Could HBD Completely Change Hive?

in LeoFinance8 days ago

The Hive Backed Dollar is a sensitive issue with many people. There is a certain percentage of the community that would prefer to completely do away with it. They believe it has done nothing like it was designed, hence, is a failed experiment.

We must remember that, up to 14 months ago, the community did not have control of the base layer development. Since that time, certain things were approached, one of them being the HBD. In the next hard fork, there is going to be a feature programmed that will allow HIVE to HBD conversion. This should stimulate activity if the price of HBD starts to move far above its peg price.

There was also the stabilizer program that might not have done a ton to stabilize the price of the token but it did generate millions for the DAO. This will help to ensure the ongoing funding of Hive development down the road. Nevertheless, the price of HBD is now near the peg so we can presume the stabilizer program did have some effect.

Another feature we saw implemented was the idea of paying interest on HBD holdings. This was started at 3% with the option of changing it (more on that in a moment). It is a feature that is going to change a bit with the Hard Fork whereby HBD that is in savings will get the interest.

According to a recent post by @smooth, we see the interest paid on that Witness Node changed to 7%. A few others followed suit. This affected the outcome overall as the payment was increased now to 5%.

hivebackeddollar.png

This could completely change the entire Hive ecosystem and give it a major advantage in the world of commerce.

Hive Stablecoin

If HBD can take on the role of stable coin, that would be huge for Hive. It would instantly take it to a completely different level as compared to what is out there. One thing that is vital to note is that Hive transactions are fee-less. This means there is no charge to move HBD from one wallet to another.

Why is this important? Think of other stablecoins. Whenever you want to do something on a network, there is a transaction fee associated. Even on BSC, where the fees are very reasonable (at the moment), there is a charge for doing any type of activity.

In fact, outside of using cash, this is true in the fiat world as well. Since almost all transactions are done digitally, this incurs a fee. For example, each time one swipes the card with Visa, Mastercard, or any other logo, that company is getting a percentage of the sale. In the U.S., that can vary from .5%-3% depending upon how much activity the merchant does.

The same is true on Apple Pay or any of the other digital payment applications.

Hive has the ability to offer transactions on consumption without charge. Hence, if HBD did actually fill the role as stablecoin, it would then be able to move freely throughout the system, allowing for commerce without anyone taking a sliver of the pie.

Think about that for a moment. As long as the individual has some Resource Credits, he or she can send HBD without any issue. This means the merchant will get the full payment of what the transaction is. If the item costs 5 HBD, then that is what is received.

Trying doing that with many of the other stablecoins out there. Each of them will incur a transaction fee simply for using the network. Hive has a different solution to this, one that is only going to progress forward upon the release of Resource Credit delegation after the Hard Fork 25.

In short, this could remove one of the major barriers to commerce on blockchain.

Incentivize To Hold And Not To Hold

Here is where there is a high wire act that needs to be pulled off.

The tendency in cryptocurrency is to focus upon the ROI only. Hence, we see comments about setting the HBD interest rate at 10%, 15%, or even 20%. This will, of course, incentivize people to hold the token.

In reality, we do not want people holding or investing in HBD. That is not how we go about creating a thriving economy. Instead, we want people to "park" their money in HBD. What this means is that people will opt into HBD as they roll out of one currency and before moving into something else.

Think about what people do in their brokerage accounts. They sell a particular stock, they then have their holdings in cash. So whatever the native currency is, that is how the value is stored until one decides to move into another stock position.

We essentially do the same thing in our checking accounts. Here we hold value in USD or EURO before deciding to pay our electric bill or buy a cup of coffee. Then the funds are transferred to someone else.

Certainly, there are ones who set up "rainy day" funds with their banks and keep a few thousand dollars in there "just in case". This would also be well served by a stable HBD paying an aggressive amount of interest.

The key is to not pay too much interest.

Cryptocurrency has a problem in that it is mostly a speculation realm. Everyone treats crypto like stock. They are expecting higher prices in the future, hence are unwilling to part with it today. If HBD is paying an enormous amount, then people will hold as opposed to using it for transactions. That could end up creating a liquidity crisis if too many opt for that approach.

Basically, we want HBD to be thought of as cash. One wants to be somewhat liquid but not have all his or her holdings in it.

Thriving Economy

HBD offers a different opportunity. We need to stop thinking about how to create another vehicle to generate a ROI and how do we make Hive into a thriving economy.

In the linked post above, it was mentioned in the comments about needing billions of HBD. This is not the case. Certainly there will need to be enough HBD, yet that is not based upon some arbitrary number compared to another stablecoin. Instead it is dependent upon the economic conditions on Hive.

There is a basic concept in economics called the velocity of money. Basically, this is the number of times a unit of currency passes through the economy in a given period of time.

The key is that to have a thriving economy, one needs to have a strong velocity of money. With Hive, the goal should be to get HBD flowing through the system as fast as possible. If this is happening, that means there is a ton of commercial activity, creating a thriving economy. This, in turn, will attract more entrepreneurs and people looking to build businesses since they see the activity that is taking place.

Basically, Hive then could be a place where people actually purchase products and services instead of being a chain where speculation reigns supreme. Just consider how much of a difference that truly is.


Is any of this possible?

Naturally, the first part of the equation is getting the peg on HBD to be stable. Throughout its history, the price bounced all over the place. However, we much focus upon the fact that for many years, this never received any attention. That is not the case anymore. There are serious efforts being made to try to get a strong peg. We might not have all the solutions on the board but it does appear we are moving closer.

If the peg is pulled off, then it is game on. The fact that HBD can be sent by anyone without fees is enormous. Consider the world of microtransactions and what that opens things up to. How can some of the other platforms compete with that? Even on BSC an item that costs a couple dollars is not worth buying due to the transaction fees in many instances. Who wants to pay a 20 or 30 cent transaction fee on a $2 item?

The final point to consider is that, as the name says, each HBD is backed by $1 in HIVE. This is an important component in that the peg is not some arbitrary figure. We see the dollar as a unit of measure yet the value is based upon HIVE. Thus, as HIVE heads higher in USD terms, less of it is required for each HBD. So, if the price is $10, then .1 HIVE is needed as opposed to 1 full HIVE at a $1.

Ultimately, a pegged HBD will allow for some major changes to take place on Hive, ones that we do not see out in the blockchain world. Combining a stablecoin with a fee-less transaction system is revolutionary.

We essentially are eliminating any gatekeepers or profiteers from commercial transactions.

Isn't that what cryptocurrency was designed to do?


If you found this article informative, please give an upvote and rehive.

gif by @doze

screen_vision2025_1.png

logo by @st8z

Posted Using LeoFinance Beta

Sort:  

Man if only there was a payment system designed specifically for the Hive ecosystem that merchants and vendors could plug into and start accepting HBD....

Oh wait, we built Hive Pay last year LOL

Posted Using LeoFinance Beta

This is honeslty the first time I'm hearing of this. Woe is me.

Yes you did. There is hope for it yet. A stable HBD could really help that application's adoption rate.

Keep it ready to roll out. We will have to do some marketing for it if this peg idea does work.

Posted Using LeoFinance Beta

This needs to be seen more. I can barely find Hive Pay with a Google search of "hive pay" (had to narrow it to site:hive.blog).

https://hive.blog/hive-162583/@hellomsq/tgkqnmea

20%+ of Hive users are in Venezuela, a country where the local currency is unstable and unreliable. It would be the perfect place to try and roll out merchant adoption of Hive (preferably focusing on Hive Dollars).

more seo more marketing and i would expect only with this a much higher price.

With easy onboarding + marketing = skyrocket.

Basically, Hive then could be a place where people actually purchase products and services instead of being a chain where speculation reigns supreme.

  • Go to www.privex.io and pretend to be interested in a VPS or dedicated server. When you get to the check out area you'll see an option to pay with many options, including Hive Backed Dollars.
  • I work for cryptocurrencies: programming. I accepted HBD from the beginning.

On Hive-Engine.com, they show all the tokens priced in USD because they know people prefer to see things in dollar terms. Even though the trading pairs are exclusively with Hive as one of the pairs. I'm really glad the @hbdstablizer has done it's work. Good job @smooth.

I am sure those will be enhanced by having a stable HBD. We will see if it works out over the long run.

Posted Using LeoFinance Beta

I noticed it changed to 5%, is this some kind of average taken amongst the witnesses? @blocktrades is showing 7%, others are at 5%, more at 3% and others undetermined. Where does this figure come from?

image.png

It's the median

I would say that it is some kind of average among all the witnesses. I really dont know what caused the change. I didnt know that averaging was possible but maybe it is.

Perhaps a witness can chime in and answer this question.

Posted Using LeoFinance Beta

People and businesses needs to directly accept it.
I mean accept it for products and services.
For example imagine a bakery that accepts HBD.
You could buy bread with HBD.
HBD could completely change not just/only Hive, but the whole economy. This depends on the people.

That is true. However, before any of that will happen, the price of HBD needs to be stabilized. When it is swaying 20% (or even greater) few will use it for commercial purposes. Businesses simply cannot take the risk on having overnight or short term fluctuations turning a profit into a loss.

Posted Using LeoFinance Beta

Very insightful article. Made me realize how much hidden fees there are in banking. Someone is paying for that somehow although the transaction itself isn't charged..

Have been converting any hbd I get at the moment mostly to power up or transfer to HE but if the peg works and there's actual opportunities to use it like cash that would indeed change the use case.

When Tesla announced it would accept bitcoin as payment I found it really odd. Haven't really followed that but I assume they just converted the dollar price to bitcoin at the time? And like you said people don't like to part with something they see as an investment. I wonder how many people bought Tesla's with bitcoin..


Posted via proofofbrain.io

Those entities that accept crypto will be equating it to the fiat pricing at the time of the transaction. So Tesla, if they were going to continue down that path, which they opted not to,

As for the companies that are accepting Bitcoin, I have a feeling that we will see those companies simply hold the BTC to let it accumulate.

Posted Using LeoFinance Beta

Yeah that's what I thought so pretty different from what you mention for hbd here. I saw all the flashy headlines about Tesla but nobody talked about how much they actually sold that way. Only mention was the big direct buy..

Agree on the companies probably holding the bitcoin, and shouting how it will all fail and crash just before they buy

20% change from one day to another is really too much for every day use, but if it is annually/yearly, then it is okay.
The annual/yearly change for EUR/USD was 20.09% in 2003.
The daily change in HBD/USD is currently -0.53%, which is acceptable. The daily change is +0.36% for EUR/USD.

20% change from one day to another is really too much for every day use, but if it is annually/yearly, then it is okay.

If it is being used for commerce. A grocery store, which typically operates on a 6% margin does not want a 20% drop in the value if HBD if it was used for that. That would mean a 14%, on average, lost on each product sold that day.

The daily change in HBD/USD is currently -0.53%, which is acceptable. The daily change is +0.36% for EUR/USD.

When it comes to commerce, that doesnt matter to most people since they are transacting in one currency. So the price of the EURO in USD does not affect most of the shoppers or account holders in the Eurozone.

As for those companies who operate on an international scale, this is basically an accounting situation since they have operations often where they are selling their products. Hence, a US company will keep EURO on hand to pay the bills for their EU operations.

Posted Using LeoFinance Beta

14%, on average, lost on each product sold that day

Not really on average because sometimes the value would go up, but in any case, businesses don't want that kind of extra risk.

Well I do have a question: will we truly want dollars in the future? At some point, currencies will be replaced and I don't know but I do think the petro dollar is in trouble. Although I fully do believe that we have deflation happening, the government is just planning on printing more and more affect the economy.

Posted Using LeoFinance Beta

There has already been some discussion in the past that if the dollar were to break down we could switch the peg to something else such as a basket of commodities.

Oh that is nice to know. I hope the dollar doesn't break down but its always better to have something in place incase it does.

Posted Using LeoFinance Beta

In reality, we do not want people holding or investing in HBD. That is not how we go about creating a thriving economy. Instead, we want people to "park" their money in HBD. What this means is that people will opt into HBD as they roll out of one currency and before moving into something else.

Preach it good sir! Preach it!
I commented [here]https://leofinance.io/@d-zero/re-leofinance-bzk7o) about getting a LeoBridge for Hive-Engine. We can have Swap.HBD & turn it to a decentralized stablecoin between various swap exchanges. I think that'll be a real use case for Hive blockchain :)

Posted Using LeoFinance Beta

That would be interesting. If we get it pegged and the peg holds, I think we will see a lot of expansion with it. This is going to make things a lot different going forward if it comes into being.

I would expect a lot of the associated projects with Hive start to implement it into their mechanisms.

Posted Using LeoFinance Beta

I still believe CDPs would be the killer app

Man, I’ve been hearing this bounced back and forth for years now it seems and this is the first decent explanation I’ve heard of it as a whole. Thanks!

I know right. Like the explanation nailed it

Posted Using LeoFinance Beta

It was bounced back and forth but nothing was really ever done about it. I am nit sure if it was because the witnesses has no access to the code or because they were led to believe there were other priorities. Sadly, since development was slow coming out, things didnt change much.

That is not the case now. As we see from the linked article, this was something that was put in motion 3 months ago. Look at how far we came in a short period of time. We will see what else needs to be done on top of these changes.

Posted Using LeoFinance Beta

if it was because the witnesses has no access to the code or because they were led to believe there were other priorities

Both, and more than "led to believe". Witnesses were told that if they pushed for any priorities other than the web blogging app and SMTs (heh, as if that actually went anywhere), Steemit would vote them out.

If HBD becomes more stable, I believe it will start to be thought of more broadly as a payment token, at least in Hive ecosystem for starters. I still would set a % for the HBD in savings comparable to what other stable coins have on major platforms (I'm not talking defi pools here).

Posted Using LeoFinance Beta

That makes sense. Hard to say what the right savings rate is going to be. Working up the scale makes some sense. If there is an overshoot, that could easily be corrected.

Posted Using LeoFinance Beta

If HBD can be a true stablecoin, I wish we could have a CUB-HBD LP besides CUB-BUSD.

Posted Using LeoFinance Beta

Well HBD is not located on BSC so they would have to make a Binance version of that. I am not sure that would be the way to go.

It actually might end up that CubFinance adds a way into Hive (HSC maybe) that allows it to set up pools including CUB/HBD.

A lot of possibilities. First, we need to watch and see if HBD holds. We are now sitting around $1, lets see if the stabilizer coupled with some of the other things taking place keep it near there.

Posted Using LeoFinance Beta

Certainly I want HBD to stay, but I'm not entirely sure where this will all be headed or what is the right course of action. Definitely, the idea of earning interest on HBD is a great move, but I don't like the idea that it may only be for savings. To note, this interest (no matter what is decided) may also incentivize people to take out their staking power and instead sell their Hive for HBD (assuming the interest is higher than Steem Powers growth).

In my opinion, keep HBD interest above Steem Power's interest, give extra interest for the amount in the SAVINGS, and from there we'll see how the market reacts before any further moves are made.

I think you mean Hive Power.

Well HP offers more than just a ROI based upon the inflation. There is also what you can do with it in terms of voting power which leads to curation rewards as well as governance.

Plus, if the peg works, HBD would then be at a constant price. Most who are hodling HIVE are doing so because they believe it will be higher in the future; not something one would conclude with HBD if the peg is in effect.

Posted Using LeoFinance Beta

Valid points all through.. All i want is for hive to move forward. I am totally in support of anything that will cause that to happen

Hbd is a gold mine that might showcase hive to the world if things are done with the way you have envisioned it.

Thank you for sharing. I will like to see a post on your criteria for selecting a good defi project.

Posted Using LeoFinance Beta

Hbd is a gold mine that might showcase hive to the world if things are done with the way you have envisioned it.

We will see. There is a lot of thought going into how to make HBD stable. Some things are taking place that could have long term impact. We will see what happens after the hard fork at the end of the month. Will the new feature help with the price escalation? That is probably the first question we need answered before we can start looking forward.

Posted Using LeoFinance Beta

Having a stablecoin with feeless transactions indeed can open up the potential for a myriad of applications. A perfect showcase for blockchain technology.

Regarding the interest, indeed it has to be something that is sustainable for the long term. Whatever percentage that ends up being. If we can make it high, great. The point for me is to make it more attractive than holding cash in a bank. We're offering a new type of bank with long-term predictability and security, but with additional benefits like community ownership, no hidden fees, high interest, instantaneous feeless transactions, and more.

Posted Using LeoFinance Beta

The point for me is to make it more attractive than holding cash in a bank.

That is achieved already, presuming price stability. Even a 5% interest payout is much greater than the banks right now. If the payment is moved up to 7% or 9%, then it is a lot higher than banks are providing.

So in that regard, it is better than cash. However, people are right to make the point how does it compare to what else is out there. It is a fine line because do we want HBD to be solely utilized for the return. We have HIVE for that.

I think having it as a transacting token is much more valuable. The payoff to the ecosystem would be much greater.

Posted Using LeoFinance Beta

This article make sense and we belive that the Hive has power to up top all social network. The thriving economy that HBD offers a different opportunity, really. Thanks for share your clean idea.

There should be an app that has no relation with blogging. It is only wallet so more people can use HBD as the true money.


Posted via proofofbrain.io

Not sure there is an app needed. It is all happening at the blockchain level so it is inherent in every wallet. Applications only need to accept HBD and people can send it through whatever front end he or she decides to use.

Posted Using LeoFinance Beta

How would we achieve price stabilisation of HBD? Seems like a rather difficult problem.

Posted Using LeoFinance Beta

there are many posts by @smooth and @blocktrades about this

agreed, this has a lot of potential!

We must give HBD a very good pegging to persuade it not to deviate from the $1 by more than a few cents otherwise this doesn't work as you envisioned it because people would buy stuff when HBD is a little lower so they would get it on discount basically. It must be rock solid in order to have a chance to be successful

Posted Using LeoFinance Beta

Without a doubt. There is no way to use HBD as a stablecoin if it is moving by even 10% in either direction. If that is the case, we would be left with a situation where the volatility, while nothing in crypto, is still too much for merchants.

Posted Using LeoFinance Beta

Very sane article. I like not having to pay fees. I am a penny pincher so this works for me. I will invest a little more in HBD this next month and Index also

There was also the stabilizer program that might not have done a ton to stabilize the price of the token but it did generate millions for the DAO. This will help to ensure the ongoing funding of Hive development down the road.

Another way to say this is that the people at the top siphoned surplus value from the bloggers and social media users into their own pockets. All under the guise of "helping". I don't necessarily subscribe to that conspiracy but there are plenty of others around here that would see it that way.


But touching on the actual subject of this post, yeah, stabilizing HBD shouldn't be too difficult, and the zero-friction economy we are creating is sure to push velocity through the roof. Perpetual motion machines are quite valuable.

As far as 1 HBD being pegged to $1's worth of Hive: it will be very nice when $2-$3 is used to overcollateralize the asset. Get a real futures market in here and allow users to mint both Hive (short) and HBD (long) on demand with CPD smart-contracts. But then again I'm just beating a dead horse on that front. Perhaps that's a bit overzealous considering where we find ourselves today.

Another way to say this is that the people at the top siphoned surplus value from the bloggers and social media users into their own pockets.

I presume you are referring to a few of the posts that were used to fund that which were upvoted by larger accounts. While I did disagree with it a bit, the amount, overall, was insignificant.

As for the siphoning, I guess one could make the case there is a lot more for the top developers to siphon out of the pool if wanted. However, since it was a funding that was done through the open market, I am not sure it would fly too much either.

But then again I'm just beating a dead horse on that front. Perhaps that's a bit overzealous considering where we find ourselves today.

Nah. You see the potential. You are on step 7 while the system is moving to step 2. So you are just a bit ahead of the game but you see what is possible. It will be fun to watch what is eventually built out. A lot of good things happening.

Posted Using LeoFinance Beta

I presume you are referring to a few of the posts that were used to fund that which were upvoted by larger accounts.

Actually I was referring more to the general idea of lowering the value of HBD in such a centralized manner. Traditionally when the peg breaks to the upside bloggers cheer because everyone is getting much bigger payouts (it's obviously insane on Steem right now with $8 SBD).

Simply the act of dumping dev money onto the market and cycling it back into the fund is a bit suspect, especially when paired with the fact that many funded proposals were defunded during this time because they were being "paid too much".

So instead of allowing bloggers to earn more and devs to earn more, we instead diverted that value back into the dev fund in order to theoretically increase potential future gains instead of allowing the community to have them. It's a valid strategy if and only if that money ends up going to a better place later... so I guess we'll find out... maybe?

This mistrust also loops back to the ninjamine, which in my opinion should have obviously been destroyed but now sits in the dev fund for very little reason. It is a constant (albeit currently neutralized) threat to the network. We don't need gobs of money sitting around to fund development. The network can print money on demand whenever it comes to consensus to do so. We don't suddenly have more money for development because the ninjamine is sitting there. That money can't be dumped on the market without causing serious damage to current liquidity pools. It's 100% liability with no upside.

But many don't see it this way and those same people are doing good work so who am I to judge?

I think if we get HBD to stabilize things could really move forward. Not only on Hive, but it could really be a breaktrough to our relationship with money and the economy.

Posted Using LeoFinance Beta

It would change things a great deal especially since it is at the base layer. This would be something interesting when we couple it with fee-less transactions. Overall this could make for a tremendous impact.

Posted Using LeoFinance Beta

A truly stable HBD inside of Hive would be an absolute game-changer for the entire Hive ecosystem. As you say, a fee-less place to park your currency while deciding what to do next that could be trusted to hold it's value (and even pay you a little something) would be a huge draw to mainstream crypto investors. As I said in a comment yesterday about this, a solid, trustworthy stablecoin inside the ecosystem could very possibly be the biggest piece of innovation Hive as a blockchain could ever accomplish. The use-cases are almost limitless, especially when you consider all the other components to Hive currently being developed. I really hope they can figure it out.

Posted Using LeoFinance Beta

There are so many issues that could come up with this i don't know where to start but. I really feel like hive has a great deal of work to do before they even get into that. You all talking about some complicated stuff now inflation rates and stable coins paying interest. I would focus on just trying to keep the people you have on the platform now. I think one big issue with crypto is it likes to do overcomplex stuff and it doesn't have the structure to do it.

Stablecoins are very important however, what is also very important is merchants and vendors offering chargebacks to their customers which they can't do in crypto. So that makes it a bad payment system. Now we've dabbled in the stable coin business and alot of people didnt catch that especially on hive engine bad mistake on their part but we don't have that crypto for the reasons many think.

We have it because we can pay people ubi one day in a stable coin. it wouldn't work for merchants and vendors properly its always going to be an inferior product. Also a stable coin would work good for bloggers to pay bloggers a set stable value and not they are intended to receive $100 for a post and actually receive $25. so the stable coin would be good in that area as well.

The rest of this would be difficult because you really dont have the infrastructure growth or base . you like a 200 rank coin.. You don't have significant growth and this is going to be hard to remain stable. .. knowing the inflation rate will be difficult. The bbd coin we have is predicated on the belief that if you believe social media networks are of value and you have a growing economy and a base of users.. i mean like millions not like can we hold 100k people and pray they dont leave.

if you have all those things thats one thing. Our concept works because the idea of ubi is freemium services and well how many people you going to get using a freemium service. its conceivable to get alot of people. Not that it will happen but it is conceivable.Growth and value could convince a large amount of people to accept the dollars as stable adn valuable. Thats similar to what could happen with libracoin. Just alot of people using a dollar and it stabilizes it. Not to be a downer but i just dont think hive is ever going to be like a platform that masses of people will use. I think its likely some other project will develop something in that way. There are maybe some overhauls should have been done on hive a long time ago. Probably not good for your base to keep going down that road dissapointement i'd just focus on keeping who i have on the network.

I think a stable coin maybe in a small market like hive engine could work. let those traders use stable coins to protect on their downside that maybe can work. as far as hbd being like a major stable coin i just don't believe thats going to be possible under the circumstances. Hive to me is not doing a good job representative of a growing economy to get to that point. I think if that turned around later that would matter. All i see happening now is yet another attempt at a hbd to try to stay on its peg without addressing other issues in relation to that.

Posted Using LeoFinance Beta

Amazing! 2.jpg

pixresteemer_incognito_angel_mini.png
Bang, I did it again... I just rehived your post!
Week 59 of my contest just started...you can now check the winners of the previous week!
4

Wow. Amazing. Always educating me.

!BBH

Posted Using LeoFinance Beta

Because this is such an awesome post, here is a BBH Tip for you. . Keep up the fantastic work

Has hecho una muy buena explicación, la verdad la gran mayoría de los temas no los sabía.

I wished HBD was a stablecoin.

Would that be asking too much? Haha!

Posted Using LeoFinance Beta

This is the sort of Hive post that is worth saving.

Thanks for sharing your thoughts and visions for HBD.

A real eye-opener for me.

Posted Using LeoFinance Beta

its got a low supply and can pump to liek $20 to $100 if we try lol the canadian dollar or australian dollar dont have to be same as us dollar, neither does hive dollar.

Very central topic for Hive, if we can stabilize the HBD, it will work as it originally was meant to. Hive has all the tools already, they just need to be marketed and kept sharp.

Posted Using LeoFinance Beta

I think it could help a lot but people will only park their HBD if they can earn interest above 7%. Hard to compete with Ethereum 2.0 for example when you can earn 6% on that and Ethereum is also going up in price by a lot over the next few years. So the transaction fee being zero is a major advantage but if you want people to park their money in HBD they have to be able to earn with it.

The day HBD is a "real" dollar will be a landmark. Payment on Hive Engine, for various services. So many possibilities!

And HBD as a payment token on the big exchanges, oh dear, a dream!

Posted Using LeoFinance Beta

A stable coin backed by a decentralized blockchain in that it generates a stable amount of HIVE (dollar wise) would be such a game changer compared to trusting centralized corporations like tether to fully back their coins.

Posted Using LeoFinance Beta

I believe that the stability of HBD depends on having a Blockchain of people committed to making the system grow in usefulness as a means of fast and free transactions. As long as people driven by the desire for speculation and quick profits continue to enter the system, it will be difficult. Although analyzing well your article, I consider that HBD has achieved part of its objectives. But as you say, it needs that real and strong stability in time. Thanks for the publication.

Posted Using LeoFinance Beta