You are viewing a single comment's thread from:

RE: 20% Interest Rate on HBD

in LeoFinance3 years ago

If the market is bleeding and we try to stem the bleeding by lowering interest rates, that makes it even less attractive to hold HBD and that would obviously accelerate the dumping and conversions of HBD back into Hive which creates more dumping. It's a vicious cycle.

Many refer to it as Death Spiral. I’ve been seeing a lot of conversations surrounding it lately especially as it relates to UST.