HBD Interest Payments For July 2024 | 127K

Summer is almost over. August is here. I am so ready for cooler weather. July has been super hot. The weather cooled down a little bit, but it is still not over. July also was a month full of events in crypto world. So much of volatility and conflicting sentiment. We had some great news and achievements in crypto, but also some fear and uncertainty. While there was plenty of price action for many crypto assets, HBD remained stable as it should by design. Tiny bit up, and tiny bit down in HBD doesn't matter, as long as the blockchain magnet keeps pulling it back to $1 USD. And it does quite well.

It is impressive how HBD is able to do that, and confusing how not many have discovered it yet. Isn't that crazy? Here you have an algo stable coin that has proven record of being pegged to USD for years now, and big money still can't see it. Not only HBD is an awesome stable-coin, it also great investment instrument because Hive blockchain keeps paying 20% APR. This may change in the future. Currently only 11 out of 20 consensus witnesses signaling 20% APR. The remaining 9 have lower than 20% APR. In the past those who favored 20% APR were about 15 out of 20. Looks like witnesses are changing their APR parameters slowly. I don't expect anything drastic, but 20% APR has never been a guarantee forever. For now there are enough witnesses who approve 20% APR, and Hive continues to send interest payments for HBD in Savings.

Hive is impressive how it is able to pay out so much money every month for just keeping HBD in Savings. In a traditional finance, banks pay interest for keeping money in savings accounts. But they also use this money to give out as loan for higher interest rates. Hive doesn't directly make any money from people keeping their HBDs in Savings. In addition to paying interests, Hive also pays various projects through DHF, pays rewards to authors and curations, pays rewards to witnesses for producing blocks. What a giving blockchain!

Unfortunately, Hive's price haven't been impressive in recent weeks and months. A few months ago I thought Hive reached a point that it would drop below 30 cents, as I have believed for very long time that it was undervalued already. So I decided to withdraw my HBDs from Savings and buy more Hive instead. Now it seems like a mistake, for now. I am still confident things will turn and Hive will make new highs. The reason I am mentioning this is that during July's volatility HBD has become a winner. Crypto prices dropped, then went up, then drop, then went up, etc. But HBD kept its position and those who have been Saving could always rely on claiming their monthly interests. Congrats winners!

We had some amazing things happening in July in crypto. Eth spot ETFs finally launched and now all market participants can invest in Eth. However, this didn't drive prices up as it happened with bitcoin stop ETF launches. Hype and excitement was there just like before, but however that didn't result in price gains for some reasons. One of the reasons I see is that outflow of eth from Grayscale. While BlackRock may have been the top player in bitcoin and eth ETFs, Grayscale was an early visionary that accumulated a lot of these coins. What seems to drive coins away from Grayscale is their fees. Their fees are a lot higher than the other ETFs. They already experienced outflows with bitcoin. I am not sure why they didn't change their strategy with eth.

But also there were events like Mt Gox finally starting to distribute the bitcoins to their creditors. Then German government sold massive amount of their bitcoins. Then US government made transfers that caused speculation that these bitcoins would end up in the markets as well. Bitcoin conference in Nashville was full of news and excitement. Politicians including former president Trump pledged taking bitcoin and crypto friendly measures when/if they can. Overall, July has been a very interesting month for bitcoin and crypto. Bitcoin didn't make any new all time highs, but also didn't drop to super low levels. This year already has been great for bitcoin, and it seems like we haven't seen the best yet. Things are looking good going into the second half of the year. I hoping we can break 100k by the end of the year, and finally start the alt season. We need Hive back at the prices it deserves to be. This is a billions dollar network, I think.

Let's look at the numbers.

Event total monthly interest payments becoming stable now. It looks like the total interest payments amount and number of recipients dropped a little bit compared to previous months. It could be because some accounts haven't claimed their payments yet, or maybe someone decided to buy more Hive, given that the prices at the discount. But overall, there are still many who like to continue investing in HBD. This is probably the easiest way of investing. Keep money in savings, and keep collecting 20%, all while not giving away any control to anybody over these assets. Congrats everybody!