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Sirwin

Earn 20% APR without taking risk using HBD savings

By mango juice | 0mango-juice | 13 Apr 2024


Hello readers,

If you have been using and interacting on the hive blockchain then you must have learned about the HBD token. HBD stands for Hive Backed Dollars and it is the stable coin of the Hive blockchain whose value is capped at 1 HBD = 1$ of USD. In the Hive chain, people earn cryptocurrency via publishing both long-form blog content and the newly added feature of short-form content and the crypto that we earn as author rewards by publishing such content on this platform comes in 2 types of crypto tokens, Hive and HBD. Hive is the main layer 1 token of this blockchain and carries a dynamic value depending on the market. HBD, on the other hand, is a stablecoin and hardly fluctuates from its pegged value of 1$.


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Source


How to earn HBD

To simply understand how the author gets paid for their contribution let me give an easy-to-understand example - When an author publishes a long-form blog content using any front-end on the hive blockchain, it gets visible in the platform and then curators can vote for the post respecting the fact that they like its content or get some value. Every long or short-form post that is published on this platform stays forever, however, any post has a 7-day window of getting votes from author curators and after this 7-day period, the payout will be distributed among the author and the curators who voted in that post. Suppose your blog earned 10$ after 7 days, then you will get 5$ and all the curators who voted for your post will get the rest 5$ distributed respecting their hive power. Now, The 5$ that the author gets comes from 50% in staked Hive tokens and the remaining 50% in liquid HBD tokens, so you will be getting approx 2.5 HBD and a bunch of staked Hive tokens respecting Hive’s price at that time. Not only via posting articles but you can also buy both Hive from most of the leading exchanges and easily send them to your Hive chain wallet and then convert them to HBD.


Utilities of HIVE and HBD

Now, Hive has various utilities just like any other leading crypto project and even more - from staking into Hive power and earning through curation rewards, delegating Hive power to different active projects and earning their tokens, trading with other tokens on exchanges, increasing your resource credits to perform More transactions for free on this blockchain, participating in decentralized proposal voting and many more things. But do not underestimate the stablecoin HBD that this chain is offering as not only it has proven its worth for years by maintaining its stable value but it has also paid a jaw-dropping 20% APR return if you choose to lock it in your savings wallet in the chain. Yes, you heard it right, 20% APR on a stablecoin and it has been proudly distributing interest to HBD savers for years now.


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Price Stability of HBD

The price of HBD is also very stable and as an old user myself, I have hardly seen it go under 0.95$ even in harsh crypto environments and then also acknowledged it quickly recovers back to its position. Like many of you, I also love to save my earnings in HBD savings, especially whenever I want to save a big amount of money to invest in any project or token. If you can follow the price chart of HBD of the last 1-year timeframe that I shared above, you can clearly see that its value fluctuates closely between 1.02$ and 0.98$ and even though there are some quick spikes on both sides, they have been rectified quickly. Even looking at its Price range since the beginning, you can see the same and that produces trust in this stablecoin and maybe that’s why thousands of people are choosing to save or use the HBD over any other stablecoins that are available in the market right now.


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Features of HBD

I also came across a Tweet from Theycallmedan recently where he shared many features and Information about HBD which you can read above and I would also request you to like and share this tweet with your friends to spread this piece of knowledge that many people in crypto doesn't know. Needless to say the the adaptation of HBD is currently on steroid as many big and small investors are investing their money in the HBD savings option to enjoy the risk of 20% APR which no other stablecoin in the whole Crypto realm is currently offering. Apart from Hive blockchain being a decentralized project that no single entity controls, one more thing that attracts me most are the fee-less transactions in this chain if you have a small amount of staked hive in your account.


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How To Use HBD Savings Feature?

You can very easily use the HBD savings option to start saving HBD in your hive account and start earning interest right away. The locking period of HBD savings is just 3 days which is a big advantage over most of the other stablecoin staking and in case you want to withdraw your HBD, you will get it way sooner than anywhere else. When you lock your HBD in the savings wallet, you can see the interest payment getting generated in real-time and the interest is paid in the form of HBD coins as well and being paid every 30 days period after you stake for the first time. After this period, you just need to claim the rewards and they will be automatically added to your existing HBD savings account.


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If you have some Liquid Hive and want to convert them To HBD, you can choose the market option to instantly convert your Hive into HBD in the internal hive market but for a little slippage fee of 0.1 to 0.5% fee. You can also choose the convert to HBD option to do the same but without paying any slippage fee or charges it would require a 3.5 day window to process the conversion and after that you will get your converted HBD in your wallet.


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My HBD Savings

Last but not least, recently I have also thought about it a lot and realized that a part of my total portfolio should be in stablecoin to bring better balance and with HBD savings providing this amazing 20% APR it is hard to resist using HBD as my stablecoin. I am currently focused and working to increase my HBD Savings balance and so far, I have made 1667.5 HBD in my savings and if you calculate, it will give me 333.5 HBD per year or approximately 27.8 HBD per month without taking any risk. So you can clearly see that we can also earn decent money without taking any or mild risk in this crypto world and thanks to HBD for making it possible for us.


Learn more about HBD


I hope you liked reading my post and if this post has provided you with any knowledge, I will be very happy to know.
Let me know your thoughts about HBD savings in the comment below and I will be seeing you all in my next post.

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mango juice
mango juice

Blockchain enthusiast, Mobile photographer, gamer, fact teller, tech n gadget reviewer, foodie, traveler!!


0mango-juice
0mango-juice

Hello readers, I am mango-juice, a crypto enthusiast and blog writer on hive blockchain since 2018. I also try different NFT gaming and DeFi projects and share my analysis and thoughts with my readers. I am also a veteran Splinterlands player and write about it’s gameplay tactics and investment strategy as well to help other players and newcomers.

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