⭐️ HyperDAO ⭐️ 🔥 Decentralized Financial Services Ecosystem 🔥

[Zuilex Burdman]

Wondering how the price of HyperDAO would be affected if there is a major collapse or correction in the market. How would this affect the stability of a coin whose value in principle is supposed to be stable?

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[Commadante2]

When you open a CDC what is what you generate? HyperDAO?

[HyperDAO Official]

USA’s Federal Agencies like FinCEN view all stablecoins as falling under their remit. Under their “technical neutral” stand point, they feel entitled to regulate such currencies: “It does not matter if the stablecoin is backed by a currency, a commodity, or even an algorithm – the rules are the same,”. They may try to enforce KYC.  The whole purpose of DeFi is to create a decentralized economy that can bypass the regulations of these centralized agencies. I am wondering if they will be able to catch up with technological innovation.

It may be hard to enforce their rules. Currently the guidelines are ambiguous and not very practical. Those agencies will have to suffer a paradigm shift to adapt to emergent technologies.

[HyperDAO Official]

I am quoting Carvalho when he says “Governance doesn’t belong on a blockchain. You want as little governance as possible to be baked in. The more governance you have baked in, the more susceptible it is to being a predatory or being basically an attack factor.” Since governance is part of HyperDAO I am wondering if this could be an obstacle to create a really decentralized currency?

Indeed, he may be right, but it is also truth that given the current conditions fully decentralized autonomous organizations cannot meet compliance requirements either. Sometimes investors may become victims of scams due to exploited loopholes found in DAOs. HyperDAO believes a gradual transition programme from a traditional centralized business model to a decentralized model will help to resolve current difficulties while also overcoming obstacles HyperDAO will meet along the way.

[HyperDAO Official]

Wondering how the price of HyperDAO would be affected if there is a major collapse or correction in the market. How would this affect the stability of a coin whose value in principle is supposed to be stable?

Most likely people will have to buy some ETH to not get liquidated. Nonetheless there will be always buyers once the market finds a bottom. Worst case scenario would be the shutdown protocol.

[HyperDAO Official]

[HyperDAO Official]

I think the idea of creating a stable coin tied to different fiat currencies is amazing! We need room for more diversity. Would you consider other fiat currencies in the near future?

At the moment we are concentrated in delivering a stable coin in the three main world currencies, USD, Euro and Yuan. Nonetheless we are aware of the high interest about blockchain that exist in other regions, like Latin America, for example. As the market matures we will consider other currencies.

[HyperDAO Official]

Some people may want to collate rise their crypto accepts to obtain some fiat. But what happens if yours accepts start losing value? Maybe Bitcoin is kind of stable, but we have seen a long bear market in alts, and it is difficult to collate rise something that continuously is losing its value.

We believe that blockchain technology is here to stay, and although the short term picture may be a little bit discouraging, we believe the market will recover. There are some projects out there that will definitely revolutionize the way we interact with each other and make business, just like the internet did it two decades ago.

[HyperDAO Official]

Would you require a KYC? I believe that KYC is somehow a form of censorship. Many of us not living in the Western countries really find great difficulties when we try to access the Western financial system. The KFC automatically creates an impeding web of censorship among the people (specially non Westerns) that need the most scape the unfairness of centralization and the conditions and restrictions imposed by our governments. After all the intention of BTC originally was to be decentralized and stay as far away as possible of the oversight of governments.

This is a complex question that requires some consideration in order for us to give an answer. We know and understand that the conditions of the current financial system are no ideal for many people not living in Western countries. Nonetheless there are some regulations every project is required to follow in order to be able to operate given the circumstances. If you have read our paper you will probably know that we are trying to include as many individuals from non-Western countries as possible. Our vision is that a fair financial system has to empower those that need it the most, especially those that lack the advantages and privileges given by granted by most westerners. Keep an eye on our project because we will definitely try to reach a solution regarding this matter.

[HyperDAO Official]

When you open a CDC what is what you generate? HyperDAO?

What you actually generate is Hyper-Fiat, which can be Hyper-USD, Hyper-Euro, or Hyper- CNY. On the other hand, HDAO governance tokens will enable users to jointly develop the HyperDAO platform, which includes submitting governance proposals to vote, elect community representatives, trigger the safety protocol in case of market irrationality behavior, vote for interest rate adjustments, set risk parameters and recommend projects to be listed.

[Elsop]

Increasingly I have seen concern about the dystopic scenario in which the dollar collapses. And although such a scenario is very unlikely (unless we consider a time scale in the order of decades) it is frequent to see responses that point out to possible collateralization in terms of another currenciesand even different assets.
Perhaps the most realistic answer comes this way:
(1) If USD inflation occurs, that would mean an increase in the price of ETH in relation to USD.
(2) Of course, a bull market would mean more people doing leverage in the hopes of acquiring more ETH as explained in past comments. However, doing so would mean less people holding HyperUSD, for example.
(3) The only way to keep the price of stable would mean increasing the Stabilization Fee.

[Commadante2]

Increasingly I have seen concern about the dystopic scenario in which the dollar collapses. And although such a scenario is very unlikely (unless we consider a time scale in the order of decades) it is frequent to see responses that point out to possible collateralization in terms of another currenciesand even different assets.
Perhaps the most realistic answer comes this way:
(1) If USD inflation occurs, that would mean an increase in the price of ETH in relation to USD.
(2) Of course, a bull market would mean more people doing leverage in the hopes of acquiring more ETH as explained in past comments. However, doing so would mean less people holding HyperUSD, for example.
(3) The only way to keep the price of stable would mean increasing the Stabilization Fee.

The collapse of the dollar is extremely unlikely to occur. Cases of hyperinflation are created usually by governments trying to find their way out of debt by printing a thumping amount of fiat. This occurs when their economy of course is not dominated by their own currency.

[Albam Jorden]

Increasingly I have seen concern about the dystopic scenario in which the dollar collapses. And although such a scenario is very unlikely (unless we consider a time scale in the order of decades) it is frequent to see responses that point out to possible collateralization in terms of another currenciesand even different assets.
Perhaps the most realistic answer comes this way:
(1) If USD inflation occurs, that would mean an increase in the price of ETH in relation to USD.
(2) Of course, a bull market would mean more people doing leverage in the hopes of acquiring more ETH as explained in past comments. However, doing so would mean less people holding HyperUSD, for example.
(3) The only way to keep the price of stable would mean increasing the Stabilization Fee.

The collapse of the dollar is extremely unlikely to occur. Cases of hyperinflation are created usually by governments trying to find their way out of debt by printing a thumping amount of fiat. This occurs when their economy of course is not dominated by their own currency.

I believe that if the USD were to experience hyperinflation, the only way to maintain the peg to the USD would be to increase HyperUSD circulation proportionally. That would have as a consequence that the Saving and Stability Fees had to be reduced.

[Sefent.arts]

Increasingly I have seen concern about the dystopic scenario in which the dollar collapses. And although such a scenario is very unlikely (unless we consider a time scale in the order of decades) it is frequent to see responses that point out to possible collateralization in terms of another currenciesand even different assets.
Perhaps the most realistic answer comes this way:
(1) If USD inflation occurs, that would mean an increase in the price of ETH in relation to USD.
(2) Of course, a bull market would mean more people doing leverage in the hopes of acquiring more ETH as explained in past comments. However, doing so would mean less people holding HyperUSD, for example.
(3) The only way to keep the price of stable would mean increasing the Stabilization Fee.

The collapse of the dollar is extremely unlikely to occur. Cases of hyperinflation are created usually by governments trying to find their way out of debt by printing a thumping amount of fiat. This occurs when their economy of course is not dominated by their own currency.

I believe that if the USD were to experience hyperinflation, the only way to maintain the peg to the USD would be to increase HyperUSD circulation proportionally. That would have as a consequence that the Saving and Stability Fees had to be reduced.

That is totally not truth.

[Cryptoenthusbusa]

What is a safe way to collaterise so that I do not get liquidated right away? Can someone give advice for people like us which are not traders and would not like to make a mistake? I am currently only practicing.

[Rudibert]

What is a safe way to collaterise so that I do not get liquidated right away? Can someone give advice for people like us which are not traders and would not like to make a mistake? I am currently only practicing.

It is recommended that you have a collateral of at least 200%, to play it safe, even 300% is a best option.

[Bushadamfus]

What is a safe way to collaterise so that I do not get liquidated right away? Can someone give advice for people like us which are not traders and would not like to make a mistake? I am currently only practicing.

It is recommended that you have a collateral of at least 200%, to play it safe, even 300% is a best option.

As explained by others, never go below 200%, it is savvy to use collateralization ratios of 200-300+%. The volatility of ETH does not allow you to place a collateralization close to 100%.

play safe. A range between 250%+ should be fine. You can always adjust based on the market movements.

[Spaceshuttle987]

I think 2020 will be the year for DeFi!

I was reading online that the growth in this sector is around 130% over the last 12 months. That is amazing considering that other sectors of crypto are struggling even to survive. There is currently around 700 million USD dollars locked up in these decentralized financial applications. Compared with the 306 million we had around the same time last year that is an amazing growth. And although other applications like Maker are currently dominating the market, I believe HyperDAO is also significantly contributing in the right direction, taking into account that they peg their stable coin to different currencies like USD, EURO and CNY. Anyone has any idea of how big this market will be in probably 4 to 5 years?

[lebev.hus]

Nobody knows where the market will be, but some people really believe that this market could surpass all cryptocurrency market by the introduction of tokenization of other assets, like bonds, precious metals or real state which could equally be used as collaterals. Besides all the negativity surrounding the market with this long winter, we are witnessing the emergence of a technology that will change the way we understand money and finance.

[futterlod]

I think 2020 will be the year for DeFi!

I was reading online that the growth in this sector is around 130% over the last 12 months. That is amazing considering that other sectors of crypto are struggling even to survive. There is currently around 700 million USD dollars locked up in these decentralized financial applications. Compared with the 306 million we had around the same time last year that is an amazing growth. And although other applications like Maker are currently dominating the market, I believe HyperDAO is also significantly contributing in the right direction, taking into account that they peg their stable coin to different currencies like USD, EURO and CNY. Anyone has any idea of how big this market will be in probably 4 to 5 years?

Maker currently holds around 55% of DeFI. I am wondering how much is HyperDAO currently holding.