While small, the HBD supply keeps decreasing.
Here is the chart starting from Jan 2022.
Note that this is HBD without the HBD in the DHF.
At the beginning of the year the HBD supply was almost 14M, while at the moment is 8.6M.
Ten days ago the supply was 9.2, meaning a 0.6M HBD was removed from the supply.
This is a logical reaction to the drop in the prices of the market, that has been ongoing in all of the 2022. The supply keeps balancing itself to the market cap of Hive, and at the moment the debt is around 4%. If the supply of HBD stayed around the 14M HBD as the beginning of the year the debt would have been double now.
P.S. The all time chart
Craziest part is that increasing the interest rate to 20% in April has zero visible effect on the demand so far. Looking at the chart that was a good time to move it to 20% to soften the blow of so many conversions.
Posted Using LeoFinance Beta
Yep the supply is contracting, not expanding. The general market trends are the biggest force in this case
It is sensible since people are looking for the bottom in HIVE. We still are at the speculation/trader phase.
More buildout is required to reduce the dependence upon market price moves.
Posted Using LeoFinance Beta
For that to happen HIVE will need to go against market trends as well :)
Well I got to admit I don't hold mine anymore. I sell it off for Hive as I see a lot more value there right now in the next year over the 20% APR. If that APR was 50% then maybe lol
OK, 20% is not enough anymore :)
lol as crazy as that sounds it's kind of true!
I need to buy much more HBD.
Thanks for sharing! Do you think this trend will keep going in the near future?
Posted Using LeoFinance Beta
It basically depends on the general market conditions in crypto.
If the market improves, BTC goes up, HIVE goes up, so will the HBD supply.
Hbd is a good buy now and I have been accumulating till when I see better opportunities to offload everything for hive
Posted Using LeoFinance Beta
I don't fully understand. It must be lack of technicality on my part. Thanks for the valuable post. I'll dig deeper to understand it better.
I don't fully understand it either but it gest better with time and practice
Posted Using LeoFinance Beta
I guess the decreased Hive prices mean that people want more Hive to buy the dip. I know I did exchange some of my own HBD for Hive and I also considered pulling out HBD from savings to do so.
Posted Using LeoFinance Beta
This chart basically wipes out the concerns I had with setting HBD interest at 20%. I think this is a good position to be at. No need to change to change the rates. What we now have to add is more marketing and awareness. I'm expecting good things from @hivecreators https://peakd.com/hive-191635/@hivecreators/contribute-to-marketing-efforts-related-to-hive-blockchain-proposal-dhf
!PIZZA
Posted Using LeoFinance Beta
PIZZA Holders sent $PIZZA tips in this post's comments:
@vimukthi(3/5) tipped @dalz.shorts (x1)
Please vote for pizza.witness!