Growing The Hive Economy

3 mo
LeoFinance
5 Min Read
1051 words

This is a concept that can apply to any level of cryptocurrency. It is crucial to note that it is equally as relevant for the entire crypto industry. However, we will focus upon the Hive ecosystem and, more importantly, to the individuals involved in the ecosystem.

We often draw up analogies to compare what is taking place. The natural inclination is to focus upon what we know. When it comes to economic matters. this leads us to look at geography.

Today, much of our economic activity, at least in the reporting, is based upon geography. We see the GDP of particular countries listed and whether it increased or decreased. Leaders are always trying to attract business to their area. This is often broken down to the state or province level. We hear about the impact on "the local economy".

With the digital world, we see something different taking place. Up to now, little has been drawn to truly compare. After all, do we really hear about "the Facebook economy"? That is not how the discussion is framed. However, it we truly look at things, we can see how networks can provide us with similar concepts.

image.png

Expanding The Hive Economy

Many heard of economic terms such as GDP and velocity of money. Obviously, these are absent from the conversation with cryptocurrency. Instead the focus is upon market cap. That is all that matters at this point.

Nevertheless, if we step back, we need to gauge these ecosystems in a different manner. Could the traditional economy model offer us some insight? This is what we are going to explode.

Everyone is looking for the "mooning". They want the market cap of whatever they are holding to explode. We see the discussion among the maximalists of whether the "flippening" will take place where Ethereum passes Bitcoin. Sadly, this misses a major part of the equation.

As opposed to simply looking at the market cap of a particular project, we need to determine if there is expansion economically taking place. Where a token stands in relation to others means nothing. Instead, we need to compare projects to themselves.

In other words, is growth taking place?

For Hive, are we seeing expansion that is fostered more economic output? This is something that we can conclude is indeed happening. As more projects develop, activity is increasing in the different areas. If we look at people utilizing Hive as "citizens", are things expanding for them?

As odd as this might seem, isn't it the basis of true economic analysis? Certainly there is reason to look at other ecosystems, just like we look at the GDP of the United States versus Japan. However, that is often done as part of a broader analytical framework. The average person is Japan is not truly affected by the difference. He or she is just going about business.

The same holds here. While we are busy focused upon what the price of Bitcoin or Ethereum are going to do, we should be concentrating on the expansion at home. Of course, many of us hold other tokens and do benefit from the growth taking place there. The same could be true of Tesla or Apple shareholders in the US. The sales that take place in China or Japan do affect them.

Thus, the expansion of the Hive economy as compared to where it was in the past is crucial.

image.png
Source

Progress At Every Layer

One of the biggest factors is the size of a population. Obviously, countries with more people are going to have higher GDPs than those with smaller ones. Individuals equate to productivity since they are not only responsible for doing the work, but create innovation and advancement.

With Hive, one of the key factors is to keep growing the user base. This makes sense for the same reasons. The network effect is nothing more than a growing of one's population.

We also see something else in play. The largest countries, in terms of people, are not necessarily the wealthiest. In fact, we see some rather small countries with enormous wealth, especially on a per capita basis. Hence, we have to look that things from this angle also.

Within cryptocurrency, we can see how Ethereum fits this concept. When one thinks of money, especially as a developer, Ethereum is what comes to mind. Even with all the forks of EVM, it is still the place to be. We can state how usability is questionable but there is no doubt a lot of money resides there.

The simple fact is that more money equates to greater growth. Since money is a tool of collaboration, it allows for the expansion of an ecosystem. Developers can be paid. Projects can receive start up funding. Yields can be achieved. What would be possible if the Hive ecosystem has another billion dollars available to it? How quickly would progress take place?

Here is where it is often difficult to see. However, if we view things through this lens, we can see how Hive is offering more at every level. This equates to growth in this realm. Using this barometer, we get a clearer picture as compared to simply looking at market cap.

Ultimately, this leads to the impact known as Reed's Law. At some point, the economy has to grow exponentially as the different areas of the network (ecosystem) explode. The collective results far outweigh that of any individual component.

Of course, this is how traditional economies operate also. We see different sectors adding to the whole. However, the total economic output is the result of the entirety. Countries that have a large cross-section of economy activity fare much better than those dependent upon one or two industries.

Perhaps we need to look at the different ecosystems in these terms. If we view Hive as an economy, and people involved as the citizens, then the focus turns to basic business building. Here is where those with the entrepreneurial mindset can flourish. It is also how the economy really starts to grow and thrive.

What are your thoughts on this matter? Let us know in the comment section below.


If you found this article informative, please give an upvote and rehive.

gif by @doze

screen_vision2025_1.png

logo by @st8z

Posted Using LeoFinance Beta



Hey @taskmaster4450, here is a little bit of BEER from @pixresteemer for you. Enjoy it!

Did you know that you can use BEER at dCity game to **buy dCity NFT cards** to rule the world.

0
3 mo

I think getting people to want to be involved or join up is the toughest part. Even seeing all of the potential that is there, that first step is always the hardest part.

Posted Using LeoFinance Beta

1

That is true. Growing the users is vital. However, equally as important is us growing what is already here. If we can expand what we each have, like a business growing its sales, then the system expands.

Posted Using LeoFinance Beta

1
3 mo

Yes, that is a good point. I was just looking at my badges on HIVE Buzz today and I see that I am over four years on the chain now. What a ride!

Posted Using LeoFinance Beta

1

Yeah we are getting some mileage behind us. The toughest part is always the beginning. We should see expansion start to accelerate.

We will see what the next couple years hold.

Posted Using LeoFinance Beta

1
3 mo

Looking forward to it!

Posted Using LeoFinance Beta

0

Hive is very important now , because it growing every second and expanding every day. I see hive take over everywhere in next 10years.

1

I do really like the fact that not only do we have new projects that are right around the bend launching but we also have another powerful combo happening. Existing platforms are developing their own tokens and providing utility to the token but we also have new projects still being started and up and coming. All three powerful aspects happening at the same time on Hive. Huge shout out to the developers and people investing into hive.

1

I agree. We are seeing the ability of projects to leverage what they are doing off everything else. It all feeds in together and multiplies the impact.

Posted Using LeoFinance Beta

0

Hive economy is very interesting because there is diversity.

For instance it's just not about writing content and earning HIVE...that's basic, but there is more to do and that's facinating.

For example - staking, HBD savings accounts...that's part of HIVE economy, an important part and HBD is a decentralised stable coins that's not backed by fiat currency so in a way HIVE economy has its own unique ecosystem and its thriving quite insultated from what happens to dollars.

This is a relief in a way too...

Another thing it's a hobby platform, as its a social media platform with bloging, video streaming content, gaming, and some DEFI stuff is there with different tokens that you can use to engage and earn more tokens...some hope or even belief that in long term it will pay off...

So its interesting, and there is a buzzing community so its quite interesting, crypto tokenomics also at work, so that's fasinating.

So, definitely a enriiching platform, motivating one to work more to get HIVE, HIVE followers, make that HIVE work for you, learn how to creat more engaging content etc. When you get some following, changes are HIVE economy will benefit you.

You have choices on what to do with those HIVE you earned - sell and liquidate it, stake it, convert it to another HIVE community token, even be a liquidity provider...room for experimentating, earning and growth...

which is always exiting, enriching, enlightening...

Lucky in a way to have found Hive, even if its through association with steemit and can you beat that, that HIVE has a interesting history of how it emerged...

Anyway.

1

You nailed it with this one. There are a lot of features rolling out across the ecosystem which give people choices. When we couple this with the tentacles reaching outside, such as Leofinance, that enhances the holdings of those on Hive.

It all keeps growing, even without new people. Of course, the goal is to get new people involved and have them participating.

Posted Using LeoFinance Beta

0

People still don't know about Hive and it's ecosystem yet so there is big potential for this platform looking forward to see the future and how this complement Web3. Once people realize the potential and gets to the mainstream this will be big.

1

In the meantime, we just keep growing things and filling our bags. There is more on here each week which gives people a chance at greater opportunities.

Posted Using LeoFinance Beta

0

The impact hive have for every individual in the blockchain is tremendous and awesome because it has so many advantages that one can benefit from apart from earning. It helps in learning and also enhance communication skills and even personal skills while on the blockchain which is definitely a work well-done to gain. I also appreciate the effort of hive in making every individual save indirectly for future purposes while powering up which is huge and also another way to eradicate financial issues in the future.

1

HIVE has been a second job for us. Even, perhaps, it could be the primary job for those who are unemployed, student etc.

1

It is now my job. I keep growing things to ensure financial freedom.

Posted Using LeoFinance Beta

0

Me gustan los post en los que puedo cuestionarme a mi misma y tomando una frase de este post textualmente: "Si observamos a las personas que utilizan Hive como "ciudadanos", ¿las cosas se están expandiendo para ellos?" Todo el tema de la blockchain y este tipo de proyectos es prácticamente nuevo para mi porque recientemente me involucro directamente y teniendo claro lo que deseo y en base a los resultados que estoy obteniendo puedo decir que si se están expandiendo las cosas para mi Mis conocimientos se amplían y los beneficios de usar la blockchain es lo que me tiene comprometida ! No soy economista sin embargo, me interesa mucho que existan proyectos innovadores que aporten no solo al crecimiento económico personal, o al de mi Nación sino también a nivel Internacional porque de alguna manera siempre hay alianzas entre países que redundan en la Renta Per Cápita, Veo en si a la web3 como un proyecto que a penas inicia pero que definitivamente ya está impactando, con respecto a hive , un proyecto muy joven aún donde es necesario nosotros como usuarios entender su naturaleza y buscar la manera que se logre expandir ,ahora ¿Cómo se logra que haya mas usuarios? Reciente escuchaba un podscat de @shadowmyst y @eddiespino, por cierto excelente trabajo que hacen , comentaban sobre algunas formas para llamar a mas usuarios consumidores de contenidos porque no todo el mundo es creador,y que se pueda buscar una forma fácil para que entren a hive a interactuar y comentar incluso y así traer mas usuarios , creo se debería considerar! Gracias por este post.

1

I am still very young in this ecosystem, but even with not posting each and every day, my accounts power grew steadily. Also in terms of secondary layer tokens there was a significant growth.
Ideas pop up every day in my mind how to utilize the power of our ecosystem. Thats how I came up with the Hive musicVideo foundation @hmvf
The biggest catalyst for growth of hive was certainly Splinterlands but there is so many other great projects developing.
I am really looking forward for the network effect kicking in.

1

There are a lot of ideas floating around. When they come to fruition, it is a powerful thing. All that is taking place adds up.

Posted Using LeoFinance Beta

0

I think Hive is very similar to an economy with all the games, services, and communities. There are just way too many things you can do on Hive and we can consider projects like LBI as a business that provides value

Posted Using LeoFinance Beta

1

A lot going on and taking place. We can see how this is going how delve into different areas. So yes going into many different things not only helps growth but makes it more resilient.

Posted Using LeoFinance Beta

0

The Hive economy needs to be so big that there is no outside threat that can take it down. This is the uttermost growth it will be seeking to achieve ultimately.

0

Yes. The key is to be resilient.

That not only comes from size but also from diversity of "industries". Thus we need a great deal more built on Hive and in different directions.

Posted Using LeoFinance Beta

0

This is a very interesting approach to understanding crypto - specifically Hive. To most lay investors - myself included - we're really only looking at the price/return potential to maximize the profits of our investments. When you look at something like Hive as its own economy, however, it takes on a completely different life. Instead of just being an investment opportunity (which it still is, of course!), we're now looking at a world of opportunities as the literally global economy of Hive continues to evolve and expand! The application of Hive as an ecosystem of citizens all providing unique services with the fast and "fee-less" exchange of assets creates a completely different kind of economy, not limited by location and jurisdiction. It creates a whole new set of unique challenges and concerns, but we'll adapt! Thank you for your thoughts!

1

That is how I am looking at it. The Hive network with the people in the ecosystem are an economy. Obviously, the tentacles stretch out to other chains but the people are still benefiting.

Posted Using LeoFinance Beta

0

Growth is happening every day even though many may not see it just by the "population" staking more rewards becoming more valuable to the others around them. More and more choices will attract new users and this is why development is key to all growth.

Posted Using LeoFinance Beta

0

Ranking crypto through market cap can be very misleading regarding what is truly taking place. With the expansion of Hive on other ecosystems, and establishing contacts and exchanging communities, development and funds, Hive establishes as a serious player in the cryptoverse, which we can increasingly notice. We won't become Ethereum or Bitcoin over night in terms of being the center of attention, but we're slowly becoming relevant to the outside crypto sphere.

0

Digging into layer 2 tokens on Hive, I see projects with higher market capitalization but seem to be silent for months. And there are those who are very active and have many plans, but their market capitalization is still small at this point.

As for the growth of Hive's user base, both the individual and the communities on Hive play a significant role.

Thanks!

Posted Using LeoFinance Beta

0

There definitely needs to be more growth in different areas and not just about blogging and gaming.

Posted Using LeoFinance Beta

0