Ethereum isn’t the only blockchain project with Smart Contracts, and DeFi, so does the Hive Blockchain.

in LeoFinancelast month (edited)

Ethereum has Smart Contracts.

The Ethereum Blockchain is world famous for being the home of Smart Contracts. Those collections of computer code that allow trustless transactions to occur in decentralized finance. The same DeFi which occupies the space where sophisticated asset backed finance meets sophisticated cryptocurrency concepts like nonfungible tokens, fungible tokens, token wrapping and smart contracts. This same DeFi that grew from millions of dollars US to billions of dollars US in one year, a 1000% increase. Yes, those things called Smart Contracts and that thing called Decentralized Finance, we have them here...on Hive.
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Bitcoin could have had Smart Contracts

It is a interesting historical postulate that the singular focus, held by the majority of Bitcoin Foundation members, who controlled Bitcoins development, was on being a store of value. And as a result those Bitcoin Foundation members declined the suggestion to build Smart Contracts on the Bitcoin blockchain. And it is this refusal to build Smart Contracts, which led the creator of Ethereum to leave the Bitcoin Foundation, where he was happily working alongside possibly hundreds of other software visionaries, and create the Ethereum Blockchain.

The World knows how great Smart Contracts are, and so do investors on Hive

DeFi is a multi-billion dollar business

The world now knows how Smart Contracts facilitate decentralized finance or DeFi for as it is often called. This same DeFi that grew from millions of dollars US to billions of dollars US in one year, a 1000% increase. But the world doesn’t know that we have those things here. Yes, those things called Smart Contracts and that thing called Decentralized Finance, we have them here...on Hive.

Popular DeFi investment tools exist on Hive

Staking

More importantly, what the world doesn’t know, but perhaps it should, is that those Smart Contracts on the Hive Blockchain, facilitate the same types of sophisticated decentralized finance concepts other blockchains are developing. For example, Cryptocurrency Token Lock Up in Smart Contracts which pay a guaranteed annual rate of interest in what’s commonly called Staking in cryptocurrency decentralized finance language, but is called Powering Up here on Hive. It has existed since our blockchains birth, and is in our blockchain DNA.

Tokenization or Delegation

Hive also processes Delegation, which uses a wrapping or Tokenization process to allow you to loan your cryptocurrency in return for earning yields. A popular concept in decentralization, which allows you to hold your cryptocurrency long term for price appreciation, while also loaning out a representative digital token, which allows you a short term This sophisticated decentralized finance investment is also popular, and it also exists on Hive.

Hive speed and scalability

Hive is faster then Ethereum, Hive has more capacity then Ethereum. Hive has lower transaction fees then Ethereum. If Hive has Smart Contract Capability can we compete with Ethereum? Yes..., but take my word for it, I am essential an anonymous writer, an unknown voice in the wilderness. Read on and understand...then answer the question yourself.

Hive Smart Contracts

The Key to utilizing Smart Contracts on Hive starts with the same process you perform on any other blockchain, to invest in any other decentralized finance investment strategy: research the tokens, the Tokenization process and how the smart contracts work, better know as how are the tokens relationships dictated by the Smart Contracts and how can you profit from these relationships. This is the definition of doing your own research in DeFi.

Exchanges have KYC, know your customer, Investors have KYI, know your investment.

Hive KYI

Hive has three tokens, whose relationships are defined or controlled by Smart Contracts. Those tokens are Hive, HivePower and HBD Hive Backed Dollar related and are they interchangeable?

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General Outline

Hive is the main token on the Hive blockchain, Hive Power is a locked up form of illiquid Hive and the Hive Backed Dollar is a stable coin in the Hive blockchain which helps you combat and protect yourself against volatility, but not inflation.

More Detailed Outline

Hive and Hive Power

One Cryptocurrency & Two Smart contracts
In this excosystem there are three forms of this cryptocurrencies Hive, Hive Power, Hive Backed Dollars plus a smart contract which defines their relationship.

Hive Power

Hive Power is Hive locked up in a Smart Contract where it is not tradeable or saleable.
Emphasing on the word Power, Hive Power is symbolizing how much influence you have inside the Hive platform. Influence here is the same as value or amount of Hive you award with your upvote or approval vote on content posted here. If you have a lot of HP your upvotes will count more.

More explanation

Hive Power will result in that HIVE being transferred in what is also known as the VESTED HIVE or HIVE POWER and represents HIVE that is locked up in a Smart Contract which grants you certain a stake in HIVE, a Social Network build to distribute HIVE from it's Reward Pool.

Converting Back to Hive from HivePower

If a User wants to convert back from Hive Power to the base currency of Hive, it will be converted within 13 weekly conversions. Then Weekly Payments begin to convert Hive Power to Hive.

Hive Backed Dollar

The Second Smart Contract is called Hive Backed Dollars or abbreviated HBD. This is a debt instrument that promises to distribute $1 worth of Hive to the token holder in the Future. HIVE Dollar is essentially HIVE in the form of a pegged Currency. HBD pays interest and HBD should be convertible to $1.00 worth of HIVE, however it will take 3.5 Days to complete a Conversion.

Note that the Hive Dollar is a Smart Contract which is freely tradeable, hence why 1 Hive Dollar may not actually be worth $1 Dollar because of Free Market Demand & Supply, whenever HDB is traded on popular exchanges the price is directly influenced by Buyers & Sellers who set prices between each other. At any time, the value of the Hive Dollar is roughly equivalent to the value of the Dollar, the World's most popular fiat currency used as Benchmark & Standard, this Smart Contract is backed by HIve's own built-in Market Exchange. This stability is remarkable in the Crypto Sphere where prices are never the same the next day, with unstable price fluctuation. In fact, it eliminates some instability associated to Cryptocurrencies, which most agree is the largest barrier for adoption of Bitcoin or or other Altcoins.

Summary & Suggestions

The Ethereum Blockchain is world famous for being the home of Smart Contracts. Those collections of computer code that allow trustless transactions to occur in decentralized finance. Those collections of computer code that allow trustless transactions to occur in decentralized finance. The same DeFi which occupies the space where sophisticated asset backed finance meets sophisticated cryptocurrency concepts like nonfungible tokens, fungible tokens, token wrapping and smart contracts. This same DeFi that grew from millions of dollars US to billions of dollars US in one year. Smart Contracts exist on the Hive Blockchain, which facilitate the same types of sophisticated decentralized finance concepts which have made other blockchains famous and their token holders wealthy. While their are many great projects out there in the cryptocurrency universe, most successful DeFi projects which increase their token value tie their token to Ethereum first and now Bitcoin second. We know from the work of @fsbo that it’s possible to reach out into the Ethereum ecosystem and toe Hive to Ethereum. We know from @khaleelzaki that it’s possible to reach out into the Ethereum ecosystem with a second layer token, Leo and tie your token to Ethereum. The purpose of these ties is of course to bring recognition to your token, your blockchain, but mainly price recognition and get your token trading in a bigger trading circle.

Now that we know we can reach out, we need to start trying different mechanism to garner attention, build on our strengths and promote both our technology, community and token price. I suggest that an enterprising developer build upon what has been done. The example of Leofinance improving the value of their token shouldn’t be seen Only as a call for everyone to join the Leofinance Community! It would be great for Leo, but the larger Hive Community needs to think Larger then that, if @fsbo has already shown that a wrapped Hive token can be traded on Uniswap, then one of the Communities on Hive should consider this:
-Get your 10-20 of your largest Hive holders and 20-30 of your medium size Hive holders to wrap their Hive...tokenize it as WHIVE on Uniswap and start taking yields from A Liquidity Pool already in existence WHIVE-ETH.
-You will need to bring some ETH also for dollar equivalent pairs on Uniswap.
-Replicate what Leo did with WLEO
-Replicate the mechanisms to join Hive or just use the existing ones Leofinance

Consider this, Leofinance is limited to people who blog about Finance and Cryptocurrency. There’s a huge world out there of non-financial and non-crypto- currency bloggers and content creators. One Hive community could grow their community from this much larger pool of potential members.

Once you build that bridge to our community, what’s to stop someone from building a MakerDao or Uniswap clone here, where tokenized Bitcoin and tokenized ETH could be traded here, taking advantage of our Scaleability and fast free transactions ? Only imagination, money for developer time and the time and motivation to do it. This isn’t @blocktrades job, it’s something the Communities need to do... It’s time to step up to the plate, you can’t hit a home run unless you take a swing.

Who wants a chance at fame and riches?

@shortsegments

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If you would like to see HIVE become a full fledged Ethereum competitor, I would like to ask everyone to show some support to @disregardfiat and @aggroed Both have proposals submitted to DHF. What they are trying to pull off can 100X HIVE price on its own. Please take a look and support at least one of these proposals if you haven'already!

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Hive kicks the ass of many blockchains, it lacks expoaure though...

This is a great post for new crypto users by the way so they should not throw their money into all sort of over hyped crap.

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