A couple of weeks ago I ran a script to see they HBD interest payouts in March, what I noticed was the those who benefited most and received highest payouts were exchanges like upbit and Bittrex, and hive.fund.
At first I wasn't sure if it was a good idea to paying exchanges for holding user funds. But then I realized that it can be a good incentive for more exchanges to list HBD. Currently, Binance only lists Hive and not HBD. If they knew they can add revenue in HBD interest, they might consider adding HBD as well. Also this could be something to convince exchanges like Coinbase to list Hive and HBD as this extra revenue may cover their costs of listing and bring profits. Upbit made 3700 HBD in March in interest, which is $7000+ in USD.
Also, hive.fund earning some interest can be beneficial for everybody. More funds to pay for proposals.
On one hand incentives to move HBD from exchanges to owner wallets sounds interesting, as ideally we would want HBD to serve as a currency on daily transactions. On the other hand incentive to lock them up for 3 days will defeat the purpose of making it a daily use currency.
I would suggest tiered interest. Maybe 3% or whatever witnesses set the parameter to for liquid HBD, and double that for HBD in Savings.
I would even go further and suggest similar mechanism for liquid and savings Hive.
On a separate note, lowering power down time from 13 weeks to 4 weeks is needed.
Surly the hive fund could be set up to stake whatever its not using and just release the required funds for each forecast daily payout?
Since hive.fund is a special internal account that nobody has direct access to, I don't think it can stake and unstake.
You could put automated code in a HF so it did it based on estimated proposal requirements. I don't think it would be impossible but I will leave it to someone else to determine if feasible.
Could theoretically be done but I don't see that happening in this upcoming release.
For now if this proposal is implemented the hive.fund will just not get any interest. There are arguments either way as to whether that is desired, but it will have to be worked out later whether to make a further change.
Thanks for replying.
I would be for a 4 or 6 week powerdown for HP; governance issues can be dealt with in other ways. 13 weeks is an eternity in cypto.
I agree, 13 weeks is too long.
BlockFi just responded on Twitter. I tweeted before I read this post earlier today.
it happens if things become short-term decisions. Long Term everything should pay by market and not by network. IN my comment i write longer about :)