How much APR on HBD savings?

!ALIVE !LOLZ !BBH !HEARTBEAT

Frankly, I don't care !LOLZ

Why? Because I unstaked all my $HBD savings and will try to sell it. How and to what, I don't know yet. It is panful to see how un-liquid $HBD is.

I sincerely wish all the best to all who have high numbers in $HBD savings and will try to sell it one fine day. Good luck!

Ps: my meager move won't influence global $HIVE/$HBD economy yet my conscience is clear from now on !LOLZ

!BEER

It was good to see you both in the video.

I was happy when the rate was 20%. But I have to admit I don't really understand the economics of HBD.

Anyway, I now swap HBD for CTPSB when I reach the minimum value of 1 HIVE set by Keychain.

!BBH

leave it at 15% for now.
Wait for 3 to 6 more months and depending on the situation dtop to 12%
that's just my thought.

!BBH
!ALIVE

i have mine at 10% other people say it should be a lot higher again to atract people but i'm not an economist i'm just a witness and if i only get 2 % on my savings at the bank it's hard to belive that 15% is a normal thing for hive HBD .

it depends on your goal. if it is to save hive, it must below 10% APR or HP total growth.

But if it is to save your witness vote, put it on 20% or 15%, higher better.

15% sounds like a good number. :)

In the current situation, I think it would be prudent to lower the APR to 12 or 10%.

I used to prefer a higher APR, but now, I wouldn't wish to save if it means more pressure on HBD or HIVE.☺️

Good to see you both together! 😀

I would like to see all HBD burnt, but i guess 5% would be the sensible solution for now.

It's fine as it is. What we need is a better APR for staking HIVE so people are less likely to dump it.

15% would be ok IMO, the pressure is coming because other more important things as the payments for proposals

I am not so sure as I don't know the detailed on how much is the great apr for HBD, btu for me since I want to keep the HBD in my account, no matter how much it is, it is still a win for me though. ;)
!LOLZ !PIZZA

Hmm I think it worth stay at the current point, and wait till May or June and if nothing will go in right way you can move to 12%

How great to see you two together in the video!!

It was juicy to get 20% APR for HBD, even 15% is. However, offering such a high profitability does not help the staked HIVE look attractive. I think that the APR of the staked HIVE should always be at least twice the APR of the HBD. I would like 7% better.

To save hive go down, at least try to save. Not sure if it will make such an impact...

I think it's important to consider the impact the APR has on HBD savings, both for users and the Hive ecosystem.
Maintaining 15% could be attractive to savers, but we also need to assess whether this rate is sustainable in the long term.
Reducing it to a level such as 10% or 7% could better balance incentives and sustainability.

!ALIVE
!BBH
!WINE

15% sounds like a good number. Hopefully we can have it in sustainable manner

With the haircut in mind.. the interest rate impacts debt ratio (my understanding). To support the process, signaling a lower rate would be best. Maybe 10% to start... If debt ratio continues upward, lower rate signal more...

Nice to see both of you today! :)

Drop it to 10%... Re-evaluate in 6 months.

I don't believe this change will affect Hive's value, so I would leave it as is.
In any case, I am not in a position to decide anything about this. Will the witnesses agree, or will each have their own opinion, and the median of those twenty will decide?

I remember when we were all urged to goto Twitter from Dan and Starkerz and combat people's tweets about 20% being unsustainable etc.
From the outside it looked a ridiculously high APR and smacked of a PONZI.
I would put it at 5. I just hope it stays at peg for those savers.

I think the APR should be decent, but I don't think it is sustainable at the current Hive price. So I am leaning more towards 10% as the right number.

At the end of last year I published this blog post about how HBD seemed to be pulling back from getting a "haircut" - and included an explanation of what the "haircut" is:

https://hive.blog/alive/@hirohurl/hbd-back-from-the-brink-of-a-haircut

So far this year, however, the debt-ratio has kept on rising to new highs and is getting closer and closer to the 30% haircut trigger. The screenshot shows the current situation:

It's worth listening to @starkerz to understand why this is bad:

Given all that, I think the interest rate ought to be lowered to 10% for now.

However, one objection to dropping the interest rate when the price of Hive is low is that it could cause investors to sell and leave Hive altogether instead of selling HBD to buy cheap HIVE, thereby driving the price of HIVE even lower.

Of course, even cheaper HIVE would be a compelling buying opportunity. Also, if the haircut kicks in, HBD investors won't be getting any interest payments at all.

!PIMP
!BBH
!ALIVE

I've always advocated for a high APR for HBD savings precisely to attract other people, but at the moment I think we need to make tough cuts, so lowering it to 5 or 8% might be the answer

Tbh, as much as anyone would like to lower it to <10%, it would provide no compelling case to anyone looking for such yields.

Just take MSTR's lineup of preferred stocks, STRK, STRF, STRD, and STRC. They offer an APR of 8-12%, have good liquidity, and are traded worldwide in the stock exchange.

Why would anyone want to put their money into a much lesser known and significantly smaller pool like HIVE? More risk, less rewards. It's dead from the get go.

I think at this point the only reasonable level would 5%, even with that it will be increasing debt but not nearly as quickly. Once that 30% debt level is hit things will get really ugly if HBD loses it's peg...

Not too sure of the implications actually - I am sure there are trade offs, otherwise, the higher the better right? I kinda miss the 20% APR days, but the current 15% is fine. I think status quo is fine, or psychologically, a minimum of 10% (double digit).