Hi!

I was reading this article of @taskmaster4450 and thought about offering my own two cents on this matter.

source

Hive Blockchain Technologies (Hive) has developed the Hive Backed Dollar (HBD), a blockchain-based stablecoin pegged to the U.S. Dollar. This token clearly represents as a solution to the recent U.S. Securities and Exchange Commission (SEC) attack on stablecoins, which has put immense pressure on the cryptocurrency industry. By issuing a token that is fully backed by Hive’s own blockchain platform, Hive is able to bypass the risk of SEC action by providing a token that is backed by a true blockchain network. As a fully decentralized token, HBD operates without the need for third-party regulation or oversight, which removes the SEC’s ability to impose rules and regulations on the token. Additionally, Hive keeps a 1:1 reserve of U.S. Dollars in order to guarantee the value of the token, meaning that if the HBD is ever traded at a value lower than the value of its U.S. Dollar reserve, Hive will use its reserve in order to prop up HBD’s value.

More reasonable statements:

Hive Blockchain Hive Backed Dollar, HBD, utilizes on-chain governance protocols to ensure a decentralized, secure and stable medium of value exchange. This allows the cryptocurrency to avoid regulation from the U.S. Securities and Exchange Commission, which requires centralized control over markets.

HBD also decentralizes the process of determining its value, which eliminates the need for regulation from the SEC. Unlike traditional fiat or digital money, HBD does not give one entity any control over it — decentralizing the decision-making power and preventing a single source from having an undue influence.

Since HBD token transactions are verified through the decentralized blockchain, fees associated with taxes on stablecoins are avoided. Since there is no centralized authority associated with HBD transactions, users will never encounter the frustrating fees and waiting times associated with more regulated forms of money.

By avoiding the restrictions associated with U.S. Securities and Exchange Commission regulations, Hive Backed Dollar avoids a large amount of red tape and complications that normally appear.

More reasonable "walls" for SEC regulations on HBD:

1. HBD is able to move through the immutable and secure blockchain with no middleman involved, avoiding the risk of a SEC attack.
2. Hive Blockchain provides a decentralized and transparent platform, protecting HBD from malicious attacks.
3. The use of HBD creates a decentralized store of value and long-term stability in the market.
4. HBD is not affiliated with any particular company making it not subject to regulatory attack.
5. Hive Blockchain allows HBD to function safely and securely across borders and through cryptographically secure transactions.
6. HBD offers instant transacting, eliminating waiting periods for liquidity and offering a faster, more cost-efficient way of storing and transferring wealth.

These are just a few thoughts that can empower the Hive community with resistance against high regulations on crypto, and stablecoins and reassure the Hivers that we are in a safe and strong place.

Thank you for reading!

With respect,

Zpek

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