Maybe Hive Should Get Listed on Base: Aerodrome Finance

Today Bitcoin had a small dip to $112k and Hive is trading at 18 cents! Last time we were at this price level for Hive was last October when Bitcoin was trading at around $60k or about half the price that it is today.

So Bitcoin basically doubled and we are flat. That is quite a bit of underperformance for Hive. And that is not just the most boring crypto, Etherium is trading today at $4180 while it was at $2200 last October, so it also almost doubled.

Clearly there is too much sell pressure on Hive. Maybe Hive stakers should look at ways to reduce that pressure. When I think of where that sell pressure might be coming from the first thing that comes to mind is the Decentralized Hive Fund (DHF). The biggest expense item for DHF is the Value Plan.

The Value Plan is a large basket that includes a number of different projects in it. Maybe the Value Plan should be un-voted and each of the projects in it should submit a DHF proposal and Hive stakeholders can vote on each project separately and decide which projects should be funded and which might not be worth the funds that they require at this time. And maybe there are other things that Hive needs that funds can be allocated to that would not result in as much inflation.

For example Hive really needs a better onramp for American investors. Right now it is really inconvenient to get fiat into Hive in United States. Hive is not listed on any centralized exchanges so in order to buy Hive one would have to transfer money from the bank to Coinbase then pay high fees to buy ETH, LTC or BTC on Coinbase. Then pay fees to transfer from Coinbase to Metamask then pay fees to transfer from Metamask to Hive-engine.

This is a long and complicated process for most new crypto investors and it cost more than it should. Recently Splinterlands came up with a great idea for a fiat on-ramp into SPS token. SPS token got basically listed on Base blockchain, which is a main blockchain for Coinbase.

They also built a bridge to Base so that you simply buy SPS for USDC in your Base wallet and can transfer it straight into the game from your Base wallet. Simple and cheap way to acquire SPS tokens.

Splinterlands did it by establishing a liquidity pool on Aerodrome Finance AERO, which is the largest Decentralized Exchange on Base blockchain that Coinbase is invested in and is making it the Exchange that all Coinbase users will be using soon to buy any coins on Base. Right now only five percent of Coinbase users have access to this, but soon they will roll it out to all Coinbase users and they stated that they want to make it a completely seamless experience so listing on Coinbase's blockchain will basically become as good as listing on Coinbase.

Splinterlands did run into a problem listing SPS token on Aerodrome Finance. This Decentralized Exchange does require you to give them enough business so that they can make some money on the small fee that they charge.

That means that your token has to have at least a million dollars in trading volume per day. SPS is around sixty thousand dollars in daily volume on all exchanges. It is simply too small. Hive doesn't have this problem. So Hive can get officially listed by token name on Aerodrome Finance and not worry about having to provide a swap link or have users type in contract address for the token.

It would be cool to be able to get USDC for free on Coinbase and simply buy Hive right there then use a bridge to transfer Hive and stake it deposit it into HBD savings. That would provide a great on-boarding experience into Hive for United States based users.

All images in this post are from my recent trip to New York City. And today I managed over ten thousand steps as we went for a walk and I did a weight lifting workout afterwards.

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