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RE: That's It, There Will Be No More SBD!
Is steemit trying to close sbd and route all transactions through steem?
Posted using Partiko Android
Is steemit trying to close sbd and route all transactions through steem?
Posted using Partiko Android
I guess not, because it's there by design for some very specific purpose(s).
SBD protection against overinflation just kicked-in.
That's a good and a bad thing at the same time, for different reasons.
If it wouldn't be capped, it would be a speculative vehicle decoupled from STEEM and the real world value and that would be a bad thing.
Speculative vehicles tend to be speculated and behave unpredictably.
If your business model relies on getting paid @ a somewhat predictable value for your services, you need to project how much you'll get for what you give.
The good thing is that the mechanism works.
If it gets overinflated because more people use it, that's practically indicating there are not many users that speculate on it and it's used mainly as a form of payment inside the ecosystem for transferring value.
Users holding and using it proves nobody is heading for the exits, so to speak and the demand is greater than the supply for the time being.
Hope this helps.
Maybe others will set us straight if we're on the wrong logic path here.
Be well!