produce. It’s easy to do: You can plug in historical data up to a date, then see if your analysis matches the resulting trend after that date. We call this “backtesting”: [url=http://en.wikipedia.org/wiki/Backtesting]http://en.wikipedia.org/wiki/Backtesting[/url]
[/quote]All good info. Someone will have to start some where. Whoever starts it will most likely be bashed because they ignored this item or add a different item. Most likely a monthly or weekly review process would be needed but people will want it to be more than that.
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Hmmm, we do everything that Kevlar described at work. If I can peak the curiosity of one my my friends in R&D then he might be able to get us a good start. Of course if this were an official Feathercoin project then wouldn’t that be a conflict of interest.
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[quote name=“chrisj” post=“28342” timestamp=“1379443519”]
No but there should be. This is a good idea.
[/quote]Not sure about this.
It could become a tool to manipulate exchange rates…
As long as it it purely on a mathematical basis, it may be ok,but…
