So hive's internal market is pretty confusing for me.

I managed to start an argument between marky and edicted on the discord last night, but that just goes to show how confusing the whole thing is. (for the record I think they were both right, but saying different things).

Anyhoo... this is the hive.blog interface:

![image.png](https://images.hive.blog/DQmVdz54X3wqp6E4CQMPeUWCxfgij15AJVQegWeQPzsLncf/image.png)

crim was just informing me that there are 3 new interfaces though.

https://alpha.ecency.com/market#advanced

![image.png](https://images.hive.blog/DQmSfNNiBaw5Enq96t3vjgRrmoGFX2PN7BqvB7Hm1AgwMva/image.png)

https://hub.peakd.com/market/advanced or https://hivehub.dev/market/advanced:

![image.png](https://images.hive.blog/DQmafCDWNrPVUquocpP7uzkyFdsZ8YwLz4ACW7gcV9JDV6n/image.png)

and https://beta.hivedex.io/:

![image.png](https://images.hive.blog/DQmb99posYXPwQ19XLRpBZkb6Bhyfa8DHSUFhBYYRbXY6Zi/image.png)

All 3 of these are better interfaces than the original, so take your pick. They don't really solve the fundamental issue though that the internal market is priced in HBD but quoted with HIVE. It's confusing.

The hivehub interface does try to address this with a display for HBD price, but that still requires doing additional math.

So, here are some market dynamics. This is for my own benefit if nothing else:

- The internal market always assumes 1 HBD = 1 USD
- If HBD is pumped on an external market, there will be arbitrage pressure to buy HBD on the internal market, move it to the external market, and sell it there. This raises the price of HBD. But since 1 HBD is always 1 USD on the internal market, the price of HIVE on the internal market *falls* compared to the price of HIVE on external markets.
- You can figure out the price of HBD by looking at the ratio of the internal market HIVE price to an external market HIVE price like binance, gate.io, coinex, etc. If external price > internal price then HBD > 1. If external price < internal price then HBD < 1.
- If I want to sell overpriced HBD for HIVE, then I need to set an order with a lower than market price for HIVE. This is always described as a buy order because it's selling HBD and buying HIVE.
- Conversions from HBD to HIVE usually take too long to capture HBD pumps.
- If HIVE is pumping and HBD is staying stable, the internal market is usually pretty good at tracking with external markets with the witness feeds. I can try to sell HIVE for HBD with a sell order, convert half-ish HIVE to HBD for a 5% fee, or sell HIVE on an external market. This is generally much easier than going from HBD to HIVE as there are more external pairs for HIVE.
- Monitor the debt ratio for HBD at https://hive.ausbit.dev/hbd. HBD has to stay under 30% debt for HIVE. This could be reached by converting a ton of HIVE to HBD or the price of HIVE dropping a lot. Currently nowhere near the debt limit.

Also, for your enjoyment:

https://youtube.com/shorts/HYhdX2WiRUc?feature=share

Posted Using [LeoFinance <sup>Beta</sup>](https://leofinance.io/@nealmcspadden/internal-markets-external-markets-and-hbd-pumps)