How can we minimize the affect of non US currency?"
This question was posed to DXinOne with the following reply.
Even though the DXG is pegged with the USD the DXG does in fact
float independently and although it may not increase in 24 hours
at the same rate as some currencies alter, over several weeks
this will overcome any negetivity. As each EOS provides a 'new'
increased value to the TDV for all portfolios this increase may
not quite be as much as a currency fluctuation of some
currencies. Because DXG in itself continues to steadily increase
from activity within the DXSystem this forms its own economy and
currency value (DXG), which as we have mentioned moves in a
positive direction as against other currencies that can move in
both directions. A portfolio can still be profitable even while
showing a negative value in some or all Symbols and even with
the 'DXPORTFOLIO TOTAL PROFIT'. The initial funds a operator
places in a portfolio can be fully withdrawn via DXDebit plus
more profit even while the portfolio is showing negative values.
This is because the Credit Line still buffers the currency
changes and charges from the OA Admin fees, premiums etc. and
the 'red' values are only DXPortfolio's profit and this will be
different to the operators 'personal' profit. What this means is
that a portfolio is carried by GDT with costs being placed in
the Credit Line and OA fees can be paid from various options
such as DXDebit, Reserve Balance or Available Balance which is
from profits provided to the portfolio to help operate it. A
DXPortfolio is a credit system and storage service and now with
the addition to the currencies this changes little with what has
been happening for several years with the system. If a portfolio
operator tries to counter the change of currencies they may as
well place their funds in a gold backed payment service and try
to counter the fluctuation of gold, which as you will probably
realise is a costly exercise. In summary a DXPortfolio should be
seen in the longer term rather than in a short time and by
following a strategy of if building the Digot asset base one
should expect to see a negative while the base is building. Once
an operator content with the TDV they should allow the growth to
build before setting another target.
We hope we have been of assistance, if you have any further
questions or queries please don't hesitate to reply.
With Regards, The DXSupport Team
What can we get out of this? First, The DX Portfolio profit is
not the same as the operators profit. I have seen a negative
portfolio profit with an increasing DXdebit available. Second,
limiting yourself to one currency or any other strategy to
offset exchange fees is futile.