RE: Is HBD Getting More Stable?
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Thank you for reviewing this, and giving me a post to refer people to. I especially like this quote:
When you want to contract for any kind of long term work, it’s important for your contract to be formed with a relative stable payment value. This is because an unstable payment value leaves either the buyer or the seller unhappy because an originally fair agreement (fair from the perspective of the buyer and the seller), becomes unfair. And if either party is unhappy, it causes ill will, and discourages further contracts.
I think the stability of the original steem-SBD was a feature, not a bug when I got here and the 50/50 payout in steem-SBD made sense to me. I understand people’s frustration with it nit performing like all the other stable coins in the market, but I always thought it wasn’t like all the other stable coins it was tied to steem and subsequently Hive and that was a good thing.
Thanks again.
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I guess it is a feature if it holds. When the price runs up to $9 like SBD did, that isnt a feature. It then becomes a speculation toy, which mirrors all other crypto and, incidentally, why we dont see a great deal of commerce taking place in it. Who will spend it when it can 100x over the next year (or whatever)?
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Good point, if it can 10x or 100x it loses its functionality as a stable coin and becomes more of a speculative asset youhold, instead of using.
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Yeah. The key to a stablecoin is maintaining a peg which then can encourage commerce. We then are looking at increasing the velocity so as to develop a thriving economy.
As you can see, the first step is the peg.
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