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RE: The Hive-Backed Dollar (HBD) and How it Can Carry HIVE to Mainstream Adoption

in LeoFinance10 months ago

Balancing an economy is not simple. The Hive one is pretty small right now, but if it got huge then it could make things trickier. I just read a post by @demotruk on circular HBD economies, so you seem to be thinking about similar things.

I've not got a lot of HBD savings as I find HP more interesting, but it's good to have these options.

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I agree, it definitely gets harder as things get bigger

That being said, I think Dalz has done a great job of outlining that it's not going to suddenly get HUGE overnight... it takes buying HIVE and converting it (burning it in the process) to print a bunch of HBD

That would make the HIVE price balloon like crazy, enriching all HIVE POWER holders

The balancing act that HIVE-HBD ecosystem has between HIVE POWER, HBD savings, conversions and generally low liquidity is quite fascinating

It prevents us from growing super large in a short period of time which is both a hinderance and a protection