The solution to variable free-market yields is in this post.

It's the same as every other DEFI protocol that's been doing it since 2020.
We should not be providing a guaranteed flat APR.
We need to provide a guaranteed static inflation amount.
And the farmers compete for the yield in the free market.
Less farmers = higher yields... which coincidentally how bonds work as well.

static vs variable yields
It is unacceptable that Hive provides static yield on the savings accounts and let's everyone farm a base rate no matter how crowded the trade gets. Thus far it hasn't mattered very much because the amount of HBD in the bank accounts hasn't been very volatile and can be easily monitored on-chain.

The problem is doing it this way completely undermines the free-market economy. Either the yield is static and the overall inflation is variable (now), or the inflation is static and the yield is variable. It's very obvious to me that the inflation should be static and the yield should be variable... that way the free market chooses the yield based on how crowded the trade is. This is a self correcting system where if people leave the trade yield goes up and incentivizes someone else to enter, while if it's crowded in incentivizes people to leave. The way it is now we are constantly just guessing as to what supply and demand are and hoping it works out... and basically writing a blank check with variable cost.