Yesterday the Hive Backed Dollar(HBD) saw about 52% pump, those of you that had liquid HBD and was very quick to trade it, congrats, you have made quick a 52% profit and that is cool, a once in a blue moon kind of opportunity. This is just the advantage of having liquid HBD the opportunity will not always come. Well, whenever you get such an opportunity again, you know what to do? Run to the Hive DEX market and get yourself some Hive because the price can snatch right back, thanks to the hbd stabiliser, always working hard to make sure it stabilises the price of HBD and try to maintain its $1 range.
The reason behind the pump is obviously because of the upbit pump, there was a massive trading of HBD and that pumped the price, the supply of HBD is still very small, so little high liquidity can have the price off the roof, hence the reason we need to print more HBD, organically of course to control inflation. This is the advantage of decentralisation, no centralised entity is printing the HBD some where for their selfish interest, and besides, the blockchain is transparent, you can track transactions and the activities of the HBD, just incase, for better trust.
I know you will be thinking, if the HBD can pump this hard, what about the dumping stage or time? Yeah you are right, if it can pump, then it can dump, but just as we trusted the HBD stabiliser to stabilise the price when it pumped this high, we can also trust the HBD stabiliser to stabilise the price when it dumps, it has a mechanism on how to helps increase the price of HBD when it dumps and reduce the price of HBD when it pumps. So yeah, its a decentralised stabelcoin you can trust and dont forget the 20% APR in the HBD savings.
Right now the supply of Hive dollar is really low, should be one of the stablecoins with the lowest supplies, so its quite hard to have it on a lot of exchanges for better adoption and utilisation, that is why we dont have it on a lot of exchanges like we do with the Hive coin. So we need more, this means we need more HBD printing, one of the ways to get HBD is through HBD savings, the blockchain prints HBD at a 20% APR rate when you save your HBD in HBD savings. Author rewards is another way the blockchain prints HBD, so more Hive powering up which leads to more curation, leads to more HBD supply.
Posted Using LeoFinance Beta