Today, while checking some posts, I found out about a new tribe token on hive that is called BBHO. Well, it's not totally new, the front-end of this tribe went online about one month ago. It's definitely not always easy to stay on top of things on Hive...
Would you say that tribe tokens are a success story?
I would say that we have had a lot of rather unsuccessful examples of tribe tokens. Some are still surviving but in most cases the value of the tokens decreased over time. The life circle of these tribes is similar for most of them. At the very beginning, they seem very attractive. Because of the little initial supply, the return of these tokens can be pretty amazing. Unfortunately, after a time the return goes down as does the interest in the token. As a result in most cases the value of the token decreases in the long run.
Will it be different for BBHO?
When looking at tokens on Hive-Engine, I believe the single most important aspect is the person or group of people who run the project. The owner of the BBHO token is @bradleyarrow. He joined this blockchain in 2019 not long after I joined. I believe that he came to hive through CTP which was run by @jongolson. It's quite amazing to look at his path here on hive. He first started by creating and consuming content before he started to build things. Today, he runs several tokens (BBH, BBHM and BBHO) and he also runs a hive-engine witness node. The value of his tokens so far have not only been stable, they actually rather increased over time. When holding BBH tokens, you canget some interesting dividends.
Now, I can't say that it will be the same for BBHO. However, I believe that Bradley is very hard working and he always seems to put the needs of his projects before his own ones.
How does BBHO work?
The project runs it's own front end: https://www.thebbhproject.com. It's simply another outpost hive front-end that shows all the posts that are tagged with the following specific tags: bbh, inleo, drip, tip, passive. If one of these tags is added to a post, it will show on this front-end and it will also be elegible to get rewards in BBHO tokens.
50% of the rewards go to the author and 50% go to the curator. Half of all the rewards are distributed in staked form. You need to stake your BBHO in order to be able to curate with it. It takes 7 days to unstake your tokens.
What I find remarkable is that everybody is welcome to use the BBH tag and there is no limit of content. So you can basically post anything in this tribe. It can therefore represent a nice side income to use the BBH tag on your posts.
Tokenomics
Airdrop
There was an initial airdrop that distributed 37'776 tokens to the people who had given BEE tokens in order to sponsor the creation of the tokens and the front-end. There are a couple of thousands BBHO tokens for which I can't figure out the provenance. Probably they were created at an earlier stage before the front-end came out.
Distribution
There are 2 BBHO token minted every 60 seconds. Over a day, 2'880 tokens are created. There are no other ways to create tokens than through curation and author rewards.
At the moment, around 179'000 tokens are in circulation and a bit more than 50% of these tokens are staked. The max supply is 21 million tokens and analogue to BTC, there will be a halving of rewards whenever there is a halving with BTC.
When I look at the growth of the token at the moment, it's north of 580% which is pretty impressive. This is not the curation return which is more difficult to calculate because I don't really know how many tokens are staked. That's the growth of the supply based on the numbers above. This growth will come down over time.
However, it's a pretty interesting opportunity to become a whale in this token. In general, being early in with tribe tokens gives you a significant advantage.
But will BBHO end like so many other tribe tokens?
I don't really know how @bradleyarrow plans to give value to the token but he writes in his post that the front-end is only the very first step of the project and he has a real long term vision. When I look at BBH and his ability to distribute rewards to the token holders, I believe that there are real plans to give value to the project.
Of course this is not financial device and it's up to you to figure out whether there is a chance that BBHO will be more successful than 90% of the tribe tokens from the past...
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