This evening seeing the HIVE APR sitting at 4.80% it is definitely a bitter sweet moment and it feels more bitter if I am honest. A healthy HIVE would be sitting around a 3% APR so we are 60% away from that mark which is a country mile. The sweet part is we are earning more, but then that means we are printing more HIVE increasing the circulating supply which directly impacts the HIVE price.
My HIVE stake should be earning roughly 17.4 HIVE daily and sadly that is now 28 HIVE which is a strange way to feel when we are here to grow and offer support to the community. In this case earning more means less because the values are down. Seeing the 4.8% APR does not fill me with much confidence and I hope this can be turned around.
The unrealistic 20% HBD APR is now at 12% and even that seems too high still and you would think this should be in single digits until things bounce back. No one can read the future and we need to baton down the hatches and ride this time of uncertainty with caution. I am sure things will be fine and my thoughts on HIVE have not changed and will be here no matter what and the only reason why I raise my concerns is because I care.
Over the years you hear things like it is the market or more liquidity is good as it helps distribute the token into more hands. If you believe all of that then you have not been paying attention because more coins is less value. The market is to blame, but there has also been self inflicted damage and the DHF most definitely has done more harm than good. Commonsense needs to be used as all this has done is send large volumes of HIVE to the exchanges.
When you consider $1 equates to 21.32 HIVE so the rally car sponsorship is put into perspective with every $100K spent seeing 2.1 million HIVE going out the back door to the exchanges. The borehole projects costing $20K or more representing over 420K HIVE. These types of projects had good intentions, but have bitten us badly and have put HIVE on the back foot.
I could not agree more with @igormuba's proposal because this is so simple applying common sense and how most businesses would operate when handling their budgets.
Just while copying this from HIVE stats which took seconds 10K HIVE was added to the current supply so the 600 million is not that far away. Back in November 2021 HIVE had a circulating supply of 500.7 million so the numbers have increased considerably in the last 5 years. The extra coins we are printing daily is a serious negative and there has to be a plan to reduce these numbers. I am not smart enough to know what the exact inflation numbers are so maybe @dalz can comment and let us know.
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