I could very well be mistaken. I'd appreciate it if you point out what I'm missing, so I can correct the OP.

As I understand, and have verified in the past, this is what happens when e.g. SBD = $0.8, and 1.0 STEEM = $1.0:

If I execute a conversion, I'll get back $1 worth of STEEM, instead of $0.8 worth as the SBD price would suggest. So, I'd receive 1 STEEM for be SBD 1, instead of 0.8 STEEM, which is 25% extra. If SBD falls down to $0.60, I'd receive 67% extra STEEM. What am I missing here? I looked back through my financial records, and I clearly see "gaining" 24,000 STEEM through SBD conversions, rinsing and repeating, in the last financial year. I gained those purely because the system assumes each SBD = $1, even if it's actually not. So what am I missing here?

PS: Of course, the above is for when debt-to-ownership is under 10%.

Yes, I agree that SBD wouldn't be an issue if STEEM was a healthy economy. But it clearly is not, likely never will be, and that's the problem.