Hive - HBD Vs BBD Coins

Welcome back to the channel. I hope you all are having a great day. So today I want to talk about the Hi-Bat Dollar, uh, savings, um, account, uh, in comparison to the BBD coin and what are they. So first, let's start off with the Hi-Bat Dollar, what it is exactly. The Hiveback dollars are intended to be paired to the United States dollar at a 1-to-1 rate, right? So some people kind of think of it like a stablecoin. Uh, I don't, I don't think it's really a stablecoin. Um, it's supposed to be a stablecoin, but I don't think it's really that. What it allows is for um, the, the value of Hive to be calculated, um, in a way that it could be distributed across the network. For instance, how to know the value of your, your Hive coins, right? If you have 50 Hive coins, what is this value, right? So this is a— it's meant to kind of act like a stablecoin, but Oftentimes it does fall off its peg. I think we've seen this thing lose about 40% of its value, right? I've seen it in the 60-cent range, I believe, and, and that is a problem when you're trying to be a stablecoin. Now what is interesting about the Hive-backed dollars is it's now in its protocol released what would be a like a savings account, right? And there are some estimates, uh, this savings account, uh, annually is yielding about 12%, right? Which is, you know, pretty good in your standard investments, right? 12%, you know, it's not cryptocurrency level, you know, uh, phenomenon, you know, it's, uh, but, um, in a sense of passive income Right. A lot of people think 12% is pretty good, right? Especially if you're in our standard economy. If you're in our crypto economy, a lot of people, you know, would probably say something like they prefer to make 12%, you know, in a more passive way, you know, in a, I guess you could say maybe a less riskier way. But then again, because, um, how the high-backed dollar can get knocked off its peg so severely, uh, I don't know exactly how safe that is, right? Uh, so we have to examine that. Uh, so those are kind of pros and cons of the high-backed dollar, that it can be passive, right? And there seems to be a a certain amount of, not a lot of liquidity, but you know, there is some liquidity there. But as far as the risk reward, that would probably be debatable, right? And so some people like it, some people probably where I'm at with it where, you know, you might not think it's a good enough return. And then some people probably, you know, just don't really see it as it being what they think it ought to be, which is, you know, more on par with being an actual stablecoin backed up by the US dollar or something to that effect, right? What I want to do for the Hive community is compare what they're doing to the BBD coin, you know, as an alternative as well, right? Now, the BBD coin is the Bitcoin MYK backed dollar, right? And it is the kind of like the, the highest version of a backed dollar to our kind of like our version of Bitcoin on the HAI blockchain. Now, why would you want this stuff on the HAI blockchain, right? Well, the good part about it being on the HAI blockchain is the transactions are pretty much free. They use something called resource credits that you get free. And so, uh, pretty much, um, you know, you get a lot of these things and you got your transactions generally pretty much end up being free. So a person coming in and getting an account, uh, it's probably not likely he's going to have to pay for transactions and that can be quite advantageous, especially in the comparison with something like Ethereum, right? When you look at something like Ethereum that, um, um, you know, that basically, uh, has the ridiculous fees and, you know, here you go, it's crazy to try to do anything on there as far as, uh, you know, uh, getting over the hump of those fees. Uh, it just makes so many, so many things impractical, you know, which is why they have all these forks and alternatives to Ethereum and people always trying to one-up Ethereum, and, uh, why I believe the only reason it has a lot of value is because it just had a lot of money poured in from institutions and venture capitalists, but perhaps not retail investors, right? Anyway, let's compare BBD coin and show you some advantages there, why I think you should at the very least consider, uh, why BBD coin is, is so advantageous in this area. All right, so taking a look here at the BBD coin right now, one is like $3.71. In comparison to the high back dollar, it should pretty much stay around $1 right now. The differences in these projects is another term for BBD coin is just the straight out certificate of deposit, right? It's also used in that sense, right? But interesting enough, the price of BBD coin seems to hold its value pretty well, uh, and that is because it has a very deflationary nature to it as well. Uh, it is not very, uh, many of them that have been created. Uh, um, it's only going to be 5 million, uh, by the end, you know, by, uh, as it's, um, as a settled supply, um, in the end. Right now it's about 30-some-odd million, uh, but what's very interesting about the BBD coin is that it functions more so like a certificate of deposit, uh, than kind of like the savings account, kind of like the, um our, uh, you know, a stablecoin. Uh, so it has this effect, and it is new in comparison to the HiBAC dollar, but it has some very interesting features you might be interested in. So for example, as it's right now at about a market price of $3.71 per, uh, token, the BBD coin gains, um, where it matures after about 9 months to pay out about 100 times, right, to appreciate your token supply about 100 times your position, right? And it's very interesting how it does that. It basically snapshots your position, and, um, after March, it'll run to the end of December and it'll supply you those additional tokens by the end of the maturity period, right? So you still have access to your, um, your original, your initial, uh, coins in your possession, but you're accruing all this maturity and interest just by having ownership of the, of the tokens, right? So to illustrate what we're saying here, just keep in mind the price of $3.71, and we're going to show you exactly how they work in comparison to the IBAC dollar. All right, so this is how it would work. If you had approximately $3.71, or what would be the price of a BBD coin today in your possession, right, you will receive, um, within a 9-month, uh, period, staking period, basically, because BBD coin, it works in a very interesting way. It is designed to work well where it's forcing it to— the project to be more valuable. And the way it's doing that is by your— in order for the, um, the CD to mature and for you to receive all your additional tokens, it has to stay in there for 9 months. Any violation of not being in there for 9 months, uh, would result in you not being able to get it. And that's going to be impossible to happen because, uh, as long as you have the tokens in your wallet by the last day of March, uh, of 2022, uh, you're going to be able to receive, uh, the 100 times increase in the token supply in late December, right? So what that means is that if you were to have the tokens in your wallet today at $3.71 by December 31st, 2022, you would receive 100 times increase in the token supply, provided that the token supply remains the same— or I'm sorry, the price of the, uh, CD remains the same, $3.71, which it could actually be a lot higher, uh, and we're going to explain to you why that could possibly be. But as long as the market, it stays at $3.71, that would mean— that would mean you would have received approximately $371 worth of, uh, the BBD coin by December 31st, 2022. And when we calculate what that rate of that return is in 0.92 years, you will have a return on your investment of 9,900%, right? That's if the— and that's if the market didn't go up. Now, why do we think there's a good chance the value of the token itself would go up? Well, because in order for it to, uh, uh, mature and to get enough people, uh, in the, um, the coin and holding it, right, uh, and probably going to have a lot of buyers come in, and because of its, uh, deflationary qualities, we believe there's going to be very little sale resistance in the first, um you know, several months. Uh, so what's probably going to happen is going to push the price up to a great degree. Um, and you're probably going to have, um, what we believe to be attraction of buyers coming in because the price will be running up. And so that's what we're kind of looking at with this. Uh, and because of that, uh, it will probably make people want to hold the project over the course of January to, um, March, you're probably going to have a lot of people, um, you know, getting, getting into the project, we believe, right? When they understand how it works. So the last day being, uh, March, um, uh, the 30th of 2022, they'll have until then to get their positions right, have them in their wallets, and then they're going to have that 100, uh, percent increase, or 100 times increase rather, right? Which comes to about 9,900% increase in your token supply. Now here's the thing, even if this project doesn't perform anything near what the Hiveback dollar does, uh, a lot of people are optimistic it's going to do over 12% in a year, right? And that's why I think it would probably work as a much better candidate in that way, in a— as a savings account in a year, right? Like, if you come back within a year, uh, you're probably gonna be happy with your, um, your situation. Although anything can happen, right? Uh, it can go to zero, right? Um, you can lose all of your investment money on, on taking that risk. But remember, the general rule of thumb is With high, high risk generally comes high rewards, right? And I know a lot of people would look at the high back dollar as a very passive way to basically grow value and money. But you also have to keep in mind that it is possible for it to drop in value 30%, 40%, which means you could actually be at a a loss. So there are risks with the Hi-Back Dollar, and there are probably a great deal less risk than what— with the BBD coin, that is true. But functioning as a product and what we'd like to see, uh, functioning in nature of this certificate of deposit, something we've never seen on the Hi blockchain, uh, I think it does present, uh, a better alternative And even if you're not, even if you're not, um, you know, 100% convinced it's a good idea to use a certificate of deposit like the BBD coin, uh, I would recommend then at least putting about 10% of your Hiveback dollar value into the BBD coin, right? Only about 10%. Keep 90% in. And then if things do go south with BBD coin, it doesn't work out, how you— how we like, right? Or you're at risk. You've only lost 10% of your high back dollars, right? Uh, which you could lose anyway, right, with the high back dollar. But you've only lost 10%, but you could have— you could potentially have a great deal of returns passively doing absolutely nothing, right, in, um, the BBD coin, right? So it's definitely something to think about. Um, also a lot of value that goes in the BBD coin, uh, all the value goes in, it goes out to pay the citizens dividend. It's part of Bitcoin NYK project. What we think is happening here, there, is under Metcalfe's Law, with all those dividends being given out to people, it's going to stabilize the price of the BBD coin. And because so many will have wallets, under Metcalfe's Law, where network grows in value based on the people incentivized to be part of that network, or its connectivity points, whether it be account holders or node runners. Uh, with all of those things calculated in, we believe we can have a stability in the price of BBD coin. Once we get a stability in the price of the BBD coin with 100 times the tokens being awarded and enough liquidity, imagine being able to get $9,000, $10,000 returns on the Hi blockchain, right? Wouldn't that be amazing? And it is quite conceivable that could happen and attract a lot of people in. So that's our, uh, evaluation of the Hi Bat Dollar versus the BBD coin. Uh, that's all we want to say in the video. Be sure to, uh, join the network, uh, find out how you can get BBD coins absolutely free. There are ways you can also get them free if you just want to get your feet wet with them, but you don't want to take any risk on them. But, uh, definitely one of those good projects I think that Hive's definitely going to want to look into. The community is going to look into. But that's all I want to say in this video. Until next time, as always, take care of yourselves and each other.