While HBD is still not a true stablecoin, it is doing far better than SBD historically during bull markets.
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While HBD is still not a true stablecoin, it is doing far better than SBD historically during bull markets.
It looks that way on the charts, but the real test is coming in the next 3/6 months I think. HIVE has fallen in price throughout that stable looking 75c HBD and now it's starting to move, so is HBD.
That's 75p, my local setting on Coingecko is GBP 😅
I think it will be necessary and beneficial for either the @hbdstabilizer to convert HBD when prices are below eg. $0.95 or to be directly funded with Hive from @hive.fund.
That would create Hive inflation from HBD - however as it will sequester the profits back to @hive.fund, the overall inflation should be much lower than it would be if only private individuals were converting Hive and releasing the full amounts on the market (which can in principle have a compounding effect on conversion-based inflation).
Oops, I should have seen that!
Also - Steem was mostly pretty flat during the time of the SBD boom in 2017. It's my view that eventually excess SBD value was channeled into Steem by a slow mechanism, and that's what caused Steem to have a boom significantly after the rest of the crypto space.
A full causal analysis is very difficult, but we are in a unique position where Steem vs Hive is nearly a like for like, A/B test. Perhaps with a few months more time we will have the kind of data that we can say with confidence what kind of causal link there is if any.
I'm looking forward to a potential analysis in the coming months. I think i said similar a few weeks ago, but the best data might come to light at the end of the bull market - SBD swinging high then low, and hopefully HBD not going too wild in either direction.