Most of the defi apps that have interest on stablecoins depend on the price of the yield token, ergo the interest is subject to daily market conditions in crypto.
HBD has a relative fixed 10% interest defined by the witnesses. It can change yes, if most of the witnesses decide so, but in general is far more secure then then most of the defi apps.
Now we need to make it a bit more stable :)
I think this will be the case when the DAO/DHF has a lot of funds, 50M plus and can handle large daily volumes.
I actually think that you would get more ARP just by staking stables on Uniswap but HBD is much easier to manage and transact.
Stability is an issue but when compared to SBD things here are more than fine. I think it spiked to $16 last time I checked...
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UST is double the interest, so whatever they do, this should be the goal IMO
This seems like a common-sense move that would attract a lot of marketing attention for Hive.
What are the pros/cons of the witnesses bumping it up to 20% and is it at least being discussed?
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