Swap HIVE / HBD (for Free!) using the Hive Internal Exchange

in LeoFinance2 years ago

This article explains how you can trade or swap $HIVE for $HBD and vice versa, instantly and without fees on the Hive Internal Market.


The Hive Internal Market

Also called the Hive Internal Exchange, offers near instant and zero fee* trading between HBD and HIVE on the Hive Blockchain's Base Layer. This market must not be confused with the markets and exchanges powered by Hive Engine smart contracts, which operates on the 2nd Layer of the Hive Blockchain.

*given that you have enough Resource Credits (RC) in your account.


When to use – Convert or Swap?

As you probably already know, there are two ways to get HBD for HIVE and vice versa; By using the Conversion Mechanism or by swapping/trading on the Hive Internal Market.

The short (and probably oversimplified) version is that in most cases, you want to be using the internal market and not the conversion mechanism. If you want to gain a deeper understanding of how the conversion mechanism works and the when's and why's of when it's advisable to use or not, the following two articles can be a good place to start (in addition to the @leoglossary link in the paragraph above):


How to use – Choose a Front-End

There are several front-ends you can use, and they all work pretty much the same way. Some have only an order-book view and trading, and some also offer direct swapping. They're all pretty great, so it basically comes down to what you prefer. Simply head over to one of them on one of the links below, and sign in using Hive Keychain.

If you're looking for an in-depth look at the different front-ends, check out this excellent article, Internal Market Frontends for HIVE and HBD Trading by @ifarmgirl.


Where liquidity comes from (HBD Stabilizer)

To ensure that there's always liquidity available for users to be able to swap/trade back and forth between HIVE and HBD, there is a trading bot operating on the internal exchange called the "HBD Stabilizer", a service which is funded by the Decentralized Hive Fund. The HBD Stabilizer also serves as one of the mechanisms to keep HBD at (or close to) peg.


Wrap-up

And that's it! Now you know all you need to be able to trade freely between HBD and HIVE as much as your heart desires.



Intention / For Hive Creators

The goal of this article is to explain how layer 1 trading/swapping on Hive works and what the internal market is, as simply and as tidy as possible, to provide a quick and easily digestible overview for users, but with relevant links for those who want a deeper understanding.

This is also my first deliberate attempt to write "evergreen" content, i.e. an article that stays relevant past the 7 day voting window. I've tried to optimize the language and structure of the post throughout, to make it easy for search engines to easily understand what it's about, thus (hopefully) giving it a higher hit rating for the keywords and topics contained within. I'll be doing a separate post on the specifics of this soon.

Feedback appreciated

I'm also very interested in your feedback in the comments below, especially if I got something wrong, but also in general. It belongs to this story that it took me way too long to realize the difference between the L1 market and L2 markets of Hive, and it was a pretty big eureka moment for me when I did. And also quite embarrassing, given that I've been here almost 7 years ... cough. Anyways..

What is Hive?

To learn more about Hive, this article is a good place to start: What is Hive?. If you don't already own a Hive account, go here to get one.

Posted Using InLeo Alpha

Sort:  

damn does that mean you were always using the convert before learning this?

I haven't really done much of that either. Most my liquid funds has usually been elsewhere + the fact thay at I really suck at timing markets. I have occasionally used both HE and the BSC bridge for smaller transactions though.

Funfact; from my transaction history I also disocvered that I actually used it without understanding what it was back in the steem days, to be able to buy spl alpha packs

Anyway, my hope with this article is that others - especially newcomers - don't miss the same piece of crucial information

it's ok. I don't think theres any perfect timing markets. just try your best to buy low and sell high @_@ that's the way or just keep in stables if u worry too much.

I see i assume for splinterlands right the terrabridge to get the sps/dec in?

damn alpha packs! I wasn't even here that time. I honestly wish i saw steem/hive sooner u know. i wasted a lot of money on league of legends skins and other shit which i def wouldve used on alpha packs for spl etc :(.

Your article is great and hopefully newcomers dont make this mistake. honestly anybody helping to onboard these new members should be explaining this to them but for those that have nobody hopefully they see this or find somebody that can guide them

Ah this is useful! I have been having issues with HiveHub lately and it's good that there are alternative places to do the swap. Thanks!

Congratulations @mightpossibly! You have completed the following achievement on the Hive blockchain And have been rewarded with New badge(s)

You published more than 100 posts.
Your next target is to reach 150 posts.

You can view your badges on your board and compare yourself to others in the Ranking
If you no longer want to receive notifications, reply to this comment with the word STOP

To support your work, I also upvoted your post!

Congratulations @mightpossibly! You received a personal badge!

You powered-up at least 10 HIVE on Hive Power Up Day!
Wait until the end of Power Up Day to find out the size of your Power-Bee.
May the Hive Power be with you!

You can view your badges on your board and compare yourself to others in the Ranking

Check out our last posts:

Hive Power Up Month Challenge - January 2024 Winners List
Be ready for the February edition of the Hive Power Up Month!
Hive Power Up Day - February 1st 2024

Congratulations @mightpossibly! You received a personal badge!

You powered-up at least 500 HP on Hive Power Up Day! This entitles you to a level 4 badge
Participate in the next Power Up Day and try to power-up more HIVE to get a bigger Power-Bee.
May the Hive Power be with you!

You can view your badges on your board and compare yourself to others in the Ranking

Check out our last posts:

Hive Power Up Month Challenge - January 2024 Winners List
Be ready for the February edition of the Hive Power Up Month!
Hive Power Up Day - February 1st 2024