Sounds like others have clarified this one but I think the interest rate could be a little damaging in the right scenario. Not that much HBD is currently locked into wallets but when we start to get significant sums, it will get hairy!
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The high HBD interest is already a problem. In April, HIVE paid out 35,223 in HBD interest. In May HIVE paid out 66,025.
A couple of frightening things. The top 8 accounts received over half of the HBD interest. The top 100 accounts received over 84% of the HBD interest.
The HBD marketcap was over 5% of the HIVE marketcap. The haircut sets in at 10%. So we might see some HBD holders converting their HBD to HIVE and dumping the HIVE.
I've seen numerous companies destroyed by debt. The right circumstance is pretty much guaranteed to happen. Coingecko just whispered in my ear and said that the price of HIVE was 0.335 . I think the circumstances are likely to line up.
Fortunately the right circumstances are lining up before HIVE took on too heavy a debt load. There is still only 8 million HBD on the table.
Unfortunately, I don't see the witnesses changing their decision about the dangerous interest rate.
Come on, the fact that 8 accounts received over half of the HBD interest should raise alarms.