Miles & More (Lufthansa, Austrian, Swiss, and other partners) - No redemption for Hyatt awards?

Hi,

Is it true that it's possible to collect Hyatt awards on M&M but not to redeem them on the same hotel chain?

You are correct. It looks like you can only use M&M miles for a stay in the Hilton, Marriott and Radisson Blu. However at the rate of 500 miles per stay (sometimes doubled or trebled during a promo) you will need up to 27 stays for one night at a Hilton. Using M&M miles for hotel stays seems like a waste of miles IMHO.