Pay Dividends With Bitcoin
The exchanges on which Bitcoin stocks are traded have had regulatory and internal problems, and thus far have had difficulty staying open. As a result, some Bitcoin stocks have stopped trading altogether, while others have turned to roundabout methods to continue trading: for example, conducting trades through email and forum threads, and manually keeping track of who owns what quantity of a stock manually. For shareholders this last point is especially important, because the percentage of shares owned by an individual determines the percentage of a company’s dividends that he receives.
With Counterparty, users can issue stocks and pay dividends in BTC or XCP to shareholders, automatically and trustlessly. The shareholders do not even need to run a Counterparty client: having distributed the shares of a stock, stock issuers merely need to specify:
Which asset they are paying dividends on
What asset they are paying dividends in BTC or XCP
The quantity of dividends to be paid per share
The Counterparty protocol does all of the work and shareholders will receive BTC or XCP as they normally do.
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