The Power Of Passive Income

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Millions of families around the world will be searching the term "passive income" as many are struggling to make ends meet. Having a passive income is really powerful especially when it is already set up and earning monthly.

Many in Crypto are looking for quick easy money and have no thought for 10 years time as they are all about the now. I know many would take a lump sum over a monthly payment even though they will most likely spend the lump sum.

20 years ago I was offered a lump sum payment in a settlement with a company I worked for and took the monthly payout. I knew that in the future the guaranteed monthly will be far more important than taking a lump sum. I have already received over 30% more than what the lump sum was. It was obviously very tempting as it would have not only paid off my mortgage, but would have paid off another property. Still I have no regrets as for me this was the right decision as having a guaranteed income each month no matter what happens gives you peace of mind.

Many families are searching and looking for a passive income stream right now as the financial pressure is very much on. Knowing we all have a solution
sorted already has given us a head start as there are not many people around these days with extra income to invest into Crypto. With a recession looming there is going to big gaps in the wealth classes with those that have and those that have not. Having crypto will put you into the have category due to the earning potential we know that is available.

This is why I see Crypto portfolios coming into their own as the earning potential is massive. The term "passive" is not really telling the entire story as this will depend on what your needs are. If you are earning $1K monthly from Crypto staking that would be in the majority of countries been seen as passive income. In 5 years time that $1K would be worth far less due to the rapidly rise in the cost of living which is very much on everyone's radar.

The big difference from selling your portfolio against keeping your stake is that your portfolio should be 10 x or more valuable in 5 years time. 10x is the low end as we all know that can happen in no time. I think the Bitcoin and the Pizza story covers that quite well and why settling for an amount is always risky.

If Hive was $10 next year how many users would sell and how many would be happy to just continue on like nothing has changed. I know many who would continue on and I am sure some would power down as they would rather have the lump sum payout. Personally I just see it as selling yourself short as the value is the stake and not the monetary value. The values we see now will be dwarfed by what is still coming and this will be like another pizza moment.

The stake generates the passive income and once you remove that stake growth would be that much harder as there is no hiding Hive from the masses when Hive is at $10. I do understand both sides as for many a $10 Hive would be life changing if they cashed out but for how long?

Having stake in the projects you have selected earning monthly has to be the safest option as the Crypto industry is still so early. The thought of mass adoption and selling out doesn't make sense financially as this is what is going to make you financially free forever.

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24 comments
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Great Post!

!1UP

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Click the banner to join "The Cartel" Discord server to know more!

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Unfortunately there are no guarantees of a fixed income in crypto due to its volatile nature. It's a trap I felt in a couple of times.

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Yes you have, but if you had bigger bags and they were making a steady stream you would be better off now. Having enough stake earning each month is where the freedom comes from.

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true. you can't rely though on a fixed dollar valuation on these yields.

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No, you can't rely as the values being generated are too small only tells you that your bags are way too small. Over the next 3 or 4 years we have the opportunity to get to the point where it is possible even with these low prices.

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If Hive was $10 next year

I think it's a very much possible scenario in upcoming future.
So my current plan is increase my high power as much as I can because it will be very hard to increase HP in future.

It's said that a single decision can change the future of one. And I am taking that decision I think.

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(Edited)

If Hive was $10 next year how many users would sell and how many would be happy to just continue on like nothing has changed. I know many who would continue on and I am sure some would power down as they would rather have the lump sum payout. Personally I just see it as selling yourself short as the value is the stake and not the monetary value. The values we see now will be dwarfed by what is still coming and this will be like another pizza moment.

Pizza moment? You mean someone utilized Bitcoin for exactly what Bitcoin was envisaged?
The whore of diamond hands is always concerned with price, with price action, with cashing out, ie loss of trust as they perceive it. "Don't be a pizza moment moron, cash out when its 100, or maybe 100000, not at 10!"

Why would you trade your stake for anything, take it to your grave you whore.

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I would definitely always take the lump sum payment from a company (assuming it was more or less equal to the total of monthly payouts) for the simple reason that a company could declare bankruptcy before they finished paying you and then you would be out of luck. Then you can take that lump sum and invest it in a variety of things that could provide you a passive income.

If hive went to $10...well, I guess it depends on how fast it got there. If it gradually rises over time I probably wouldn't change my behavior much if at all. If it shot up to that level relatively quickly then I might try to cash out some (half or less) if I could power down in time to sell at that level. My expectation is that a fast increase in price would likely be followed by the price going back down significantly in the not too distant future. Then I would just buy back in.

!hivebits

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You are correct except this company is a blue chip and there is no chance of it going bankrupt and why it was a safe decision. Selling and buying back is different but how many actually do that as most will just spend it.

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I'm glad it worked out for you but at this point and the rate of inflation taking a lump sum payment sounds like a better plan.

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Maybe but it is different strokes for different folks lol. I plan on having such a big payment monthly I won't need a lump sum.

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Viewing crypto as a sustainable income generating asset (like a business in itself), is the next level to this.

Your Hive account or Splinterlands card collection are prime examples.

The future is bright.

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Motivates me to stick to Hive and keep an eye on it, thank you. Are there any other cryptocurrencies that you would recommend apart from Bitcoin? It's 2022 and I'm ridiculously new.

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I agree but the current system is all paid in fiat. Even if you are getting a steady stream of tokens, it may not cover costs if the price of the token is falling. Of course, I think this is only the issue if you are living off your crypto earnings.

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bradley approve 3.gif

This post, the author is just another reason I am on ListNerds. I would never read it, never followed you if I did not find it on ListNerds.

Great post by the way.

!BBH

!ALIVE

!CTP

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Thanks. I need to look into listnerds when I have more time.

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Because this is such an awesome post, here is a BBH Tip for you. . Keep up the fantastic work

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Because this is such an awesome post, here is a BBH Tip for you. . Keep up the fantastic work

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