Title of your idea:
BTCHash
Summary Description:
Hashrate refers to the total combined computational power that is being used to mine and process transactions on a Proof-of-Work blockchain, such as Bitcoin. The higher the hashrate is the more ressources are being devoted to process transactions on the network. This makes a network more resilient to attacks and therefore more secure. If more miners join the network the mining difficulty, a necessary piece to calculate the hash rate, will increase and pushing the total hash rate even higher. And you know it: why do BTC miners join the BTC network, because the expect an increase in BTC price…
Therefore, the BTC hashrate is often used as an indicator of the future BTC price as both has correlated in the past (“BTC price follows the hash rate”).
The idea is to tokenize BTC hash rate and to trade it. So users have the ability to buy BTCHash if they think BTC hash rate will go up (long) or mint and sell BTCHash if they think BTC hash rate will go down (short). Simple as that…
Which metric will your synth track
The development of the BTC hash rate
How will you get data for your metric
To get hash rate data you can use different sources like glassnode, kraken etc.
What collateral type would you use for this synthetic
DAI or ETH
In my opinion this is an optimal product fit for domination.finance as it could work similar to the BTCDOM.