What constitues a legitimate demand for HBD?
I assume hoarding HBD in savings is illegitimate and healing your Ragnarok deck is legitimate? Even though the coins apparently end up hoarded in Ragnarok savings account? (spoiler: all of them won't, that's unrealistic)
There is no need for HBD for transcating. Two rational parties can always agree to send X HIVE instead of 10 HBD if actual HBD coins are hard to get.
Although in practice, I wouldn't be surprised to see SIM Based Dollar or LEO Based Dollar if people are stubborn about stablecoin transactions. And that's after SWAP.USDT and SWAP.BUSD that Hive-Engine already has.
We need to think of ways to increase demand for our debt during the bear market so that HBD is less likely to be converted to Hive and doubly cripple us during the bad times. It would also be just as helpful if we could lower demand for our debt during the bull. Both of these strategies create more elasticity and buffer for the main chain.
My plan is to tell everyone "Keep your HBD, you'll get more HIVE later" during bear and "Dump HBD into HIVE before it moons" during bull. I expect noone to listen to me because they will be busy doing it already. OK, I concede, once the bull starts I am fine with anyone burning 2.5 HIVE to get their HBD only to convert it back into 0.25 HIVE later.
Wouldn't it be the same as swapping Hive for BTC if you're replacing HIVE for HBD? Trading/Transacting with just Hive would just increase sell-pressure for Hive. Having HBD as a mandatory option should give more stability and should lower volatility to the downside (as it is pegged). But I guess it's all theory until it's not. So I think it's good to test things out for longer periods of time before making adjustments.
It also makes for a valid reason to hold and transact with HBD if you want to chip in and do your part btw. At least, this would be the case for me to hold some/more HBD, and to put more in savings to mint new HBD (which also increases the supply).
No worries, English isn't my first language. Mandatory wasn't the right word, 'secondary' would've been correct.
You missed the point. But sure, indirectly it's probably how one may see that, as in: "I sold my BTC to buy X". Whatever form of (wrapped) BTC, in your case; SWAP.BTC is then sold (note the selling pressure if thousands will do this)/traded by buyer/merchant for a currency to cover costs and expenses. The same would go for HIVE, and obviously HBD as well. Since HIVE is a governance token, and HBD has more properties that resemble a similar stablecoin (like a dollar), it's a no-brainer which one to prioritize to use to transact, but that's indeed not my business. Fair, anyone could use HIVE to transact, I wouldn't mind. I price HIVE much higher than it is right now, so I'd be more than happy to accept HIVE -right now- as a receiver. Understand that uncertainty will grow when prices of Hive will be higher, are volatile, spike, etc., and the risks (insert your Utopian Coin here) and volatility probably grow with it as well. But another important factor is that buying pressure -needs- to be equal to the introduced selling pressure to cover costs/expenses of products that are being bought/sold with HIVE (and not with HBD).
If you have purchased Hive for 10 cents, and you can buy something for 10 dollars for 1 Hive in the future, let's say 30% is costs/expenses. Guess how much money is actually flowing out of the ecosystem at the price of 10 cents? Sure, this is great for the early investor, but the newcomers are paying for that. Do the same basic math with HBD. This could be easily countered with transacting in HBD, as prices have shown to be quite stable over time. At this point, I'm not even considering the Utopian version. It would be the same as "Hey, I bought this with HBD", even if this meant using HBD to swap for BTC, which then swaps for USD or whatever currency is accepted. The point is, that such a thing will decrease selling pressure -to the downside- of Hive (and increases that of HBD).
No one is saying that HBD is the same as a dollar. It is aimed to be pegged to a dollar equivalent worth, do note the difference. With your logic: Hive isn't a dollar either.