Stay put, invest accordingly and HODL in HIVE

in #hive-1679223 years ago

As slowly but surely LUNA has been slammed into the ground, the crypto world has been thrown into the turmoil that we experience today.

The current crypto market cap as of today is sitting at 1.27 trillion $, a staggering 0.5 trillion $ lower than 7 days ago, which is basically raising a huge concern for any potential investors in crypto.

The LUNA example really is a notorious one. I truly believe that one day movies will be made of the quite frankly, astonishing carnage that occured during the past week. Billions of dollars lost - but more than money, billions of dreams and hardworked returns of honest and sincere people were lost as well. And this is what I wanted to discuss today.

As I was also one of the people affected by the LUNA demise (albeit with a small loss in comparison to some of the other gigantic losses), it has taught me a valuable lesson. It is just how these things go I suppose - in victory we ravel and enjoy ourselves, but it is in defeat that we learn, adapt and come back stronger.

So, what did this humbling experience teach me as a relatively young and inexperienced crypto-enthusiast?

Well, for starters, one of the most important lessons I suppose is the fact that it really is important that you invest your hard earned money into projects that you are familiar with.

Do your own research. Check out how things work on that particular crypto coin. What are the pros and cons. How is the technology working. What are the customers saying, is the majority of the feedback positive or negative. How strong of a community is there behind the coin?

And it is in this last sentence that I find great relief to be here on Ecency. Fellow Ecencians, on this HIVE-powered network, I have truly met some of the most wonderful people out there. It is for this reason that I think and firmly believe that HIVE's future is shining ever so bright.

Yes, stable coins will take a huge hit due to the UST fiasco that occured, but that is not to say that HBD isn't worth investing in. Think about it: 20% APR + a very easy approach in which you can convert HBD into HIVE and vice versa without breaking a sweat, effortlessly.

And yeah, I know that some would say 'ohhhhh I am not touching crypto anymore, I am better off investing in gold'. But that is not my cup of tea - gold is a game for millionaires I am afraid, and as of today, I am very far off being a millionaire blogger, unfortunately enough. One day, maybe. Perhaps I will embrace the gold as well.

But as of today, I am 100% devoted to crypto investments. Because crypto triumphs over gold due to its many uses and due to the good things that crypto technology is bringing us.

I have no doubts whatsoever that in the following 10 years or so, the gold market cap will increase tremendously. But so will the crypto one.

And most importantly.. so will the HIVE one. It must and it will. I see it as the ticket to my potential millionaire status one day.

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Definitely the amount of times Crypto has crashed. It'll be back when hyperinflation starts hitting. I see now as a perfect time to invested 👌🏽

don't rush! there will be plenty of time to enter the markets. :)

Well said friend @vibeof100monkeys its time to invest

I know have a bit already just a good time to top up 👌🏽

What people should learn from the LUNA event is firstly do your own search. Do not invest with hearsay. Second is to not to invest with your full money or lifetime savings.

I am sorry for the people who committed suicide due to LUNA in my country.

LUNA was such a terrible experience that we have to take every lesson possible along its way in order to avoid a similar scenario from happening ever again.

We learn as we go with the believe that the future will be bright

spot on!

I pray it come soon @fredkese

Am sure this is a blessing in disguise for some and its a deep disaster for some,but we have to keep hope alive for better days,let's invest now and save up some hive @goddesseva

we will come back stronger!
Still we rise.

Sure can't wait @goddesseva

HBD is the way to go when it comes to stablecoins, and each day there are more ways HBD is being made more attractive to people. The biggest problem for HBD is liquidity, especially outside the Hive ecosystem, and this is being addressed by liquidity pools being set up at PolyCub which feature pHBD (Wrapped HBD on the Polygon (MATIC) network). In-house, liquidity pools for SWAP.HBD exist at Tribaldex. Then there is the 20% APR for HBD kept in Savings. HBD also has protections and safeguards to avoid the LUNA-UST scenario (namely the 10% haircut rule and the 3.5-day wait to withdraw HBD). Nothing in crypto is 100% safe, but HBD is as close as safe can get.

While DeFi has a reputation for rug pulls and making people get REKT, the team which developed Cub Finance has proven itself to be trustworthy. If you stake LEO, then going with CUB for DeFi on BSC is a logical next step. Although the CUB price had been dropping like a knife in reent weeks, that was because the development team had been testing new concepts at PolyCub. Once these have been worked out at PolyCub and they are proven to work, these features will be retrofitted to CUB. Then CUB will go back to its winning ways. It feels like sucking air right now, but long-term I feel good about CUB (Hive's entry in the DeFi space).


As for gold, it's true that it's a game for millionaires. However, it's also true that it's a game for regular people. How can this be?

There's paper gold, then there's physical gold. Paper gold is futures contracts, financial instruments, mining stocks, etc.-- anything which is highly regulated. Just for this reason it had become a game for millionaires: high barrier to entry.

Of interest to us is physical gold. This includes both jewelry, bullion, and coins. Entire cultures have been based on physical gold, even to this day. Jewelry is a bit different from bullion and coins, so I won't get into that. As for bullion and coins, these can be acquired at small enough quantities to make KYC unnecessary provided you walk into a shop or dealer. Even if KYC cannot be avoided, you can buy quantities of gold which fit your budget. 6 Troy ounces of gold can be bought during the course of 1 year; that's 1 Troy ounce every 2 months., and using DCA you can get smaller amounts more frequently. Do this for several years, it can replace one year of salary or income.

The key here is to buy from a shop or dealer who has a store you can visit. This allows you to keep things at a lower profile.

This works even better for silver if gold is still a turn-off.

Even better: the dealer will buy back. Not at the original price you paid (due to premiums), but close to spot price. And if you know people who accept physical gold as payment, you can do peer-to-peer trade or payment.

The point here is that even people like us can acquire metals with minimal hassle; we just focus on physical gold while the money people stick with paper gold. Small and regular purchases using DCA can do wonders over time.

such a lovely read! thank you for your precious feedback!

You're welcome! Many people into crypto dismiss precious metals, but they have their place in anyone's portfolio. They also serve as wealth protection in the event that assets based on fiat currency become worthless (which has happened). At worst, they can be used as money in the event that technology gets fried due to natural events (coronal mass ejection from the Sun) or man-made events (large-scale electromagnetic pulses).

A good write, congrats!

Gold or silver?

Gold is not taxed yet harder to be used in small quantities.

!invest_vote

Thank you. I just wanted to show how either (or both) could be acquired as small-scale purchases for people on a budget.

Gold or silver? More like gold and silver. Silver is easier to acquire, but gold is more portable. Just as with adding liquidity to a diesel pool, the fiat currency value should be 50/50 for both. Or just buy as availability permits. What matters is having them in amounts large enough to be equivalent to 6 months to 1 year of salary or other income at a minimum.

When it comes to tax implications of either, I don't know enough to address those concerns.

It's possible to purchase gold coins or bars in weights of 1 ozT, 15g, 7.5g, 5g, 2.5g, 1g, or even 0.5g. However, the smaller the weight the higher the premium when it's calculated for a weight of 1 ozT.

Silver will be far easier to acquire. As a bonus, appearance doesn't matter: dirty-looking silver is just as valuable as clean-looking silver. Silver coins would be the best bet, and in Europe the selection is most likely more varied that what I see stateside. Whether it's minted as Italian Lire or Swiss Francs, what matters is the weight of the coin and purity of the metal.

Silver can also be purchased in bars of 10 ozT (or a similar size in metric weight). Per 10 ozT bar they are cheaper than 10 ozT in coin form. They also offer less return at time of sale for cash.

Gold and silver coins can also be purchased as certified numismatic items; you pay extra since they are collectible, but they retain value better than raw coins.

Thanks for the explanation. You are right about diversifying your assets.

In past, I did hold a bit of gold in bars, measured in grams. I sold it and bought crypto :) Maybe it's time to reverse the transaction.

!invest_vote

The prices may look bad now, but I have a gut feeling that things will only get worse by next year. Stick with the crypto you have, but divert what you get from "bonus" crypto into the metals. Whatever you can spare from crypto without hurting your own plans, divert an amount you're comfortable with toward the metals. It's like I tell people at LeoFinance: It's not "either...or..." but rather "both...and...".

@ervin-lemark denkt du hast ein Vote durch @investinthefutur verdient!
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@ervin-lemark denkt du hast ein Vote durch @investinthefutur verdient!
@ervin-lemark thinks you have earned a vote of @investinthefutur !

Yes, I do :)

You are right, mostly. Luna was way too much hipe to be sound and (relatively) safe to invest in. Run away from hipe coins.

On the other hand, the time to buy is NOW! Everything is so cheap :)

@tipu curate

don't rush! imacemo vremena kad cemo morati ici u shopping :)

😶😶😶

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In crypto you learn to earn, when you try to earn before learning you suffer and learn in an hard way. Crypto is all about learning and improvement.
The basic truth is that Luna glory days is over,no one will want to invest in a faild project.

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absolutely true.

Hmmmmm,to be realistic crypto days like this is part of the business but nobody want the bad day, better days ahead @zeezee25