Yes, centralized liquidity is an issue for Hive with the majority on Upbit.
However, the reason behind this, is that the price for Hive simply higher there.
About the Hive/HBD conversions, I don't think it is "exploited" in any way from the Upbit whales, on contrary I think most of them have lost money.
I don't know. Why would price be higher there? To me it seems obvious that it is because arbitrage opportunities are restricted and we have the greatest supply there. Hives price moves because it first moves on Upbit. But 99% of people can't access this market.
Regarding the second point, I am not sure myself if they made such a great deal of profit from it. But this post shows that this "scheme" definitely happened or happens. How else would you explain the decline of Hive and the sudden influx of HBD to that exchange?
Because of a HBD pump....
Well I have argued it the other way around 😅 the fact that the pump happened after the conversions/deposits to Upbit speaks to that imo
That's not true though. The HBD pump happened before the conversions. I was there, I was profiting from this situation by doing conversions.
They tried to pump and dump HBD. They didn't understand how HBD worked and they lost money as a consequence.
This explanation is a lot simpler and fits very well with the facts as we know them. We even had Koreans coming into hive.io Telegram group asking why HBD wouldn't pump higher. Such pump and dumps happen all the time.
But 16M HBD just popped out of nowhere, or am I wrong here?
That was created as a consequence of the HBD pump.
Some of it no doubt, but you can see in the charts that the pump happened after the majority of the HBD was created. That speaks against that imo
That's definitely not correct. The pump was the first to start, then conversions started happening. The conversions were not sufficient to quickly fulfill demand, so the pump continued (price went even higher), and the conversions continued as well (but conversions are constrained by capital and the 3 day conversion period). Consequently there is a lot of overlap between the periods. It took several weeks for conversions to completely fill the demand for HBD, but absolutely the conversions were only happening when the price of HBD was already high.
Then we disagree on the data. I clearly see the conversions starting at the beginning of August and the pump being sustainably above 1.05 only at the end of the first week of August. I am on the phone now but I'll send a close up later if you want