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RE: Week through Adrian's Lenses (10-16 August 2024)

in LeoFinance3 months ago

The SPS DHF proposal is interesting. I haven't been updating myself with the SPL team's thoughts on it, but last I remember they can't really give a concrete plan on where to spend the funds. I remember they gave overviews of marketing and improving things, but no specifics yet. I hope they are able to provide these to satisfy the requirement. Since a lot of our stables and other crypto are just sitting idle, I think this is good for both SPL and Hive.

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I don't think transparency is required beforehand in this case, but when a plan is conceived or regular reports, something like that. That's how I understand this request. The ETH to HP request, while I understand the request and I agree with it, locks liquid funds as HP, and in a period when ETH may be doing better than HIVE, at least up to a point. That's an opportunity cost that is paid by the SPS.DAO. On the other hand, it is true, SPS.DAO didn't have much exposure to Hive, and I believe it should have some exposure to the blockchain that has the ledger of SPL transactions, so that SPS stakeholders better understand it, and hopefully, get involved with it more.

On the stables side... I am not convinced. When dealing with big numbers, HBD may not be a great choice yet, especially if you want to use it, and not hold it. HBD conversion has no slippage, but it comes with a 5% fee, which is a lot for a stable coin.

They can just park the HBD in the savings and earn interest.

Yes, but it takes 4 months of interest to recover a 5% fee (at 15% APR). And if they need HBD in the meantime...