I believe that everyone has done this, taking advantage of binance's APR, I even left a bit of hive there, in the future, after the yield is taken everything and make a big power up.
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I believe that everyone has done this, taking advantage of binance's APR, I even left a bit of hive there, in the future, after the yield is taken everything and make a big power up.
What people are concerned with isn't that everyone's doing this, it's that they're wondering if this is being done with customers hive without their consent. Some memos there also mention things like collateralized loans, i.e. if price of hive were to drop by 1.5x they'd have to return it to get their "collateral back", how that collateral is being held is also uncertain. Just a lot of different questionable activities just to take advantage of the hive apr on exchanges, let alone the risks of those exchanges themselves locking people out or disabling withdrawals could then lead to hive-engine becoming insolvent, etc.
Either way, not sure this is worth the risks someone is taking and someone is allowing to be taken.
Ahhh damn, I understand the situation better. I'm still a bit of a layman on some points and this kind of conversation is great for learning. Thanks for explaining this in more detail. Regarding the risk of brokers blocking withdrawals or being banned like Binance is in some countries that I've seen the news, I'm worried too, that's why I want to leave a maximum of 200 or 300 Hive.