Getting the financials right

One of the things about the GLD community is that it has two different tokens:

GLD

Which is supposed to act as a stable coin. It is backed with HBD at 100% or more with a peg of 100 GLD : 1 HBD. Right now there is a bot which will allow it to be traded for either liquid HIVE or liquid HBD. Hive approximates the price while HBD give the 100:1 peg.

In addition there are liquidity pools :

• GLD : Swap,HIVE
• GLD : Swap.LTC

and the second token is

GLS

Which is backed 1:1 with HIVE. Currently there is a buy option on hive-engine for every GLS token which has been issued at 1:1. It is a reward token for holding GLD and for delegating to @hiveabbyftp

GLT

Has been created for the community but it doesn't yet have a use case.

NFT

Not technically coins but another thing that can be minted by the community. Currently there are only 11 printed but there is the ability to print a maximum of 1000.

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How to back the coins while still maximizing returns

The biggest issue I'm dealing with right now is:

How do I get return on my HIVE and HBD while still being able to make sure that anyone who wants to sell their coin can get fair market value for them. Currently I use a bot trading page to move things back and forth. You can access it here.

and here is a screenshot if you are curious.

But there is an annoying limitation.

I want every person to be able to liquify their asset if they wish to. However, to do that I would need about 120 HBD or about 2000 HIVE and as you can see I only have a tiny fraction of that in current liquidity.

Then I thought what if I only cover enough liquid so that the largest holder could sell without issue. I would only need about 22 HBD or about 350 HIVE. Much more realistic and I'm roughly halfway there.

Then my mind says "But they already have a very good liquidity pool if they go do tribaldex".

Honestly I find the whole thing very frustrating.

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I have an idea

At this moment I'm going to keep building reserves for the bot so that I can cover most people who want to liquidate. Right now if any single person wanted to liquidate on this page? They would get their value out... just split between HIVE and HBD

However, moving forward?

I'm seriously considering making a change to the bot.

GLD

Right now I keep liquid HBD to payout GLD redemptions. I'm thinking to move to a fully backed HBD redemption scheme but have the GLD locked into HBD Savings. Anyone who wants to sell would be able to ... but the HBD would arrive in 3 days after it unlocked from HBD savings and was available for transfer.

Hive redemptions?

I dislike having liquid HIVE as it pays me nothing. I'm strongly thinking of changing payouts from HIVE to EDSI. I've watched the EDSI price for a long time and it is very close to 1 : 1 with HIVE. The biggest difference is that EDSI pays out the token holder once weekly.

I like the idea of holding enough EDSI tokens to cover 100% redemptions of all GLD tokens to anyone who wants with EDSI being valued 1:1 VS Hive. I would leave the GLD : Hive payment as an option but it would be funded by the EDSI distributions and if the HIVE amount gets to a trigger level I just buy more EDSI to continue getting higher distributions and hopefully have the GLD funded at more than 100% for redemptions.

Having said that. EDSI/HIVE change regularly and it is hard to be able to guarantee a peg with a floating currency. This route would have to be a secondary withdraw option with the HBD being the major one.

Why change what isn't broken?

Mostly because seeing idle money makes me really annoyed.

I keep seeing that 9.779 HBD and think... That could be making me interest right now. I see the 144 HIVE and think "If that was EDSI I would be getting 0.375 HIVE every single week". Instead they just sit there like static numbers and make me sad.

But nothing happens today

Having to work later this morning so no coding and bug hunting today.

And NFT's come first

Before I switch around anything with the current backing system I'm really thinking to change up the NFT system for the community. First trial I'm looking into? NFT's which can be purchased with GLD which will pay out a regular daily, weekly, or monthly distribution in HBD (or GLD). With $SURGE no longer being a reliable weekly source of HBD I think that is something missing from the ecosystem. A buy and hold way to get HBD.

I really like that LIQUID GLD and delegations to the curator along with activity on HIVE will payout users every single week in GLS tokens.

But some people may want return but they don't post regularly. Or they may want a return just for sitting there. I'm thinking an NFT purchased in GLD which pays out regularly and indefinitely in GLD (or HBD) would be an interesting addition. Useful for communities which want regular HBD and a good way for me to test NFT distribution bots :)

But again, nothing today

Mostly I wrote this to get my ideas on "paper" so I can re-read it later and decide if my rationale still makes sense.

And of course if anyone is watching the GLD community, there is a little glimpse behind the scenes of what I'm hoping to get done in the future :)