I've noticed that it's movements are kinda correlated with bitcoin's movements.
Are you talking in terms of USD value or BTC value? Its price in BTC is meant to inversely correlate with BTC's USD value.
If it keeps this correlation, a very large and fast drop in bitcoin's value could mean a fast drop in sdb value
The SBD is a token that can be converted (with a 3.5 day delay) to roughly $1 worth of STEEM. It is this guarantee floor that keeps SBD pegged from below. The theory of pegging from above comes from emission of SBD. If over time it's observed that the pegging pressure from above is inadequate, then we can address that with a limited STEEM->SBD conversion option.
But for now, because of the botched reward pool migration in HF17/18 happening concurrently with irregular market conditions, the recent experience with SBD price isn't enough to say "let's kill SBD." We're on track to it normalizing.
I meant it's movements, with respect to the dollar, correlate proportionally with bitcoin's movements with respect to the dollar. As bitcoin rose, SBD lost it's peg and rose above the dollar. Then, as bitcoin traced back, SBD started falling back towards it's expected value.
I guess the peg from below is a lot stronger than the peg from above, that does make me feel better about it.
Downvoting a post can decrease pending rewards and make it less visible. Common reasons:
Submit