RE: Why SBD is trading so high (and how you can help)
Since I was linked this and the topic is very relevant (again), a few points:
Why is it in users' interest to keep the SBD close to $1 if that means lowering it? The only purpose of SBD from a Steemit user's perspective is to earn money, and for that purpose, the more it's worth, the better. Why would we want to bring it back down to $1?
Witnesses are, as far as I understand from this post by @dragosroua, witnesses actually stepped in and increased the supply of SBD to combat its rise.
Who's to say SBD really needs to be pegged, or is fully intended as such? It can also be that when we're paid in Steem we're paid in stocks, but when we're paid in SBD we're being paid in "stock options," but those options have been priced at $1.
Honestly, SBD only has a downward trend, as its only real use to Steemit users is to sell it, and its marketshare is relatively small for crypto enthusiasts to buy fully, as opposed to the more robust Steem economy, that is also useful for those who want to buy more power on the platform.
Finally, let's say that it's a failure of SBD's goals to be worth 9x a USD. What is lost on the platform from it? Why should the platform (as opposed to users in #1) should strive to return it to its "correct" value? Aside from striving to fulfill an initial goal?
Where is this post linked from? I've been seeing lots of increased attention on it lately.
I was linked this in a private chat with a friend after we discussed the value of SBD. I think he googled and came across your post. I suspect with the rising prices of SBD, people are looking the issue up.
1_ SBD still has that purpose. SBD is insured to always be worth at least $1 worth of Steemit. But that's just another way of saying it's there to help you earn money, just as a minimal amount. This is tied to point #5 as well.
2_ This is actually not true. @eonwarped had a discussion with @dragosroua on the topic, and the price feed he's presenting goes "up" when Steem's price goes up, not SBD's. So if Steem is worth 3 USD, it becomes 75/25, because you get 3 times as much SBD as Steem...
4_ Well, held as insurance against a situation where it drops below $1, but if it's worth more than $1, why would you want to hold onto it until it becomes worth less than that? :D
Moreover, I'm talking about how it can be used within the steemit ecosystem, and while Steem has uses within the system, SBD is only really there for fiscal purposes. Which eventually require selling it, even if you hold it for a while.