You are viewing a single comment's thread from:

RE: HBD: The Ultimate Stable Coin

in #hbd6 years ago

Very nice! This is the best argument so far against attempting to account for inflation. However, I would be pretty surprised if the price of everything in the world doubled from inflation but Hive didn't. Wouldn't you?

For this to happen some of the extra USD money supply has to flow to HIVE

I believe this shows a fundamental lack of understanding when it comes to liquidity, supply, and demand. A coin can double in value without any money being put into it. All that needs to happen is for the sellers to decide they aren't selling anymore. Markets can shift with zero volume. Of course this idea probably exists in a vacuum and has never actually happened IRL.

In any case, thanks for getting back to me.
I have a lot to think about.

Sort:  

Market dinamics a very complex, both supply and demand are sensible to a host of factors which are difficult to account for in the short and mediam term. Especially since we cannot apply the same models to tokens/currencies that operate under different designs.

Note: when I say supply I mean what is placed for sale on the market and not just the amount that is "physically" in existence. Anyway, this has been a stimulating conversation.

We'll all laugh about this when we're fucking millionaires.
When Lambo? Kek.