HiveComunityBank — DHF Proposal v2.4 (Revised)
Revision notice: This is a substantially revised version of the HiveComunityBank proposal. The revision redesigns the fee structure, governance model, collateral mechanics, and financial projections based on community feedback. Voters who saw the original are encouraged to read this version in full before casting a vote. The original post remains available for historical reference.
Executive Brief
HiveComunityBank (HCB) is a community lending protocol that lets serious HIVE stakeholders access real spending power without selling their HIVE. Borrowers deposit HIVE as collateral, receive HBD loans, and use those proceeds to spend, invest, or earn — while their HIVE remains powered up and appreciating. Every HBD the DHF allocates enters savings on day one, earns 15% APR immediately, and the principal is never spent. This is not a grant. It is a capital injection.
The protocol solves three problems simultaneously. First, it gives large HP holders liquidity access without exchange exposure. Second, it removes HIVE from liquid circulation — at 10 simultaneous loans with 50,000 HIVE minimum collateral, 500,000 HIVE leaves exchanges for approximately 15 months per lending cycle. Third, it generates guaranteed savings interest regardless of whether any loans are made — at 10,000 HBD per day for 71 days, the pool earns approximately 20,671 HBD in savings interest before a single borrower applies.
The manager is paid exclusively from curation rewards on collateral HP — not from DHF HBD. There is no liquidation mechanism, no oracle dependency, and no scenario in which the pool loses capital. Borrowers who deposit loan proceeds in HBD savings at 15% APR earn more in interest than they pay in loan interest — the net carry position is +7.5% APR on a 12-month term. The 71-day proposal duration gives the community a clear evaluation window before renewal. If the protocol underperforms, do not renew. If it works, expand it.
One-Page Executive Summary
What it does: A HIVE stakeholder deposits 50,000+ HIVE as collateral. HiveComunityBank powers it up to HP, delegates it to 
What the DHF gets: 710,000 HBD enters savings over 71 days and earns approximately 20,671 HBD in guaranteed savings interest before a single loan is originated. That yield compounds back into the pool. The principal is never spent. Renewed continuously for twelve months, the pool reaches approximately 3,650,000 HBD earning 547,500 HBD annually.
Why the carry trade matters: At current rates, borrowers pay 7.5% to access HBD. HBD savings pays 15%. Borrowers who deposit proceeds in savings earn more than they pay — net gain of +7.5% APR — while keeping their HIVE intact and powered up.
The deflationary impact: Every active loan removes collateral HIVE from liquid circulation for approximately 15 months (loan term plus 13-week powerdown). At 10 simultaneous loans, 500,000 HIVE leaves exchanges per lending cycle. Defaults extend that lock indefinitely.
The risk profile: No oracle. No forced liquidation. No flash crash exposure. Interest collected upfront means the pool is whole on day one regardless of what the borrower does. The protocol earns 15% APR by existing — even with zero borrowers.
Three confirmed deployment paths for loan proceeds:
- Zypto (live, DHF-funded, September 2025) — Visa/Mastercard accepted at 150M+ merchants globally
- Altera/Magi (live mainnet) — HBD is the base asset in all cross-chain liquidity pools
- HBD savings — 15% APR, always live, net positive carry on 12-month terms
Phase 2: After approximately twelve months of operation, if four performance metrics are met (50%+ pool deployment, sufficient curation revenue, zero defaults, positive community engagement), a community tier with 10,000–25,000 HIVE minimums will be proposed via governance with a 14-day comment period.
Proposal Index
Executive Brief — 3-paragraph overview (above)
One-Page Executive Summary — Key numbers, mechanism, carry trade, risk profile (above)
Core Protocol Design (Sections 1–4)
- The Vision: Simplicity, Sustainability & Real-World Utility
- 1.1 HODL-Friendly Finance
- 1.2 The Three Pillars
- 1.3 Who HiveComunityBank Serves
- 1.4 Roadmap: From Proof of Concept to Community Scale ← Phase 2 criteria here
- DHF Landscape & Strategic Assessment
- 2.1 The Market Gap
- 2.2 DHF Status (April 2026)
- 2.3 Proposal Submission Details
- Why HiveComunityBank Is Different
- 3.1 Permanent Capital, Not a Sunk Cost
- 3.2 The Carry Trade That Benefits Borrowers
- 3.3 Deflationary Pressure on HIVE
- 3.4 Built on Confirmed Hive Ecosystem Infrastructure
- Financial Mechanics: The Never-Spend HBD Model
- 4.1 Capital Structure
- 4.2 71-Day Financial Projections
- 4.3 Interest Rate Formula & Rationale
Lending & Operations (Sections 5–6)
- Fee Structure & Lending Terms
- 5.1 The Single-Fee Philosophy
- 5.2 Borrower Tiers (Standard & Founding)
- 5.3 Current Rates at 15% Savings APR
- 5.4 Early Repayment & Interest Rebate
- 5.5 Collateral Powerdown: What Borrowers Must Know
- 5.6 Loan Maturity & Default ← dedicated default section
- 5.7 Complete Lending Terms Reference
- Operational Parameters, Governance & Security
- 6.1 Pool Capital Structure
- 6.2 Account Custody & the Shared Active Key Model
- 6.3 The 3-Day Savings Security Window
- 6.4 Loan Disbursement Process
- 6.5 Borrower Confirmation Memo
- 6.6 Waitlist Protocol
- 6.7 Governance & Parameter Changes
- 6.8 Reporting Obligations
Trust & Risk Management (Sections 7–9)
- Accountability, Transparency & Risk Mitigation
- 7.1 On-Chain Transparency
- 7.2 Risk Management Framework
- 7.3 Conservative Design Choices
- Why Stakeholders Should Vote for HiveComunityBank
- 8.1 The Only DHF Proposal That Preserves Its Capital
- 8.2 Genuine Value for Large Stakeholders
- 8.3 Strengthens Infrastructure Voters Already Funded
- 8.4 Deflationary Pressure at Scale
- 8.5 A Fundamentally Different Risk Profile
- Contingency Plan
- Scenario 1: Full Funding (71 days)
- Scenario 2: Partial Funding
- Scenario 3: No Funding
Next Steps & Resources (Section 10 & Appendix)
- Next Steps for Voters
- Appendix: Protocol Accounts, Ecosystem Integrations, Glossary
Full Proposal
1. The Vision: Simplicity, Sustainability & Real-World Utility
HiveComunityBank is a single-purpose community lending protocol. Its job is to give serious HIVE stakeholders access to spending power without forcing asset sales. Every design decision serves that core purpose.
1.1 HODL-Friendly Finance
Most HIVE holders who need liquidity face an unpleasant choice: sell HIVE and lose their stake, or stay illiquid and miss spending opportunities. HiveComunityBank eliminates that choice. A stakeholder deposits HIVE, receives HBD within three days, uses the proceeds however they choose, and at term end repays to retrieve their full collateral. Their HIVE stake and price exposure are preserved throughout.
1.2 The Three Pillars
Simplicity
One fee. One formula. Four loan term options. The interest rate is set by a public on-chain parameter — the HBD savings APR — divided by two, prorated by term. No manager discretion. No hidden charges. A borrower knows their exact cost before submitting a single transaction.
Sustainability
The protocol sustains itself through two yield streams operating simultaneously: HBD savings interest on undeployed capital, and curation rewards from delegated collateral HP. Neither stream requires borrowers to exist. The pool earns 15% APR on every HBD it holds regardless of loan volume, building reserves during quiet periods without depleting principal.
Real-world utility
HBD loan proceeds connect directly to two confirmed, live payment and DeFi rails. Zypto provides Visa and Mastercard access to over 150 million merchants globally. Altera provides access to cross-chain liquidity pools where HBD is the universal base asset. A borrower can move from HIVE collateral to real-world spending in three days using entirely Hive-native infrastructure.
1.3 Who HiveComunityBank Serves
HiveComunityBank targets established stakeholders with meaningful HP positions who want liquidity access without exchange exposure. The minimum collateral thresholds — 50,000 HIVE for standard tier and 200,000 HIVE for founding tier — ensure every borrower has genuine skin in the game and that every loan meaningfully contributes to the deflationary mission. As HIVE price rises, the same collateral produces proportionally more HBD, aligning the protocol with ecosystem growth in every dimension.
1.4 Roadmap: From Proof of Concept to Community Scale
The initial collateral minimums (50,000 HIVE standard, 200,000 HIVE founding) are sized to ensure protocol sustainability during the proof-of-concept phase. At current HIVE price these thresholds produce loan proceeds in the 1,300–5,500 HBD range — meaningful liquidity that justifies the 3-day settlement cycle and structured loan terms. Lower minimums would create operational overhead that exceeds the revenue small loans generate, undermining the protocol's ability to sustain itself through curation rewards alone.
Phase 2 expansion is planned after approximately twelve months of operation, subject to cumulative performance across that period.
If the protocol demonstrates viability across twelve months of operation, a community tier will be introduced with lower minimums in the 10,000–25,000 HIVE range, opening access to a broader segment of the Hive community. Phase 2 will proceed only if twelve months of operation achieves all four of:
- Pool deployment above 50% on average — sufficient demand to justify expansion
- Curation revenue sufficient to sustain manager compensation at higher operational volume
- Zero defaults or security incidents — proven risk management
- Positive community engagement — measured via quarterly report comments and feedback
Note on renewal cycles: the 71-day proposal duration means the protocol is renewed approximately every two and a half months. Phase 2 evaluation occurs after roughly five renewal cycles of operational data have accumulated — not after the second renewal. This delay is deliberate. The metrics that matter (default rates, demand patterns, curation sustainability) require a sample size that fewer than five months cannot provide.
If these conditions are met, the Phase 2 tier structure, minimum collateral amounts, and implementation timeline will be published as a governance proposal with a minimum 14-day community comment period. The community decides whether to expand based on demonstrated performance, not promises.
If twelve months of performance does not support sustainable expansion, the protocol will focus on optimizing service to existing tiers rather than diluting resources across loan sizes that cannot generate sufficient revenue to cover their operational cost.
This is a conservative, data-driven approach. The protocol proves it works at scale with serious stakeholders first, then expands access once sustainability is demonstrated. Smaller HP holders benefit immediately from the deflationary HIVE locking and HBD utility the protocol creates, and gain direct access once the twelve-month metrics support it.
2. DHF Landscape & Strategic Assessment
2.1 The Market Gap
The DHF currently funds infrastructure, marketing, and development. Each category serves the ecosystem but shares a common characteristic — the capital is consumed. HiveComunityBank addresses this gap by treating DHF funding as capital allocation rather than expenditure. The protocol does not spend DHF HBD. It invests it. Every HBD received enters savings and remains there permanently, earning and compounding. The principal allocated today will still be working for the Hive community a decade from now.
2.2 DHF Status (April 2026)
| DHF Metric | Current Value |
|---|---|
| Total DHF balance | 23,256,660 HBD |
| Daily budget available | 232,566 HBD |
| Currently funded daily | 4,596 HBD |
| HCB daily request | 10,000 HBD |
| HCB as % of available daily budget | 4.3% |
HiveComunityBank requests 4.3% of the available daily budget. Unlike proposals that consume this allocation, HiveComunityBank converts it into permanent community capital that generates value long after the proposal period ends.
Proposal Submission Details
- Submission fee: Paid from
account
- Receiver account:
(separate from creator account for transparent fund tracking)
- Renewal: Every 71 days, subject to continued community vote and demonstrated performance
3. Why HiveComunityBank Is Different
3.1 Permanent Capital, Not a Sunk Cost
When the DHF funds a marketing campaign with 100,000 HBD, that capital is gone when the campaign ends. When the DHF funds HiveComunityBank with 10,000 HBD per day, that capital is in savings earning 15% APR immediately, compounding throughout the proposal period. By day 71 the pool reaches 710,000 HBD. Renewed continuously for twelve months, the pool reaches approximately 3,650,000 HBD — earning 547,500 HBD annually. The DHF is not spending this capital. It is investing it in permanent infrastructure.
3.2 The Carry Trade That Benefits Borrowers
| Loan Term | Interest Rate | HBD Savings Rate | Net Carry Position |
|---|---|---|---|
| 3 months | 1.875% | 15% | +13.125% APR equivalent |
| 6 months | 3.75% | 15% | +11.25% APR equivalent |
| 12 months | 7.50% | 15% | +7.50% APR — net positive |
| 24 months | 15.00% | 15% | Break-even on carry |
This carry position is deliberate design. A protocol that is genuinely profitable for borrowers creates long-term repeat participants. Repeat participants build the deep loan book that maximises HIVE locking and curation revenue. The entire system aligns around one outcome: more HIVE locked, more HBD deployed, more ecosystem value created.
3.3 Deflationary Pressure on HIVE
All deposited HIVE collateral is powered up and delegated to
3.4 Built on Confirmed Hive Ecosystem Infrastructure
Zypto — Real-world spending (live since September 2025, DHF funded)
HIVE and HBD load directly onto Visa and Mastercard products accepted at 150+ million merchants worldwide. Pay bills in 120+ countries, top up mobiles in 170+ countries, convert to fiat at MoneyGram locations globally. No external exchange required. The Zypto integration was DHF-funded — the community already voted to build this. HiveComunityBank puts it to work.
Altera/Magi — Cross-chain DeFi (live mainnet)
Altera is the first dApp on Magi, Hive's layer-2 cross-chain protocol. HBD is the base asset in all liquidity pools — HCB loan proceeds deploy directly into BTC/HBD, HIVE/HBD, and ETH/HBD pools to earn trading fees. Magi uses WebAssembly smart contracts, zero-knowledge proof architecture, and validator-managed vaults secured by staked HIVE. Transactions are feeless via Hive's resource credit model.
HBD Savings — The carry position (always live)
The Hive blockchain's native 15% APR on HBD savings creates a structural arbitrage for every HCB borrower on 12-month or shorter terms. This is a blockchain-level feature that makes borrowing from HiveComunityBank mathematically profitable for stakeholders already holding HIVE.
4. Financial Mechanics: The Never-Spend HBD Model
4.1 Capital Structure
- 100% of all DHF-received HBD enters HBD savings immediately upon receipt
- 15% of pool capital is designated as permanent reserve — held in HBD savings, withdrawn on the standard 3-day cycle when needed
- 85% of pool capital is deployable as active loans
- 10% of deployable capital per borrower is the standard exposure cap
- 20% of deployable capital is the absolute single-borrower ceiling
Important: The reserve is held in HBD savings, not in liquid HBD. Every HBD in the pool — including the 15% reserve — earns 15% APR at all times. Capital only leaves savings when actively disbursed as a loan, and returns to savings when loans are repaid. There is no idle capital in this protocol.
4.2 71-Day Financial Projections
The following projection uses a daily drip deployment model. 10,000 HBD enters savings each day and begins earning 15% APR immediately upon receipt.
| Period | Cumulative Pool (HBD) | Savings Interest Earned (HBD) |
|---|---|---|
| Day 71 (end of proposal period) | ~710,000 | ~20,671 |
These projections assume 100% of capital in savings with no loans deployed. Active loans generate additional revenue: every 100 HBD loan at 7.5% produces 7.50 HBD in immediate pool revenue plus ongoing curation from locked collateral HP at
If renewed continuously for twelve months (approximately five 71-day cycles), the pool reaches approximately 3,650,000 HBD generating approximately 547,500 HBD in annual savings interest. These are the long-term figures that inform the Phase 2 evaluation — not the 71-day proof-of-concept numbers.
4.3 Interest Rate Formula & Rationale
Interest Rate = HBD Savings APR × 0.5 × (loan term months ÷ 12)
At current 15% savings APR:
- 3-month loans: 1.875%
- 6-month loans: 3.75%
- 12-month loans: 7.50%
- 24-month loans: 15.00%
The multiplier of 0.5 reflects the pool's dual yield structure. Savings rate covers the pool's opportunity cost when capital is in savings. Curation rewards cover the opportunity cost when capital is deployed as loans. The borrower pays for half; curation covers the other half. If witnesses reduce the HBD savings APR, borrower rates automatically decrease on new loans without any manager action. Existing loans are never repriced.
5. Fee Structure & Lending Terms
5.1 The Single-Fee Philosophy
HiveComunityBank charges borrowers one fee and one fee only: interest collected as a single upfront payment at loan origination. There is no origination fee, no monthly interest accrual, no renewal charge, and no prepayment penalty. The manager is compensated exclusively through curation rewards at
5.2 Borrower Tiers
| Tier | Collateral Range | Interest Formula | Recognition |
|---|---|---|---|
| Standard | 50,000 – 199,999 HIVE | Savings APR × 0.5 × (term ÷ 12) | Standard waitlist |
| Founding | 200,000 – 500,000 HIVE | Savings APR × 0.5 × (term ÷ 12) | Priority waitlist + named in reports |
Both tiers carry identical interest rates. The founding tier distinction earns priority access and recognition, not a rate reduction. Both tier ranges are reviewed annually through community governance with a 14-day comment period before any change takes effect.
5.3 Current Rates at 15% Savings APR
| Term | Rate | Borrower Receives | Max Rebate (Month 1) | Net Carry if Proceeds → Savings |
|---|---|---|---|---|
| 3 months | 1.875% | 98.13 HBD per 100 face | 66.7% rebated | +13.125% APR |
| 6 months | 3.75% | 96.25 HBD per 100 face | 83.3% rebated | +11.25% APR |
| 12 months | 7.50% | 92.50 HBD per 100 face | 91.7% rebated | +7.50% APR |
| 24 months | 15.00% | 85.00 HBD per 100 face | 95.8% rebated | Break-even |
5.4 Early Repayment & Interest Rebate
Borrowers may repay at any time before maturity with no penalty. A partial rebate is returned on a straight-line monthly basis:
Rebate = Interest Paid × (Full Months Remaining ÷ Original Loan Term in Months)
Rebate is paid via HBD savings withdrawal initiated same day as repayment and completed within 3 days — consistent with the protocol's standard settlement cycle. No rebate is issued in the final calendar month of the term.
Example: A borrower takes a 12-month loan with a 500 HBD face value. Interest at 7.5% is 37.50 HBD collected upfront, so they receive 462.50 HBD. They repay in full at end of month 4 with 8 full months remaining. Rebate = 37.50 × (8 ÷ 12) = 25.00 HBD, paid within 3 days. The pool retains 12.50 HBD. Collateral powerdown initiates within 7 days and HIVE returns in 13 weekly installments.
5.5 Collateral Powerdown: What Borrowers Must Know
Important: Hive Power cannot be returned as liquid HIVE instantly. The Hive blockchain requires a 13-week powerdown period during which collateral is released in 13 equal weekly installments. Borrowers should factor this into their planning before applying.
To minimise the gap between loan maturity and full collateral return, HiveComunityBank follows a proactive powerdown protocol:
- Scheduled maturities: Powerdown initiated 91 days (13 weeks) before the loan maturity date. Curation at
- Early repayments: Powerdown initiated within 7 days of repayment receipt. 13-week release schedule begins from that date.
- Defaults: HP remains delegated indefinitely. No powerdown initiated unless the borrower subsequently repays in full.
5.6 Loan Maturity & Default
At maturity, borrowers repay in full and receive their HIVE back:
If the borrower repays the full face value in HBD on or before the maturity date, the powerdown initiated 91 days prior releases their collateral HIVE in 13 equal weekly installments. This is automatic — the blockchain handles the release with no manager action required.
If the borrower does not repay:
The protocol does not liquidate collateral. Instead:
- The powerdown initiated 91 days before the scheduled maturity is cancelled
- The borrowed HP is re-delegated to
- Curation rewards accrue to the pool permanently
- The borrower loses access to borrow again unless they subsequently repay the full face value in HBD
Why this matters for pool capital:
The interest was collected upfront at origination, so the pool is already made whole before the borrower spent a single HBD. A default does not result in capital loss. The protocol's only "cost" is the opportunity cost of managing the collateral rather than deploying it to another borrower — but that cost is offset by permanent curation revenue from the locked HP.
The deflationary benefit of defaults:
A borrower who defaults keeps their HIVE locked as HP earning curation for the protocol indefinitely. This is entirely consistent with HiveComunityBank's mission of removing liquid HIVE from circulation and strengthening network security. From the protocol's perspective, a defaulted loan becomes a permanent HIVE hold that generates yield.
5.7 Complete Lending Terms Reference
6. Operational Parameters, Governance & Security
6.1 Pool Capital Structure
| Pool Layer | Allocation | Purpose | Storage |
|---|---|---|---|
| Permanent reserve | 15% | Rebates, operational liquidity | HBD savings — 3-day cycle when needed |
| Deployable capital | 85% | Active loans | HBD savings until disbursement |
| Per-borrower cap | 10% of deployable | Standard exposure limit | — |
| Absolute ceiling | 20% of deployable | Hard cap regardless of tier | — |
Capital example at 100,000 HBD pool size (reached by day 10 at 10,000 HBD/day): Reserve: 15,000 HBD in savings — earns 15% APR at current rate. Deployable: 85,000 HBD. Per-borrower cap: 8,500 HBD. Absolute ceiling: 17,000 HBD. Annual savings interest on 100,000 HBD at 15% APR: 15,000 HBD regardless of loan activity. By proposal end (day 71) pool reaches 710,000 HBD. Renewed for twelve months, pool reaches approximately 3,650,000 HBD earning 547,500 HBD annually.
6.2 Account Custody & the Shared Active Key Model
The
| Keyholder | Key Type | Can Initiate | Can Cancel Savings Withdrawal |
|---|---|---|---|
| Manager | Active | Yes — all routine operations | Yes — within 3-day window |
| Co-custodian 1 | Active | Yes — emergency use | Yes — within 3-day window |
| Co-custodian 2 | Active | Yes — emergency use | Yes — within 3-day window |
| Owner key (manager only) | Owner | Account recovery only | N/A — not used for operations |
Why shared active key is more secure than multisig for this protocol: Hive multisig requires all co-signers to be online simultaneously within a 1-hour transaction expiration window. The shared active key model instead relies on the 3-day savings window — giving co-custodians 72 hours to review and cancel any suspicious withdrawal at their convenience. This is more protective in practice because it does not depend on real-time availability, and it leverages a security mechanism the Hive community already understands and trusts.
6.3 The 3-Day Savings Security Window
Every HBD outflow from HiveComunityBank — without exception — is routed through HBD savings. The entire pool including the reserve is held in savings at all times. No HBD is ever transferred directly from a liquid wallet balance. No funds can leave the protocol instantly under any circumstances, including account compromise.
During the 72-hour withdrawal window:
- Any of the three keyholders can cancel the withdrawal unilaterally
- Witnesses can freeze the account if compromise is confirmed
- Any community member monitoring the account can raise an alarm publicly
- The borrower can verify their disbursement is in progress
6.4 Loan Disbursement Process
6.5 Borrower Confirmation Memo
On day 0 the manager sends an approval message to the borrower explaining the 3-day window, the cancellation option, and requesting confirmation. The borrower must send the following memo to
"HCB loan confirmed. I accept the terms, control this account, and request disbursement of my HBD loan."
This memo proves account control, creates a permanent on-chain acceptance record, and gives the borrower a natural cooling-off period. If no confirmation is received by day 3, the withdrawal is cancelled and all collateral is returned with no fee charged.
6.6 Waitlist Protocol
- Pool at 85% deployment triggers waitlist mode for new applications
- Founding tier applicants placed on a priority waitlist served before standard tier regardless of application date
- Standard tier applicants served strictly first come, first served
- Waitlist position confirmed to each applicant via on-chain memo
- Applicants who do not respond within 7 days of capital availability notification forfeit their position
6.7 Governance & Parameter Changes
Any proposed change to the interest formula multiplier, LTV ratio, tier ranges, reserve ratio, exposure caps, or co-custodian composition requires the full governance process:
- Manager publishes a governance post tagged #hcb-governance describing the proposed change and projected impact
- Minimum 14-day community comment period — no change takes effect before this closes
- Manager publishes a summary of community feedback and a final decision post
- If approved, change takes effect for new loans only — existing loans are never repriced
- Change recorded in the next quarterly report
Account permission changes require all three keyholders to agree and publish a joint post before any on-chain authority update is made.
6.8 Reporting Obligations
| Report Type | Cadence | Key Content |
|---|---|---|
| Quarterly performance | Every 90 days | Deployed capital, active loans, HIVE locked, curation earned, reserve balance, waitlist depth, defaults, governance changes |
| Annual parameter review | Year end | Proposed changes with 14-day community comment period |
| Loan origination notice | Per loan | Borrower account, collateral HIVE, face value, interest rate, term, maturity date |
| Incident report | As needed | Any cancelled withdrawal, anomaly, or operational deviation — within 24 hours |
All reports published as Hive posts tagged #hcb-report. Every metric is independently verifiable on-chain.
7. Accountability, Transparency & Risk Mitigation
7.1 On-Chain Transparency
Every transaction is permanently recorded on-chain with timestamps and memos. Any stakeholder can verify the protocol's complete financial history in real time using any Hive block explorer, 24 hours a day, 7 days a week, without requesting access from anyone.
- Borrower accounts — confirmation memos, repayments, and powerdown receipts all publicly visible
7.2 Risk Management Framework
| Risk | Mechanism | Protocol Response |
|---|---|---|
| Account compromise | Shared active key + 3-day savings window | Any co-custodian cancels withdrawal within 72 hours; witnesses can freeze account |
| Borrower default | Interest collected upfront at origination | Pool already made whole; HP stays delegated earning curation indefinitely |
| HIVE price collapse | No liquidation mechanism required | LTV at 50%; upfront interest model means pool capital is never at risk |
| HBD savings rate drop | Formula auto-adjusts on new loans | Lower rates make borrowing cheaper; curation compensates for yield reduction |
| Pool fully deployed | Waitlist protocol activates | No new loans until capital freed; existing loans serviced normally |
| Manager unavailability | Co-custodians hold active key | Either co-custodian can pause new originations; succession via governance post |
| Malicious powerdown | 13-week public visibility window | Community and co-custodians can identify and stop within the full 13-week period |
7.3 Conservative Design Choices
- 50% LTV provides substantial price buffer before any theoretical capital risk
- Upfront interest model means the pool is made whole before the borrower spends anything
- No forced liquidation eliminates operational risk of price-triggered selling
- No oracle dependency eliminates the attack surface that has caused losses in other DeFi protocols
- 3-day savings window prevents instant capital drain even in worst-case account compromise
- 13-week powerdown prevents collateral from disappearing overnight
8. Why Stakeholders Should Vote for HiveComunityBank
8.1 The Only DHF Proposal That Preserves Its Capital
Every other funded DHF proposal depletes its allocation. HiveComunityBank is the first proposal in DHF history to treat its allocation as permanent capital — capital that earns, compounds, and remains available indefinitely. A yes vote today is not spending 710,000 HBD. It is investing it.
8.2 Genuine Value for Large Stakeholders
A founding tier borrower with 200,000 HIVE deposits collateral worth approximately 11,800 HBD at current price and receives a 5,900 HBD loan at 7.5% interest. If they deposit proceeds in HBD savings at 15% APR they earn approximately 885 HBD in interest over 12 months against an interest cost of 442 HBD — a net positive return of 443 HBD while retaining full HIVE exposure. These are real numbers verifiable on-chain today.
8.3 Strengthens Infrastructure Voters Already Funded
DHF voters already approved the Zypto integration. DHF voters have supported Magi/VSC development. HiveComunityBank creates demand for both platforms by putting HBD loans into the hands of stakeholders who will use them. Regular loan flows build Zypto usage metrics and Altera liquidity. HiveComunityBank amplifies the return on investments the community has already made.
8.4 Deflationary Pressure at Scale
At 10 active loans with 50,000 HIVE minimum collateral, the protocol removes 500,000 HIVE from liquid supply for approximately 15 months per lending cycle. No exchange listing, no buyback program, and no marketing campaign removes liquid HIVE from circulation as reliably or as cheaply. HiveComunityBank is a supply management mechanism with a lending service attached.
8.5 A Fundamentally Different Risk Profile
Even in the absolute worst case scenario — zero borrowers, zero loans — the pool earns 15% APR on its full balance and returns that yield to the community. The conventional DHF proposal risk — the funded project delivers nothing — does not apply here. The protocol earns by existing.
This is not a grant. It is a capital injection. The DHF's HBD stays in the vault, earning 15% APR, funding loans, and compounding. The HIVE community gains liquidity infrastructure. Large stakeholders gain a carry-positive borrowing facility. The ecosystem gains deflationary supply management. Vote yes to build the Hive ecosystem's first permanent financial infrastructure layer.
9. Contingency Plan
Scenario 1: Full Funding (10,000 HBD per day for 71 days)
- Pool reaches 710,000 HBD by day 71 (10,000 HBD daily × 71 days)
- Deployable capital: 602,500 HBD (85% of pool) supporting 6+ simultaneous loans
- Savings interest over 71 days: approximately 20,671 HBD generated regardless of loan activity
- If renewed continuously for twelve months: pool reaches approximately 3,650,000 HBD earning 547,500 HBD annually
- Both founding and standard tier loan programmes operational from day one
Scenario 2: Partial Funding (loses funding mid-proposal or mid-renewal)
- New loan originations pause immediately upon funding loss
- All existing loans continue to be serviced under their original terms
- All HBD received to date remains in savings, earning interest continuously
- Manager continues operating via accumulated curation rewards from active loan collateral
- Status update published within 7 days explaining adjustments
- Proposal resubmitted for next renewal cycle with performance metrics from partial deployment
Scenario 3: No Funding (proposal rejected or never funded)
- Project does not launch — no community capital is allocated
- Zero DHF impact — no funds withdrawn if proposal never achieves funding threshold
- Proposal creator may seek private capital or resubmit with revised terms
HiveComunityBank's worst case scenario is categorically better than most DHF proposals' best case. Even with partial funding and zero loans originated, the pool earns 15% APR on every HBD it holds. Capital is never wasted. It is always earning while waiting to be loaned out or working and earning by being loaned out.
10. Next Steps for Voters
- Review this proposal thoroughly and verify on-chain details via the
- Visit the DHF voting interface at https://peakd.com/proposals
- Cast your vote for the HiveComunityBank proposal using your Hive Power stake
- Monitor progress through reports tagged #hcb-report on Hive
- Engage with the community by commenting on updates and sharing feedback
HiveComunityBank transforms DHF funding from expenditure to investment. By voting yes, you authorise the creation of permanent liquidity infrastructure that benefits all Hive stakeholders through deflationary HIVE locking, sustainable HBD demand, real-world spending access via Zypto, cross-chain DeFi access via Altera, and perpetual capital compounding.
Support sustainable growth. Vote HiveComunityBank.
Appendix: Key Resources
Protocol Accounts
| Account | Purpose |
|---|---|
| Main protocol account — receives DHF funding, holds HBD savings, initiates loan disbursements |
| Receives delegated collateral HP — earns curation rewards that compensate the manager |
Hive Ecosystem Integrations
| Platform | URL | Status |
|---|---|---|
| Zypto | zypto.com | Live — DHF funded, September 2025 |
| Altera (Magi) | altera.magi.eco | Live mainnet |
| Magi documentation | docs.magi.eco | Full technical docs |
| DHF voting interface | peakd.com/proposals | Cast your vote here |
| HCB reports | #hcb-report on Hive | Published every 90 days post-launch |
Glossary
| Term | Definition |
|---|---|
| HBD | Hive Backed Dollar — Hive's USD-pegged stablecoin, currently earning 15% APR in savings |
| HP / Hive Power | Staked HIVE — provides governance weight, curation ability, and resource credits |
| LTV | Loan-to-value ratio — HCB uses 50%, meaning 100 HBD collateral value produces a 50 HBD loan |
| Powerdown | The 13-week process for converting HP back to liquid HIVE in 13 equal weekly installments |
| DHF | Decentralized Hive Fund — on-chain autonomous funding system governed by HP-weighted voting |
| Curation rewards | HIVE earned by HP holders for voting on content — the manager's sole compensation source |
| Carry trade | Borrowing at a lower rate than the rate earned on the borrowed proceeds — net positive return |
| Upfront interest | Interest deducted from loan proceeds at origination rather than accruing monthly |
| Rebate | Pro-rata return of unused upfront interest on early loan repayment |
| Altera | First dApp on Magi — cross-chain DEX where HBD is the base asset in all liquidity pools |
| Magi | Hive's layer-2 cross-chain protocol using WebAssembly smart contracts and ZK proofs |
| Zypto | Crypto wallet and card platform with native Hive integration — real-world spending via Visa/Mastercard |
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