Why 20% APR on HBD Makes Sense

Over the last few years in my life I've heavily focused on finances not only because of my business but because I wanted to take the profits from my business and start to accumulate wealth as quickly as possible.

Fiat Savings/ Wealth Accumulation

This at first started with adding my money into a savings account and at the time earning about 3% which somewhat beat inflation or stayed on pace. Those days are gone and you're lucky to get 0.5% now on a savings accounts.

From there I expanded a bit more and invested into stocks and primarily dividend producing stocks. While some where successes others failed and lessons where learned. Luckily and I do say lucky as the stock market is really a high risk gamble in my opinion with the amount of manipulation that goes on I've been able to stay ahead and earn around 10% dividend yield.

That's pretty high but I was lucky enough to learn from mistakes in the past to realize that when everything starts crashing that's why you buy in HEAVY. So that's what I did I bought in heavy when the world seemed to be crashing around us when the pandemic first hit. I was able to take at the time a dividend producing stock of 5% to today it earning 11%+ because of the $ value discount I had bought it at.

Crypto Savings / Wealth Accumulation

Now during all of this I was buying into crypto and primarily it was just bitcoin and litecoin with a new token called Ethereum which I bought at just $13 on average.

At the time however you really didn't earn any crypto unless you mined it or did some risky trading between two. It really was the wild west back then and if only I knew how much Ethereum would have been I would have dumped my full paycheck into it instead of my 401k lol (Thus I stopped listening to other main media people at that point and started doing my own research another lesson learned in life)

Since then proof of stake was born and with it came the ability to earn more crypto from the crypto you already had. In fact I built a mini computer that constantly runs and mines over 10 proof of stake coins. This computer uses just 7 watts idle and 43 when it's chugging out blocks a very very small price to pay for the benefits it provides.

Since then however new advancements have become available. Giving people in crypto and investors some new tactics to make rather sizeable money. Those came in a wave of DeFi and then branched off what I would call digital banks offering up stablecoins with sizeable interest from 3%+ making them attractive options compared of what was and still is happening in the world.

Stablecoins started to produce huge value in the defi space. Minimizing risk while still providing huge wealth to people through trading and lending. However there is one glaring issue with many stable coins if you are into crypto from when it was born. That being a majority of these stable coins are owned by a company and being so pretty much makes them a banker and subject to SEC and other regulations which impose "fees" for these so called service.

Now some might look at this as a good thing being that it means with regulation most likely will come a flood of new money into the system however for people like me it breaks everything Bitcoin was invented for and that was to restore freedoms to people including privacy.

This is why I like HBD as it's a stable coin unlike any other where it's pulling it's value from various places which will most likely continue to expand. This will open up unique opportunities not found anywhere else and keep things decentralized and up to the entire community of hive to vote and make changes where they see fit.

Why 20% Makes Sense Right Now

This 20% value right now makes perfect sense for a number of reasons.

• HBD is small and needs to grow it's only going to do this by making it attractive to hold on to it. At 10% even 12% I have to be honest I didn't care much to hold it for very long because I could make just as much if not more converting it to hive for curation rewards or other investments which produced a higher return. 20% now makes it attractive to hold and now potentially use it in DeFi such as the soon to come pHBD from PolyCub DeFi

• It would only take about $150,000 to $200,000 for most people to replace their work income at 20% again making it a very attractive option.

• I feel this point is overlooked a lot. The biggest benefit to this is YOU are in control of the wallet and the funds. You control when you want to lock it and unlock it and at only 3 days lock period that's comparable to a bank account transfer. No sending your HBD to someone else or another company for them to loan it out etc where you take all the risk if they rug pull on you or worse. Instead you have FULL control as it's your wallet. I feel that's a HUGE benefit of all of this.

• More HBD opens up more opportunities for Hive itself. As it grows in value people will start to notice it and notice hive and the capabilities it has. Which should promote more development on the chain thus more account creations, more activity and more applications for people to use.

What are you thoughts on the 20% APR will you be stacking HBD?

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