HBD is still some way off being a stable coin because the stabilizer still has plenty of distance to cover. It is a frustrating situation I must say and I really hope that things could get better in the near future.
FOr those that don't know about it, HBD is probably the only stable coin that is attempting to be genuinely decentralised. Unfortunately, we can't exactly call it stable until we manage to work out the kinks.
The importance of a genuine algorithm stable coin that is exploit-resistant has immense potential. I believe that it could be a huge selling point for Hive as a whole.
Beyond HBD stable coin, Hive has immense potential due to the underlying technology. Fast and almost free transactions, combined with a thriving community is a very good look.
In fact, even if you take out HBD completely from the equation, hive would still be awesome. However, the presence of HBD presents a challenge that the community must tackle together.
I believe that, while not necessarily being the centrepiece of the blockchain, HBD has the capacity to "unlock" Hive's potential. It could be the push that the blockchain needs to be propelled into the spotlight.
Don't get me wrong, many people already know about Hive and they don't use the blockchain intentionally. Virtually everyone in the crypto space heard about the fork and even if they didn't, they've heard of Splinterlands, at least.
At this very moment, HBD, a stable coin that is meant to be trading at $1 is trading at 88 cents. That's 12 cents off the target and that is a huge margin in the stable coins realm.
In fact, it was this sort of deflection that led to a wicked panic and eventual bank run in Luna.
Fortunately for us, Hive works quite differently and in due time, the value of HBD will be stable-ish. Unfortunately, this still kind of makes HBD quite risky to hold.
At the same time, such a huge deflection from the peg also means that HBD is not a dependable stable coin. In fact, people that have USD bank accounts will feel safer simply just selling Hive for the normal dollars and that could, in turn, drain value from Hive.
Of course, your dollar in your bank account savings doesn't offer 20% APR and while this is consolation, it doesn't take anything away from the fact that we need to get HBD right.
