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RE: You missed the BTC train, then the ETH one? Here is the third one, potentially even bigger! [No clickbait, just super cool fresh information]
While I disagree on some aspects of how HERO is publicly sold as a cash cow (it's not a money printing press), I still do like the technology and economics behind it.
Will it work? Depends! As long as the price feeds are fine, a HERO long position can always settle with the "promised" capital appreciation.
One thing should be clear, the "capital appreciation" of the HERO is paid by someone! It is not free money. It never will be!
All a market does is move for two people to exchange different kinds of value. In case of HERO, the long side experiences a "+5%-ish predictable price stability" .. while the other gets the volatility.
It's up to everyone to decide which side to be on - if at all.
Maybe you're right on the cash cow analogy but the thing is, it's hard not to sell it that way with the system they have set up. It will also attract lots of investors if done correctly. I don't mind this money beeing poored in BTS. More MC, more funds to spend on evolving the platform !
This appreciation is paid by the investors creating the HERO token by shorting it into existence. The ROI on their investment would be so ridiculously high that the 5% on HERO value would be insignificant. But you are right, it's not free money, it comes from traders.
With all the pledged millions they already have, I would be inclined to think the BTS price should logically rise with this kind of buy pressure.
With all that said, these are only my observations and in anyway an investment advice
provided that the token was ever available for purchase at the feed price, which is not guaranteed.