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Coinmarketcap's SBD price error affecting Bidbots

in sbd •  4 months ago

I was just about to write about the apparent boom in the price of SBD - did a quick search to find that @themarkymark had already written about this at SBD is not mooning.

However, this is an important issue for bidbot users! Steem Bot Tracker seems to use the Coinmarketcap price feeds at the top of its page. This is not just there for information, it is also part of the algorithm used to calculate the size of each upvote by each bot.

For example, if a bidbot ends its cycle even - at 0% ROI - it calculates the value of each upvote based on a zero return after curation and a 50-50 SP-SBD split. That calculation takes into account the actual free market prices of both currencies plus, of course, the blockchain official STEEM price to calculate the pending rewards shown in $ on a post.

The above snapshot was taken for a bidbot that closed at nearly evens, that is, at 0% ROI. There is no discrimination against any individual bidbot as they all appear to use the Steem Bot Tracker prices.

As you can see above, the Vote Value (the value seen on a post's pending rewards) is based on an SBD value of about US$ 3.00. If it were based on the median market value of about US$ 1.80, then those Vote Values would be closer to the Bid Value. This is not always the case - it depends on the prices of both currencies - but it is a fair estimate based on current actual prices.

So... a solution? Well, if you look at the Coinmarketcap SBD page, you'll notice that there is one errant price feed that is skewing the average.

Firstly, why is CMC using an arithmetic average? That's poor for financial data - using the median would remove outliers and provide a more accurate price. However, we can't do much about CMC.

Perhaps @yabapmatt will read this and change the formula used to show the STEEM and SBD price. Perhaps the average of the three median values?

Anyway, be careful out there!


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Quick fix on the Steem Bot Tracker - now showing Bittrex prices.
Thanks to @yabapmatt

All fixed now, @buildawhale has been updated to the latest build which no longer has HitBtc in the mix and SteemBotTracker has been updated as well. Let @yabapmatt know you appreciate it.

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Yeah, thanks. You beat me to it as I was at work, but thought the bidbot market warranted a speedy fix - assuming bidders actually noticed.
Cheers!

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Because of the % based voting, it doesn't really affect things all that much. In fact, it hurt bot owners more than anyone.

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This user is on the @bombb blacklist for one or more of the following reasons:

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This user is on the @bombb blacklist for one or more of the following reasons:

  • Bumptious Behavior
  • Spam Comment
  • Unemployed

Thanks for the clarification !