RE: RE: Hive drops to .049 USD
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RE: Hive drops to .049 USD

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If you go to Ausbit Bank; you will see that HBD holdings have dropped to $9,763,550. It was over $10m a bit ago.

My guess is that HBD holders are converting their HBD to HIVE then dumping it. They want to avoid "the haircut" which happens if HBD exceeds 30% of HIVE.

Converting 100,000 HBD at a nickel produces 2 million HIVE.

Who wants to buy two million HIVE in a bear market?

The people who are most likely to buy HIVE are dealing with a major drop in BTC and are not in a position to absorb the crunch.

BTW, this is why I opposed raising the interest on HBD to 20% and why I opposed raising the haircut to 30%. Those acts set up HIVE for a fun little trap called a "death spiral."

It is best to avoid death spirals.

!ALIVE

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