The Anti-Stock Market

The stock market right now makes perfect sense: if more people are buying then the demand goes up and so does the price. If the value of the company increases, so will the stock price, and vice versa with a drop in value, but what if the market was warped in such a way that the price went up with inactivity and down with a mass of investors? Let me explain with an example.


In a galaxy far, far away, where the stock market is warped, Bob sits at his dining table looking at his phone. "Oh wow!" Bob says out loud. "This stock called BOBO is up 45%! No one must be buying it." Happily, Bob clicked the purchase button.

The next morning, Bob gets his stock, sold by someone happy with the 45% they made. Bob checked his phone, and jumped back in shock. Aghast, Bob had lost $4000 on the stock that plummeted that morning. What had happened to poor Bob was he bought a stock thinking no one else would notice it skyrocketing, and no one would buy it, driving its price higher. But unfortunately for Bob, a million other people had the same thought, and Bob lost his money.


Now that you understand this fictional market, let's delve deeper. We've seen how you would lose money; you buy a stock you think no one else will buy, and inactivity drives the price up. Gaining money is not too different. You try to buy a stock that you think no one else will buy before it goes up and draws attention. However, one of the problems with this is how this would affect companies. If their value is determined by the whim of what people want to buy (or not buy), then it would have a negative effect on the economy. Thus, instead of stocks, it would be more similar to cryptocurrency; we could call these fictional "reverse stocks" anti-tokens. However, this could be not so fictional anymore: we have the technology in cryptocurrency and blockchain to make this possible. In fact, it would not be too difficult. Take a collection of maybe 10 or 20 anti-tokens. Each would be their separate cryptocurrency with different block rewards, halving periods, and all of that. They would all be altcoins based on one blockchain with an algorithm at its very core. This algorithm would look at the rate of transaction (the rate of blocks being added to the chain)


and would change the supply based on this, in turn changing the price. Thus, if transactions are few, the price would increase with a lower supply, and if transactions are plentiful, supply would increase and price would fall. This technology is already there with algorithmic stablecoins that attempt to maintain a specific value using this type of algorithm. All that would be needed is to change it so that it matches our criteria (frequency of transactions) and adjusts its price accordingly.