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RE: Why you should vote for Proposal 206 and build a bridge to Binance
I see ( no matter who hosts it) a pool with HBD and high liquidy necessary.
I know some people, that want to exchange middle amounts of HBD. its close to impossible ( without really high losses).
That makes HBD really useless as a stable coin.
I hold in the current HBD/BUSD pool 10%.
But even with 100k in it, you cant swap something close to a 1 to 1 rate with low volumes.
Sure it could be handled all by private investors, but I don't think HBD is that good to hold larger amounts without network support.
Risk is high and liquidy is low.
But I understand Blocktrades, it would be a competitive product with network subventions.
IMO benefits overweight, and if not I'm sure we can easily stop funding from one day to another :D
It's not impossible to exchange high amounts of HBD but it takes patience. You can't just do it in one go. The stabilizer exchanges $100K per day and sometimes multiples of that without moving the market much (if it did move the market, it would stop trading, and it often doesn't). It also does depend on market conditions to an extent, but this is not rare. This, of course, is HIVE-HBD. If you are coming from another stablecoin, fiat, another crypto, etc., you have to buy HIVE first, then get it on chain to use the internal market. HIVE has decent liquidity, but you have to do two trades, and you can't buy too much HIVE at one time unless you want to take additional HIVE price risk. So overall it is high friction.
I agree utility would improve with more convenient and consistent ways to access liquidity.
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