It surely would stop trading in and out of SD internally :P . Maybe that would put more pressure on the external market? Would that be substantial enough to even cause a blip?
I play the market here a bit, so appreciate it. I NEVER take Steem off the site. I'm not saying that I won't, but that I don't right now. It's either powered up or I'm trading it in the market... or holding for a potential trade later. I like having that option.
Since it exists, is there really a compelling reason to get rid of it? Is the internal market really affecting the price? I honestly don't know.
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It affects behaviour on the internal and external markets which creates downward pressure.