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Hive Internal DEX | Data On Volume And Top Liquidity Providers

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The Hive DEX, or the internal market as it is mostly known provides a HIVE to HBD trading pair. The tricky thing is that on the internal DEX the Hive network always assumes HBD is valued at 1$. So, you might see HIVE is being sold for less then what is it on the markets atm, but you will need to adjust the value of the HBD and then it will all works out. If you are not familiar enough with the DEX you might be confused a bit at first. Just one more thing to the Hive quirky system ๐Ÿ˜Š.

The liquidity on the internal market has always been low and not very convenient for large swaps. But since the liquidity of the HBD in general is quite low, there is not a lot of players that need to swap high amounts of HBD, so it was doing the job just fine for most of the users who want to swap HBD to HIVE without going to external exchanges, power it up or just do whatever they want with HIVE.

In the last months the @hbdstabilizer has started to shake up things a little bit. This project is trying to peg the HBD price to the dollar and it has been selling HBD on the internal DEX increasing the overall volume on the DEX.

Previous posts on the topic:

Here we will be looking at the volume on the DEX, both in terms of HIVE and HBD. How has the @hbdstabilizer affected the volume?

We will be looking at the following:

  • Daily volume in HIVE
  • Daily volume in HBD
  • Top accounts providing HIVE liquidity
  • Top accounts providing HBD liquidity

The period that we will be looking at is January 1st, 2021 to May 17, 2021. The @hbdstabilizer started with operation at the end of February, and we will take some period before that for context.

Daily Volume In HIVE

Here is the chart for the daily volume on the DEX in HIVE.

As we can see there is some interesting trend here. In January 2021 the price of HIVE was quite low in the range of 10 to 15 cents. Because of this we are seeing some high numbers for HIVE traded, but very inconsistent.

This type of volume for HIVE on the internal DEX was the standard in the previous period. Inconsistent volume with spikes from time to time.

Then as the prices started increasing in February, first we see a drop in the volume in terms of HIVE. As the stabilizer started working from the end of February 2021, we are seeing a steady increase in the trading volume in terms of HIVE.

We can see that in January the amount of HBD transfers to exchanges was very small. Just a few k per day. Then at the end of January larger amounts of HBD started to be moved to exchanges. This is in parallel with the increase of the HBD price. The HBD price increased at the end of January, then it had a pool back and then up again at the end of February. At this point the @hbdstabilizer started operating.

In the last days the amount of HIVE traded on the DEX has reached more than 130k HIVE per day.

Daily Volume In HBD

Trading volume are usually valued in USD. Here we will be looking at the trading volume on the HIVE DEX in terms of HBD. Here is the chart.

A steadier trend here, unlike the HIVE chart. It is expected since HBD should in theory be less volatile than HIVE.

In February the daily trading volume in terms of HBD was lower then 10k. Then it started growing steadily in the next months and it has reached a 50k per day in the last days. Sine HBD is trading higher then a dollar on the external market, this means in terms of USD the volume is somewhere in the 60k to 70k per day. Not a millions in trading volume that we are used to see on the exchanges, but still a 5x increase in trading volume is an uptrend.
The volume is mainly being driven by the @hbdstabilizer.

Top Accounts Providing HIVE Liquidity

How are the accounts that trade the most? Here is the chart for the accounts that provided the most liquidity for HIVE, or in short selling HIVE on the internal market.

The @hivekorea account is on the top here. This is most likely an account that is arbitraging HBD on the Korean Upbit exchange. It is selling HIVE, or buying HBD and then move the HBD to external markets.

The @teamsmooth-mm is on the second spot, but this account is on the HBD sellers lists as well, meaning it is working on the both sides and basically provides liquidity for the overall market. The name itself implies who is running the account ๐Ÿ˜Š.

Top Accounts Providing HBD Liquidity

The chart for the HBD liquidity providers looks like this.

As expected, the @hbdstabilizer is on the top here with more than 1.5M HBD sold in the period. The @teamsmooth-mm is second with around 500k, then the @art.int.

Unlike the HIVE chart, the HBD chart for top liquidity providers is dominated by the @hbdstabilizer, that just shows how low the liquidity for HBD is and that not a lot of accounts hold HBD. With the upcoming fork and the possibility for HIVE to HBD conversion these dynamics should change and a lot more accounts can have impact on HBD.

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P.S I would like to see someone to create a decent looking UI for the DEX. It is the only UI of the Hive ecosystem that still has just one interface. cc The PeakD team, @jarvie, @asgarth.
Also maybe somewhere down the road we can have incentives from the DAO/DHF for liquidity providers in a range around the 1$, that will provide high liquidity for HBD and stabilize the price @smooth, @blocktrades.

All the best @dalz

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