The idea is to move the price, and put hive buy orders under the market to support the price so that u guarantee a great HBD conversion price. If u are clever, u can make a contract with the investor to take 20% of any HBD u get them over their USD investment price. As far as I can see, u do this right and everyone here, including u retires.
You can only have 20% of HIVE's market cap converted at any given time.
To convert 1 billion HBD, you have to make HIVE's market cap 5 billion. That means you have to increase the HIVE's price from 0.27 USD to 9.80 USD.
And then you are hoping that no one is going to dump their hive at that price and reduce the market cap. (People are already dumping their hive at 0.27, it would be merry fucking christmas for them. So impossible.) This theory is full of wishful thinking.
I don’t think it worked quite like that. It’s a little more nuanced. But yes, u could easily increase hive piece to well above 10usd. And far beyond that. In this case (with 1 bn usd going into hive to convert to hbd, I’d imagine the market cap of hive would easily be well above 5 bn. Well above. The ppl buying hive for hbd would have to build into their strategy they there would be selling from hiveans and have enough mitigation to absorb reasonably expected selling amounts. This is one of many mitigation’s that should be considered before a hedge fund does such a thing