I think Upbit Indonesia allows non-Korean customers. But for HBD there is no point now, other options are likely better.
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I think Upbit Indonesia allows non-Korean customers. But for HBD there is no point now, other options are likely better.
Wanted to check with you one idea regarding liquidity. What do you think about the hbdstabilizer becoming a market maker? So it would monitor the price of Hive and always place large HBD buy orders for slightly under $1.00 and large HBD sell orders for slightly over $1.00. This way, people going to the internal DEX would see that there is liquidity and they can always buy or sell their HBD, essentially paying a fee just like they would if they used a liquidity pool. By providing the liquidity at a slightly disadvantageous price, the hbdstabilizer would essentially fulfill the functions of a liquidity pool, and bring the profits back into the network.
This would also have the effect of pulling Hive out of circulation, helping it maintain price and essentially helping HBD maintain the peg. The more HBD bought and sold on the DEX, the more profit for the network, upward pressure on the price of Hive, better backing of HBD.
I guess the hbdstabilizer already makes profit for the network, I am just thinking that only expert traders are able to use the DEX for any larger amounts, whereas if large buy and sell orders are always there, ease of use increases greatly and far more people would be able to make a trade and have their order fulfilled right away.
By the way, congratulations on HBD maintaining the peg during the market downturn, an incredible achievement. Thank you for doing this work.
I'm not thrilled with the idea because: a) market making has risk, I'd rather not take risk with DHF funds (but someone else can make a proposal to do so and perhaps it gets approved); (b) market making requires keeping capital while the stabilizer returns the funds to DHF as quickly as possible; (c) market making done right should make a profit, so there is no reason why someone can't do it with their own funds, particularly with stabilizer as a regular customer.
I do run a small market maker with my own funds (@teamsmooth-mm), but the order size is only 500 HBD. It keeps about 1% spread and makes a little, but it's not the smartest possible market maker by far. It's actually quite dumb, just smart enough to not systematically lose (hopefully).