My Mindset Has Been Been Wrong About Steem All This Time
Oh hi,
Ever since I’ve started posting on the Steem blockchain I was always at a loss to how to spend my earned Steem. At the start all I did was power up 100% (which in hindsight was the wrong decision). See I started Steemit in December 2017 which everyone knows was pump station on steroids for cryptocurrency. Prices were soaring everyday and in January 2019, Steem climbed to over $7 USD. So I always thought that the price would go up. I WAS WRONG.
Granted, I am sort of glad I kept all the Steempower because it forced me to commit to this long term and make some rad friends along the way. But I couldn’t help but think of the money I missed out on that could’ve went to my school debt. Debts are something we all avoid and want to forget about. My whole mindset has changed now after reading and consuming a lot of the best financial investors/advisors in the world. They all have very different outlooks on school debt, but all came to one decision. You shouldn’t owe anyone money.
After the big crypto price crash (I think we’ve bottomed out last month) I panicked and started spending my Steem like it was imaginary money. As of right now, I’d still say Steemmonsters and Drug Wars was worth the ROI. But I was mainly investing for support and the thrill of something new - crypto gaming.
I noticed I lost a lot of money trading SBD to Steem when I was only getting back a third of my SBD in Steem. If I held, I not only would be able to convert it so I get triple the amount of Steem for my SBD, but mid 2018 had a 5-10 hour window where SBD soared to about $7 USD. To put it simply, I held 1000 liquid SBD for a long time anticipating this could happen, but converted it a few months before that big miracle pump. That 1000 SBD would’ve been $7000 USD or $10000 AUD which is nearly half of my school debt.
Hindsight and living in the past is crazy, all my decisions have led me to something greater so here’s my new mindset. I hold and take out increments of Steem/SBD to fiat when I need it. I’m not going to invest anymore into crypto games and they seem to never actually return the money unless you’re lucky and get in early. I’m mainly waiting for the prices to go up so I can attribute some of it to my school debt. It would be FUCKING BOSS to say that I paid off some of my debts with crypto.
I literally imagine that the floodgates will open when my debt is paid off and I no longer need to check my bank account anymore. That’s true financial freedom for me.
I CREATE CONTENT and that should be rewarded and I shouldn’t feel bad about how I spend it.
Question - How do you spend your steem?
Kevin
Great write up
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Thanks, boss!
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I'm 100% in Steem Monsters. Although with Steem going up it's a great time to sell and then buy back cheaper later :-D
You're doing well for Smonsters. Fly the Aussie Flag!
Totally agree, a few whales questioned me when I was selling steem from Jan - Nov in 2018. I sold a lot of sbd also and took my gainzzzz. Never feel bad taking profits 😎
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Yeah, it's very important to reward yourself regardless of price. It's like dollar cost averaging but taking money out rather than investing haha
What's the interest on those loans?
You can make 2%/month leasing out your SP; so unless you think the steem price is going to drop, or the interest on your student debt is more than 24% per year; keep the Steem, but keep it powered up.
It fluctuates with Hecs. I'm not a fan of delegating so much. I'd rather figure out new ways to earn steem on Steemit.
I have a goal of finish the debt before Jun 2020. But I'm pretty aggressive with it so I'm aiming to pay it off by the end of this year. Fingers crossed!
I wrote a defense of paid delegations, although its quite old now. https://steempeak.com/steemit/@mattclarke/deliberations-in-defense-of-delegation
but its not for everyone.
There certainly are more ways to earn now than there were.
It's a great feeling to be out of debt; but remember the dollar is worth less over time.
If you can borrow $100K at 5% per year and earn 10% per year using the money, you're up $5K.
Nice one!
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Thankfully, I’m in profit with drug wars now. That’s the only game that I’ve spent any real amount of Steem on. I won’t be putting any more into games either.
That’s a great idea to convert to Fiat periodically.
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It's a nice experiment with crypto games ultimately no one's yet to crack a system where we get earn money on a regular basis that doesn't dwindle overtime.
Take profits only when you need it!
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I’ve decided to start buying steem monsters booster packs for myself and my youngest every weekend. Me just because and for the youngest if he completes his 5hrs of “school work” each week.
I cash out when I feel the need to but last time I felt the need to was last year sometime when I hit my target to buy my steemcats (not to be confused with that eth game, and a post is still forthcoming on that...eventually 😆). Who knows when the next time will be.
If it’s any consolation I’ve always done 50/50 and never traded or converted unless I had a specific reason to 😆 but I don’t have the brain for that kind of thing.
Only thing you can do with your 20/20 hindsight is learn for the future right 😜
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Exactly. Steemcats sounds like a good ball of fun but probably costs a bit of steem eh haha
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Dollar cost average it man.. accrue little bit every month...no one can time the market to invest at the perfect time !!
for sure!
I delegate and earn interest from it. My aim is to power down when I will earn daily more than the power down would give me so it keeps getting up. It's a long term strategy. hope it works out. I invested little money so it's fair game. the rest is only money earned from interacting, creating etc on the platform.
Nice. In 10 years from now it will workout great for you
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'tis the plan because I have hardly anything for retirement so any easy simple way to add up is welcome, even more when it doesn't require huge amount of money or time now. If I can have a 1000$ every month from it, (or equivalent by then in terms of cost of living), I'll be happy.
man i’ve spent so much on drugwars lol it’s rough. and i don’t think i’ll be in the green anytime soon. but i’m having a blast playing it.
me myself. i’ve been sitting on my sbd. and using my liquid steem to buy @steembasicincome units for people who come to my blog.
other than that. i’m stacking man. holding for the long run.
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Solid plan. Sbi does look pretty sustainable
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yeah. it’s pretty cool. big win win for everyone.
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I spent like $50 bucks for a dtube fitness promo and that's about it. Don't even know how to cash out. lol. JK. All my steem has been transferred to steem power. My upvoting system is working really well and I happy with those gains actually. I'm loving the upticks we've had this month. Good bye crpto winter and hello crypto spring!
Oh how I miss u and Mr yes yes @gisi haha. Hello pump prices again!
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