I agree that this is 100% a liquidity problem and we need to focus on long term sustainability/stability, upgrade our infrastructure, and increase our liquidity to the maximum.

This is exactly why I fervently oppose things like allocating 20% yield to timelocked HBD when we could be allocating yield to an AMM farm and actually increase our liquidity exponentially rather that removing HBD from circulation. I also question if bonds would do the same thing (reward users for removing liquidity from circulation).

You've been a proponent of bonds and savings account yield for a while now, and I'm still trying to figure out how that can be the case after making a post like this where it becomes clear as day that we need to add liquidity to the ecosystem rather than subtract it. I guess there's no reason we can't have it all (AMM + bonds + timelock yields) but still... an event like this really shines a light on the need for an upgrade of the internal market to AMM. HBD will never be stable without the necessary elastic liquidity to maneuver around supply and demand constraints.

Overall I'd say this stress test was actually a vast improvement compared to previous ones we've seen. The stabilizer has more liquidity than it's ever had before, and the price of HBD was brought down faster than it ever has before as well. Still, I think we can do much better going forward.

Posted Using LeoFinance ^Beta