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RE: Converting HBD to Hive

in LeoFinance4 years ago

Very good advice. I've seen people talk about doing that and it's worse than them not getting as much value in the way of rewards as they should. What converting HBD into HIVE does is destroy the HBD because HBD is a debt instrument and converting it redeems the debt. The debt matures at that point, if you will, and the bond becomes null and void. What the removal of HBD from circulation does is make it more scarce and help make its price higher, thus helping the pumpers who quite possibly fraudulently pump it in order to dump it on silly speculators.

There are several active proposals out there whose purpose is to use the HBD minted by the DAO to flood the markets with it in order to bring the price back to the peg. When people convert HBD to HIVE they actually work against that.

So, thank you for your helpful post.

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sure thing, glad it was helpful! :)