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San Francisco Onion Futures Company

398 points · 179 comments · z-mach9

  1. Reason077 · · focus · HN ↗
    Are these contract prices really "per onion"? Or are they actually per pound or per kg? Up to $9.39 seems very expensive if it's really the price for a single onion.

    I thought maybe they're some sort of special exotic onion variety, but I don't see anything to suggest that.

    1. a11ce · · focus · HN ↗
      They are per (normal (sometimes organic) yellow) onion. Prices vary.

      (It's primarily a novelty/art thing. But I do actually deliver the onions.)

      1. viccis · · focus · HN ↗

        [dead]

      2. kolinko · · focus · HN ↗
        Love it, reminds me of early days of crypto.

        How do you decide upon a price?

        1. conorcleary · · focus · HN ↗
          the pizza to onion ratio of course
        2. a11ce · · focus · HN ↗
          I don't want to give too many details, but I will say if you graph prices over time it looks a lot like a market price. Maybe I should add a price history page to demonstrate that it's not noise...
          1. mhh__ · · focus · HN ↗
            All you need to do is quite a price that isn't vulnerable to arbitrage. As a dealer you should then charge a spread atop of that to cover make a profit after costs and adverse selection (even if trading was free you should charge a spread to protect you against informed traders)
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