For quite some time Leo has dominated the Hive communities in price and innovation. While no one has rivaled Leo's innovation to date, Proof of Brain has taken off in price. POB is valued at 1.74 Hive at this time while LEO is 0.89 Hive currently.
While POB may have LEO on price, LEO still leads the game in volume with a 24 hour volume of over 10,000 Hive compared to POB coming in just under 4,100 Hive.
As you can see from the charts above, LEO has gone from around 1.4 to almost 0.9 now but traded around 0.60 for a few weeks. POB has steadily traded over 1 Hive after quickly climbing from 0.05.
LEO has proven time and time again no one can innovate on Hive like they can.
LEO was the first to use a custom front-end for a Hive Engine tribe, released MetaMask and Twitter easy onboarding features, anchored their token to ETH to take advantage of ETH momentum, incentivized liquidity pool participating with the LEO Geyser, and more.
So why has POB taken off while LEO has gone down?
I don't know the answer to this, but I can speculate.
LEO has taken off largely due to FOMO and @khaleelkazi's aggressive development and innovation. No one has pushed the boundaries of a Tribe like he has. For a while you couldn't even take a deep breath before another LEO themed product was launched.
So why is Proof of Brain (POB) doing so well?
I think it is a few things, but one specific thing is driving most of the momentum.
The most obvious is the inflation, Proof of Brain (POB) follows the same inflation of Bitcoin, every four year it halves. This is predictable and a successful model that has created a lot of value for Bitcoin.
Scarcity is a powerful emotional trigger that abused by the most successful salesman.
In fact, I have talked to a few of the larger stake holders on POB and they all mention the inflation algorithm being the reason they invested.
Proof of Brain started with 1 token and is only earned through author and curation rewards. There are no mining tokens, there are no other ways to earn POB outside of buying it off the market. There is a 10% beneficiary fee for all posts on POB that is used to fund their own form of a decentralized proposal system.
Some tribes have an inflation of around 6-7% and some almost as high as 25%. All of these tribes tend to reduce their inflation by 1-10% per year in a predictable fashion. Proof of Brain (POB) promises to reduce the inflation by 50% every 4 years.
In 4 years POB can potentially see significant increased demand prior to the first halving driving the price even higher. Four years is a long time, and most people have the attention span of a gnat. Will POB still be as popular as it is today in four years? Only time can answer that question but it likely will need to do some innovating if they want to continue to out price Hive and LEO.
I am a firm believer that no one can tell you the price of anything in the future and I won't pretend to have any clue, anyone who tells you otherwise is full of shit.
When LEO started to do well, I have repeatedly said for Hive to do well we need hundreds of LEOs. I still believe this and while there is currently some POB or LEO friction right now, I believe Hive is the constant victor and we are all Hive stake holders.
Full disclosure, I am not a financial consultant and this is merely my opinion and the observation of a casual observer. Before spending any significant amount of money, please consult your mom.
Posted Using LeoFinance Beta