Deep Dive-What happens to UNICOIN If HIVE Price Rises

This post is not financial advice.

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Short answer to what happens in terms of the tip bot..uh nothing.The tip bot distribution is based on curation earnings as well as the 3% inflation(approximate) on HP.

For every 25 HP delegated the user can make 1 call to the tip bot and receive .0025 as well as give .0025 which is .005 total. Done 365 days a year that's 7.3% which is the low end of average curation APR based on my other accounts. Plus the 3% HP inflation and compound interest. So even if curation sucks for a few months, that 3% is a buffer.

• Right now according to hivestats.io the curation APR is 6.89% but that is a low estimate as the HP is constantly increasing which temporarily drives that number down. My best guess the real curation APR is closer to 7.5-8% at least right now. Even at 6.89% plus the 3% HP inflation is 9.89% which is higher than 7.3%. Math is hard.

The tip amount is not based on post earnings , or beneficiary earnings from partner posts. It's just based on curation and HP inflation. This is for a reason.

Post and partner earnings can act as a buffer AND safety net in case there are a few bad weeks or months curation wise, the HP is still growing.

Right now I am converting all HBD earned into liquid Hive for the upcoming HSBI exchanges as well as buybacks. Post earnings for the moment outweigh curation by a lot. That will balance out as this account grows ,the bot is fully functional and more delegations come in.

In fact I want curation to outweigh post earnings, but that's something that will take time. I can be patient. Mostly lol

In the future I will have more wiggle room as to what to do with the HBD(some will go to savings, maybe trade/arbitrage and of course converted). Right now I hope I will not have to power down for at least several months in order to pay for buybacks and HSBI exchanges. It's self sustaining for the moment-exactly as designed.

I do want to note that in the future if power downs are necessary to do buybacks/exchanges that's part of the design, too.These power downs will be as small as possible and infrequent.I prefer if I can just keep the HP growing and use HBD. I will do that as long as it's sustainable, which it should be for quite a while.

As for posting partners, if the Hive price increases significantly they may need to reduce the amount of UNICOIN given away per post to make up for it, but pretty much not much will change there. I have tested, folks don't mind entering giveaways for fractional UNICOIN.

In fact splitting up the UNICOIN and doing more frequent posts may be more profitable long term. It all depends on how it's done and how the audience likes giveaways etc. That of course is up to the posting partners.

So basically UNICOIN is designed to be sustainable regardless of Hive price. With the up/down cycle it kind of evens out anyway, especially when HBD can be used for arbitrage opportunities (as well as HBD interest). If we were to get into a situation when the Hive price stays high, this program is designed to be sustainable either way.

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