Hive About to Fully Join the Defi World, Uniswap-style; Hive Price Soars

I am a little premature with this post, but things are coming together nicely.

While Leofinance received the deserved spotlights and attention, it is not the only team which started to deliver on multiple objectives.

Hive-Engine's 2nd layer recently became decentralized, which was a request from the community that was long due. But it happened, and now there are 33 witnesses, of which 30 are active I believe. Of them, some are maintained by developers of the Hive-Engine team, but still, there is enough decentralization for a chain which barely started to work as such.

There are at least half a dozen projects the Hive-Engine team is currently working on. One of them is represented by the Diesel Pools and particularly the rewards for liquidity providers.

Diesel Pools are liquidity pools created to be similar to the ones on Uniswap. They are functional already, except there were no rewards awarded to liquidity providers. Which made it not very enticing for someone to provide liquidity to a pool.

It seems the contract that allows the rewards for the liquidity providers to be distributed has already been deployed, but the user interface still needs to be added to tribaldex.com. That shouldn't take too long.

Couple this with the Decentralized Token Funds (DTF), which are like Decentralized Hive Fund for any token, and it may become a very powerful tool.

For example, a tribe may decide to create one or more Diesel Pools and have their stakeholders vote on proposals to assign rewards for each liquidity pool providers from the DTF.

DTF, if activated, will be funded from the token inflation from what I understood, so that means less will be given out for curation and / or author rewards or miners. Same principle as on Hive I suppose.

The interesting part is how the latest announcement of @aggroed coincided with a spike in the price of Hive.

Why? Because if we look at the Diesel Pools already created, Hive - or rather SWAP.HIVE - is paired with another token in the vast majority of them. So lots of SWAP.HIVE will likely be needed going forward, to match liquidity in every pool. That's why there is a high buy pressure right now on Hive.

A simple fact: when BSC started to compete with Ethereum, BNB price soared 10 times, give or take. Defi is capable to pump the price of Hive to levels where we probably only dreamt a few months ago.

Posted Using LeoFinance ^Beta