$2.74 HIVE Target
Just some quick calculations on HIVE reaching $1 Billion market cap with 364,967,546 HIVE in circulation, according to CoinGecko. We would need Hive to be at a price of $2.74 to reach that level. Of course, with inflation, that number goes down. With conversions between HIVE and HBD, the number fluctuates.
So, let's say $2.75 is our target. As a community, we need to strive to attract investment into the coin. We do not have to necessarily attract bloggers or other content creators. Of course, these would be preferable as they are more likely to remain long-term users. However, it wouldn't hurt to have investors who simply need to put capital somewhere.
I have warmed up to the idea of increasing the HBD interest rate, although slowly rather than in big jumps. The reasoning is that if the interest rate is high enough, more of us will convert HIVE to HBD for passive income. This shrinks the supply of HIVE, making it appreciate in price. Perhaps 15% or 20% HBD interest would bring in outside capital. That's something we would not know until we try it.
On the other hand, this does nothing about our market capitalization. The tokenomics would shift. But, we would still have the same market capitalization without outside capital.
3Speak has the right idea of making a pool of capital. This effectively puts that amount of HIVE out of circulation.
Our effect here at Travel Write Money, is miniscule in terms of the millions required to move the HIVE value. What we propose to do is to take the portion of rewards we earn and convert them to HBD before cashing out. We think it is better to flood the market with HBD than with HIVE. We would do our small part to reduce the amount of HIVE in circulation.
In addition, we will continue to buy HIVE from the market for powering up. This locks up HIVE in our Hive Power.
We invite others, if you are going to take profit, take it in HBD. If you are going to power up, buy HIVE off the market.
Interest rates are solely at the discretion of the Witnesses. I can't say that they should raise interest rates as there is no telling if that would attract capital.
In the meantime, $2.74 HIVE, for a market cap of $1 Billion seems a reasonable milestone for us as a community. It's a great deal of money for any one person.
The long way to achieve this is to bring in more content creators. This will take time for them to build their accounts. However, it is more sustainable.
The other way is to bring investors who will buy their stakes and, perhaps, make the occasional post. This is faster, yet less sustainable. Just as easily as they port their money onto the platform, they can take it off for other opportunities. A good mix of content creators and investors could get us to the goal.
Posted Using LeoFinance Beta