I found it hard to onboard people on Hive but I was able to convince a few people and let them join for a 20% APR. They are passive investors. If they find out that the APR is reduced, they would take their money out and leave.
It is assumed by a few people that people would liquidate HBD and convert it to Hive and power up. I don't think so. There are so many accounts with just HBD in savings and no HP at all. It is quite possible that they might leave Hive.
I personally would keep the APR at 20% for my witness and even if there is a pressure to reduce it, I think 15% is fair.
After thinking about it a bit more, decided to let it at 15% rather than 12%. Agree with all the points and I see valid arguments on both sides.
16%, 15, 12 and even 10%....
All those proposed numbers are at least 50% higher than the US treasury and they are highly competitive with curation rewards.
It is difficult to onboard people on Hive in general and that is not news. Even at 10% we have one of the best yields out of both real world and DeFi platforms.
We make onboarding easier we attract users with those APR even at 10% because that is objectively a high interest rate.