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RE: Im kinda excited about SBD going toward $1

in #sbd7 years ago

Mhh, i would be very careful buying it if it trades above $1. SBD is a promise to get $1 of steem. So there is is simply no justification for it to be worth more than that. It does not provide any utility or value above $1 and in fact uses all of its utility if it trades above $1.

I think long term it has to come down for that reason, so I think these trades are fine in the short term as speculative play but i would be careful with such strategies.

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I've been making small trades back and forth getting out quickly. But have bought a bunch of SBD from another steemit member which I'm holding for the change in ratio which I feel will happen. Actually I'm pretty confident that we will see a couple flip flops of the ratio long before there is any stability. There is such a small float of SBD that it only takes a couple larger investors or any of the many pump/dump groups out there deciding to move some money into SBD and the price can move pretty drastically.