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RE: Could There Be a Long Term Arbitrage Opportunity With SteemDollars?
Is there an advantage to waiting the 7 days, do you know about the insite market?
According to the white paper there are mechanisms to, over the course of a week to always return SBD to parity with the dollar, if that's the case (there is probably market effects on exchanges to stop it) SBD is a good buy
I am pretty sure that these mechanisms are the interest that those that hold SD earn, though I think @dan or @ned would know better about that. At 10%, that interest might not be enough to get people to buy SD right now, especially with the amount of selling pressure that there is on the exchanges. Do I get 10% or do I get instant, ya know?
the 10% is variable right? set at different rates to bring sbd to parity
As far as I know, witnesses can increase the interest to try and bring it to parity.