SBD tanks not only to $1 but below one with confidence destroyed after losing substantial value in 3.5 days. This requires inflation from the witnesses and/or reverse conversion to fix.
Bloggers lose incentive to continue posting on the chain and the active community shrinks.
The amount of people using the platform can't support either the SBD in place and we're not close enough to the lowest goal out there of tether to reach the aims of the conversion in the first place.
Steem and SBD go down in value
I'm pretty sure all these points will definitely happen. From being a month in the Steemit blockchain, I've been benefited by just a fraction of the total witness community. Not saying this feeling entitled but it's just the reality that the more new people come in the platform, there isn't much incentive if everyone is getting upvotes of 0.10-1 SBD if it's pegged to the USD.
My sister in law said that even if she got 1 SBD a post now she'd be already happy and thrilled. I think that's because being in my country that it's currency is x4 weaker than the USD, 1 SBD Is equivalent to 1 (SBD) x 6 (USD) x 4 (my currency) = 24 (my currency)
Now if it's 10 SBD a post then that's 240 and the minimum wage in my country is 5.5/hour which is about 1.5 USD per hour. Only unless 3rd world countries are not considered into the decision then I suppose it'll not really matter if it's pegged to the USD.
I just hope we're taken into consideration as what Steemit is to us right now is life changing.