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RE: Thoughts on STEEM-Backed Dollars and Holding the Peg

in #steemit7 years ago

@ats-david, one of the things I don't see mentioned very often is that the SBD price imbalance started pretty much in tandem with the overall crypto markets starting to heat up and get frothy. Several of of the SBD price runups happened on uncharacteristically heavy volume. Leading me to believe that the "problem" may be due to neophyte traders jumping on the bandwagon and engaging in hysterical FOMO trading without having ANY idea what they are actually trading. They may even have thought they were buying Steem.

That would lead me to favor the "wait and see" option... if this current market correction chills things out a bit and SBD drops back towards parity, maybe that would tell us something. Understand that I am NOT an expert... however, it would seem to me that if we can establish that "Steem Dollars freak out when the crypto markets get frothy" there'd be a more solid ground to base any needs (or not) for adjustment mechanisms on.

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