I use blocktrades only when I sell Hive or Hive Dollars (HBD) for other cryptocurrencies, or when I buy Hive or Hive Dollars (HBD) with other cryptocurrencies. For exchanging Hive and Hive Dollars (HBD), the internal market is indeed better.
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That's exactly how I use it too.
I have recently started using hive engine token swaps to get better prices than with blocktrades, though.