I don't usually write about these topics because I'm such a small fish that I feel awkward giving my opinion. Others, who have much more at stake, are the ones who should be making these kinds of decisions. But today I felt like sharing my perspective. There are many complaints about how the Hive Decentralized Fund (DHF) works, and I share them. I think most projects don't offer a return to the community, and in many cases, they're double-dipped. That doesn't mean the people who created those projects didn't do a good job; it simply means that, as a community, we haven't chosen the right path.
Screenshot.
My proposal to reform the Hive Decentralized Fund (DHF) would be to divide it into two funds. One would provide non-repayable funds, as it does now. It would be a very limited fund and would require more detailed justification of expenditures. The second fund would receive the core funds, but the money wouldn't be given out; instead, it would be loaned out. It would be a loan fund that projects would have to repay with their returns. In this way, we would guarantee two things. The first requirement was that the projects be serious and have a business plan, and the second was that the returns be reinvested in Hive.
Let's imagine a game developer who wants to get $100,000 for one year. The loan is approved with a 10% interest rate. In one year, the Hive Decentralized Fund (DHF) would receive the $100,000, and the remaining $10,000 in interest would be used to buy back Hive on the market and then burn it.
This is just an idea, so I'll leave the operational details to others with more experience in financial matters.
Disclaimer.
This is not a purchase recommendation. I am not a regulated financial analyst. Under no circumstances should this information be construed as a recommendation to buy, sell, or hold a position. You should be aware of the risks involved in investing and conduct your due research. The information described here may not be accurate or may change at any time, so you should always check it.