Mind Your Pegged and Backed Tokens
We all like to make profits, and many of us are ready to pull profits at the first sign of green.
Historically speaking, when the price of HIVE goes up, the ratio of HIVE:Engine-Tokens goes down just like I wrote yesterday.
But we must remember that all Hive-Engine Tokens are not created equal.
Some of the tokens on our Engine are pegged. Such as the EDS Token. The EDS token is an income token, and each token is roughly worth 1 HIVE.
Because the tokes are backed by the @eddieearner account, it does not matter if the price of HIVE skyrockets, they are still worth, roughly 1 HIVE
Yesterday with the price pump of HIVE, we some that some people took their profits and ran.
Of course this is ok, and even celebrated
If pulling out your EDS tokens and cashing in the HIVE gets you more FIAT than what you invested, and you are using the FIAT actively, than by all means, take those profits and run.
BUT - if you are staying vested in crypto and simply moving crypto around, mind the pegs!
You could end up losing money.
Some of us are vested long term and know that HIVE is going to surpass the dollar eventually.
If you are one of those people, do not sell your pegged tokens. Mind the ratios, count your sats, see if you are really getting "more" of your preferred crypto.
Another token that sold for low was the World-Famous SPI Token
Again, if your goal is to get as much FIAT as possible, and you turned your SPI into groceries, rent or medicine (or whatever else you use your FIAT for) - congratulations!
But if you aren't immediately turning the HIVE that you earned from SPI into FIAT, you may be losing out.
Why?
Because SPI is backed by Bitcoin, and gold, and other investments.
When you own SPI, you own a portion of those other assets.
This one is a little more difficult to guage, because a fast SPIKE in HIVE could mean that the SPI token becomes worth less HIVE (although the FIAT value stays the same - or goes up depending on which assets SPI is HODLing).
The point is, to know what you own, and act accordingly
Some tokens are HODL tokens, and designed for long term growth, and not short term spike earns.
Tokens such as SPI - can be sold back for 95% of the value to the team which runs the token, don't be so rushed that you lose long term money.
This is financial advice - but everyone here is smart enough to know what their personal goals are, and tailor accordingly.
For those of you who sold HIVE - did you sell at the top of the mountain?
Posted Using LeoFinance Beta
I really like this perspective. I've also been thinking of it like, yeah, an EDS token is worth ~1 Hive now, but I'm getting payouts of Hive from it every week, so how many Hive would I get out of it over time if I hodl? The Hive price will fluctuate, that's true, but much like Hive Power, if I don't have an urgent need right now, like paying rent or buying cat food (which is what most of my payouts that I cash out go to), then I try and keep it so that long term I might possibly earn enough to live on from posting, commenting, curating, etc.
Keep stacking!
!LUV
<><
@phoenixwren, you've been given LUV from @metzli.
Check the LUV in your H-E wallet. LUV changes soon. (4/5)
All the passive income is great!
Right? Hive is a nice price now, but it'll be a nice price again, and if I keep all my little drips and curation and posting going, I'll have even more of it in future.
Yeah I've just been trying to maximize what I get from the various tokens and communities and keeping it all internal. I don't really sell much which is both good and bad. You can miss a good price on a token if you never sell but you could also be in a great place in the future if the price booms.
Not passive income with no liquidity I'd im paying you in something you can't redeem for hard currency at the reflected prices it's pointless
Your just passively keeping youself in a roach motel
Got a lot of fire in you man! That's awesome lol.
Is it you and Nicky Havey doing the site? I read a post of yours and one from Nicky, was wondering if it was that British bloke!
Living in America it's kind of brutal with the crypto stuff. I can't do a whole lot anyways without a tax event so I'm just trying to stack everything I can in hopes it will pay off in the end.
I get what you're saying though. If people aren't there buying the tokens then it's a little foolish to do it. The other aspect is that I could put my tokens on hive engine for .2 per token but someone is like nah I'm gonna pay .001 for them. That's not as bad as zero buys but it's challenging in itself.
Lol yes I’ve like been tumbling down this crypto rabbit hole for some time noe I’ve been hacked, been burned, been stolen from, been lied to and it’s all part of the game and what I realised is that Bitcoin is the only one that matters the rest are just venture capital play toys and I’m sharing what I learn for those who are interested
Most won’t care because well shitcoining seems profitable when it’s not but okay everyone has to fall on their ass sometime
Yes that’s right it’s that Nicky, lol we’ve both been orange pilled now and we also realised there isn’t like normal dudes talking about bitcoin all the people I learned from it’s like too technical so we want to offer jusy the average Joe opinion
I get you the US is not going to fuck around they can’t have people making lambo money and not getting a cut it’s starting to come in here US agencies are assisting our local ones to put i. The same measures
It’s one of the biggest reasons I’ve moved to Bitcoin only so I don’t have to worry I can simply HODL and if I must I can borrow against it and if I want to do smaller things I can always use liquid which offers me stable coins access too if I really need it
So I’m pretty happy and running the math on my tiny stack it’s the most cost efficient option based on slippage, taxes and overall chain risk
LOL it was me that dumped that SPI there was zero bid for the token for months so there’s really no point in holding it
Any dividend you get also suffers from a zero bid so it’s a roach motel backing means nothing if there’s no liquidity to redeem
SPI is actively bought back from the spinvest team at 95% of the actual value.
It’s ok though - someone got a great deal - and you did too, stacking sats…
@silverstackeruk I guess it’s time to start paying dividends in HIVE - investors are ready for that.
If that were true the order book would be able to handle $100 worth of sale lol it couldn’t and I was top of the order book for months so I didn’t see any buy back
Oh man, I guess I need to pay more attention. It’s been a bragging point of mine.
If it is backed by Bitcoin and gold bitcoin is up 500% this year, gold is down like 5% on this year but this coin hasn’t budged at all.
In fact it’s been losing value when measured bitcoin as you get less Sats per SPI than the beginning of the year
I looked at the order book and I was just like anything I get is better than the nothing I've gotten over the year
This is one of those coins where the Hive Engine doesn't necessarily reflect the actual price of the coin.
You have to look at the weekly status report to see what the value of the token is.
I did abs I kept it long enough but if what’s reported doesn’t reflect in the only order book available to trade on what’s the point of these reports?
I am just trusting a 3rd party that can say whatever they want
I agree with your feedback, and understand where you are coming from.
The reports are there, but the buybacks not happening, it is easy to see why you would dump.
Thank you for taking the time to respond. This is definitely something for the team to look into.
@silverstackeruk @shanibeer
The buybacks are done through a separate route not through the H-E market, by requesting one from @silverstackeruk - easiest route is DM in Discord. Everyone who has asked for a buyback has received one and very quickly. No other token is offering this.
The 95% buyback is correct, however it is not through the open H-E market, it is by approaching @silverstackeruk directly.
The buy back is different to the H-E market. If anyone wants to take advantage of the 95% buyback, then then the route is to approach @silverstackeruk.
Then why have an open market for it in the first place? When something is traceable with an order book it should reflect the premium offered by the issuer
Why not have an open market as well? Holders of SPI are free to trade with each other and with others that want to hold SPI.
I'm not sure what you mean by this? The HE market is worth what any SPI investor or prospective investor wants to pay. At any time, an SPI holder may get more than the buy-back price and there have been occasions when tokens have been sold for more than the full value. At the same time, there is always the buyback guarantee.
Lol so basically buyer beware disclaimer! I think this a weak retort not that I care I just would like this discussion on chain so that others may see the state of this project and can decide for themselves
Like I sold my tokens on this open market I doubt anyone's going to say oh you sold below buy back rate here's your premium you missed out on
So you pocket the premium
Correct?
This is your choice. The SPI investor who bought the tokens pockets the premium.
Lmao of course it was you, tool! Lol. Gotta take profits man, don't blame you!
LOL I am too poor to gamble on shitcoins, as the situation here deteriorates, 34% of working-age people are unemployed, and if you're under 35 it's up to like 60% so we're fucked royally. I need my value held in something super liquid that's accepted everywhere
With the price of Hive booming all tokens will go through a correction. Let's hope it all goes good.
My worst mistake was dumping my SPI tokens years ago for whatever reason. I forget but I needed the hive for something else, or Steem since it was a long time ago. Mistake! Live and learn though, that’s for sure.
It’s hard to keep track of all the stuff, thankfully not selling it is a good idea in most cases until we figure something out we need lol
aqui mi visita amiga, gracias por sus votos
Gracias por su visita.
!LUV
<><
@petrarodriguez, you've been given LUV from @metzli.
Check the LUV in your H-E wallet. LUV changes soon. (1/5)
amiga casi no entiendo su mensaje expliqueme , disculpe y muchas gracias
Nice post @metzli 😍.
EDS is my favourite token - simple, straightforward, does what it says on the tin.
SPI is a long-term Get Rich Slowly growth investment token, I'm storing that one for the future - I reckon we will all do very well from that.