You are viewing a single comment's thread from:

RE: Why We Shouldn't Be Funding HBD Stabiliser - We've Got It The Wrong Way Round

in LeoFinance3 years ago

The point you make about the tradeoff between high HIVE prices benefiting existing stakeholders vs. high HBD prices benefiting smaller users who want to use their HBD rewards to buy more HIVE is a good one. It's the best argument I've heard against the stabilization effort.

The thing though that most users who receive HBD rewards are not using the HBD to buy HIVE. If you look at the stats on that, the numbers are really low. The vast majority of HBD that is paid out in rewards is sent to exchanges to sell. In that scenario, having HIVE being worth 10x and users getting 10x as much in rewards vs. HBD being worth 10x and users getting the same rewards that are worth 10 times as much is net zero.

There is a tradeoff with these decisions, and as with most financial/economic tweaks to the platform there are going to be winners and loosers to the change. Unfortunately the very small amount of users who are actually trying to use the high HBD prices to increase their HIVE position is not significant enough to outweigh the benefits to making the price of HIVE go up.

The Hive platform is still very small. The biggest risk to everyone (regardless of the amount of stake that they have) is that the project stays small, never innovates and advances, and eventually we fall into obscurity. The witnesses and stakeholders are trying to make the right moves to move the platform forward and hopefully deliver exponential growth.

Everyone is entitled to their views and opinions on this. The way the platform is designed though, the users with the largest stake in the platform have the most say. It is how the platform was designed and intended to function.

As far as how the stuff we are doing looks to the "casual investor" (i.e. somebody who hasn't done enough research and doesn't actually know what they are talking about) I am not too worried about that. Casual investors are good and I'd like us to try and be welcoming to those types, but in my view making the changes that serious investors (i.e. the ones who do their homework and make smart financial decisions with their investments) are more important to consider. For that group, the stuff we are doing should look pretty smart.

Sort:  

All my HBD gets converted to HIVE, for what good it does :)