Case Study on Bid Botting - A Steemit Bootcamp follow-up module, a cheatsheet and why I probably won't use it

in #education4 years ago

During the Steemit Bootcamp for Underpriviledged Kids last week, on the last day, I felt I didn't explain bid bots well enough for them.

Hence this post.

Module Objectives:

  • Case Study of using a bid bot, complete with screen shots
  • A checklist/cheatsheet you can follow to maximise your profits
  • What should you use Bid Bots for
  • And why I personally won't use it (as much)

If you don't know what Bid Bots are, check out this post I did where I explained to the kids in the most simplest way how Bid Bots work. Beware! It involves an Uncle and a Pizza. :)

Case Study

Bid Bot Name: @jerrybanfield

  1. First thing I did, I went to https://steembottracker.com to see which bot I should bid on.

  2. I looked for bots that has lesser than 5 minutes left in the round. Lesser is better, but you need to be quick. Check #1: Passed.

  3. I saw @jerrybanfield having a profitable bid alert, it has lesser than 5 minutes in the bid round, so I click on Details to research the Bidding Details of the Current Round.

  4. Ignoring the ROI, I check to see if the following formula is true:

    Vote Value = 2.66 x Intended Bid Amount

    For example, Bid of SBD1 = Vote Value of $2.66, or Bid of SBD0.5 = Vote Value of $1.33.

  5. How I arrived at $2.66 is simple. At $2.66 of upvote value, 25% will go to curation reward, 37.5% will go to Steem Power (divided by Steem Price at the time of payout), and 37.5% of SBD, which equals SBD1.

    By getting a vote amount of over $2.66, I know I can make back the SBD 1 that I put in.

  6. So back to the Current Round of @jerrybanfield, indeed the current vote value for SBD1 is higher than $2.66. Check #2: Passed.


  7. Then, I go to the Last Round tab, and see what's the upvote value of SBD1 in the previous round. $3.87. Nice! Check #3: Passed.


  8. I then went to Steemnow.com to check on the bot's Voting Power. You need to make sure it's gonna reach 100% in the next few minutes. Check #4: Passed.


  9. I then take a look at the Max Suggested Bid. This is to make sure I don't bid too much because anything higher than this amount simply guarantees a negative ROI.

    Why? Every bot has a Vote Value, so if the accumulated bids for a round exceeds the vote value, it means generally, everyone won't be making back the amount they bid. They make back lesser.

  10. I picked 50% of the Max Suggested Bid because other people could be placing their bids as well, so the 50% afford me some buffer. And the amount I picked must be more than the Minimum Bid amount set by the bot as well, which in this case is SBD 0.50. Check #5: Passed.

  11. I picked a post that meets the ageing criteria of @jerrybanfield bot, which is 3.5 days.

  12. I took a snap shot of the payout, upvotes and comments. This is so that I can be sure how much was the values BEFORE the bot upvoted on me. As you can see, the pending payout amount was $81.63, total of 35 upvotes.


  13. I transferred SBD 0.50 to @jerrybanfield, and included the post url in the memo. By putting SBD0.50, I need to have an upvote value of at least $1.33 to earn back my investment amount.

  14. I pray.

    Why? So that no one would come in last minute and place a huge bid, thus affecting men ROI.

  15. I checked the payout after the upvote of the bot. Hmph, $84.30, 36 votes.

  16. $84.30 - $81.63 = $2.67. That's 2x of my expectations.

  17. Dance!

So in summary…

Cheatsheet/Checklist:

  1. Go to Steembottracker.com, and pick a bot that has lesser than 5 minutes in the current bid round.
  2. In the current round, check Vote Value = 2.66 x Intended Bid Amount
  3. In the last round, check Vote Value = 2.66 x Intended Bid Amount
  4. Go to Steemnow.com and check on the bot's voting power. Make sure it's close to 100% in the next few minutes.
  5. Take a look at the Max Suggested Bid and place a bid amount that's 50% of that amount.
  6. Pick a post that meets the ageing criteria of the bot.
  7. Take a "before" shot of your payout, upvotes and comments.
  8. Transfer the bid amount
  9. Pray that no one comes in the minute with a big SBD amount.
  10. Check the difference to your payout amount after the bid.
  11. Dance!

So, should you be using bid bots?

I can't answer that for you, but if I'm advising a client, here would be my recommendations:

  1. If you can earn back your ROI, sure, go ahead.
  2. If you have some SBD to spare and don't mind losing some (or more) of it, sure, go ahead.
  3. If you want to "expose" your post by ranking higher in the "trending" part of your desired tags, sure, go ahead. But please understand that you may need to bid a huge amount to get on top of the list.
  4. If you like to gamble, sure, go ahead.
  5. If you saw your sworn enemy placing a bid and want to mess up his/her ROI by placing a bigger bid after him/her, sure, go ahead.

In conclusion, I figured it's actually hard work for small gains. Big gains to those who likes to gamble, but that's not me. (Contrary of the my name, I don't gamble often or enough)

Once in a while, if I wanted to test out my cheatsheet, I would place a bid, but it's not frequent. I realised I got more satisfaction from being right than actually making a positive ROI. Egoistic, I know, right?

Oh yeah, most bots will also leave a comment in your post, which may affect how your readers perceive you.

End of the day it boils down to producing awesome content. I realised with the time I spent on monitoring, waiting, checking and working out the math, I might as well spend it on researching and creating a good post, commenting on other posts, or starting conversations with other Steemians.

I would also rather rely on resteeming service to give my posts a boost in exposure. Sure, the ROI is hard to track on that one, but from the new comments and followers that I get, it's worth it.

What do you think? How's bid botting worked for you?


Wait, why's Mav posting on Steemit nowadays?

Well, unlike other blogging and social media platform, Steemit is the only platform that allows me to earn cryptocurrency when I engage with it. Yup, one Steem is about USD4, and you, too, can earn Steem Dollars every time you:

  • Create content (articles, blog posts, podcasts, videos, photos)
  • Upvote (like) other people contents
  • Comment on other people's posts
  • Have discussions, share opinions etc!

Yup, basically it's the very same thing you're doing on Facebook, Twitter, Instagram etc all along!

The only difference? For once you can earn a nice income on the side!

Sign up for a free Steemit account, and you can thank me by coming back and upvoting this article. And guess what, you will earn Steem too for doing that! #awesome

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Sort:  

Good to know this info if ever needed. OTOH, it feels quite similar to boosting a post on FB.

For a biz, paying a bit to get the message out is quite the norm.

Yeah, it's better than post promotion, but the problem is, the bots won't appreciate good contents.

We see eye to eye. paid bidbots for the purpose of ROI are not something I am fond of. It makes things "unfair" for people that relies on their on quality content to gain rewards and becomes a "money need to make money" scheme where things quickly become competitive and weird.

Now there is a bot tracker, soon some entrepreneurial spirited programmer will definitely come up with a bot that helps choose the highest ROI votes as a service. "Dont trouble yourself with constantly being up to date!!" they'll say.

I rather keep it old-school. even if at my expense.

Totally agree. It's somewhat gambling already. Plus it also makes us feel like a fake sometime.

I mostly use it to get my post to trend more, but that too, I realize need a lot of amount to be successful. After a while, will just give up. :)

One will never know how much has one accomplished by constantly relying on the bots to upvote them and push them to trending. People may think so and so author is doing great for a post but only the author (and the knowledgeable Steemians) know that 80% "rewards" of the post have been paid upfront.

I think for them, their thinking is like, as long as I'm making money, who cares? Hopefully their ROI is met lar. Usually for a bigger amount, the risk of having negative ROI is higher.

The "scarcity mindset", that is true. And yes they will need to bear the risk negative ROI as well as the free matket's reaction to a subpar post having high payouts.

Very informative post!

Man, I personally think that it's one of the best "success on steemit" post. It's really usefull.

I pray.

sure boh @maverickfoo?

I did not use the bot yet because I have no experience or any information I would like to try in the future But I have the information and you will be very helpful, thank you

Such a nice work. I've been searching for how bots work, now this post have given me a clear understanding of it all. Keep it up sir

Thanks! Glad to help.

Great job... I create similar analysis of bidbots although yours is more organize in nature we have the same take on bidbots..

Always nice to be curious :) have a great weekend.

Great post, using bid-based bots requires some research to ensure you are getting some sort of ROI when investing steem or steem dollars with the bots.... good info to share with the Steemit community :)

Experiments indeed! Once in a while I would go in and test out the cheat sheet. But usually to play it safe, the amount has to be small. Somehow the thrill is not as much. It's nice to be right of course :)

Bid-based bots definitely help you rank your post higher and this can be beneficial if you get more organic upvotes to support the post.... experimenting can definitely help improve one's ability to use these bots

Yup, agree. As long as we don't get addicted to it. :)

So true, everything in moderation :)

I had been very skeptical with bid bots although i use it once in a while. This post is very informative, thank you for your insights...

I should think of good contents to post and not rely on bid bots to get high earnings even if my post is of poor quality.

I think it's ok to use bid bots, but it's still no substitute for good content. After a while, you'll realise that the time spent on bid bots is better spent on making new connections. But that's just me. :)

I haven't used bots (besides the one connected to qurator) because it just seems too complicated and uncertain.
After your post and seeing how much work it is I am pretty sure I will stay away.
Also, there are people who will not upvote a post if there is a bot vote on it.

Yes, I agree on the upvote part. It's pretty divided amongst the community now; some are against the bots, others are relying so much on it.

But if you ask me, it's better to have quality contents to fall back on, should bit bots be abolished one day.

100% agreed. I think the ones who don't like bots see pretty awful posts with big payouts... And that is annoying and not helpful for the reputation of the platform.

People may try out and make quick profit for the first few rounds, but bear in mind that gambler doesn't always win. Hardworking is still the key for loyal followers to stay and earn together.

Couldn't agree more.

This post does justice to how much research you have done. It's not just those kids having benefited from you, Im benefiting too.

Thanks @prch! Yeah, I'm learning along the way too.

It is a gamble with many scammers and spammers on there. Until they get cleaned up, it won't be worth it.

It'll be nice to have a Steemit experience without bots. Then it would be fair game. Good content creators will continue to refine their craft, and get rewarded accordingly.

I'm a little divided on bidbots. On one hand, no one needs to be a 'starving artist' anymore. Until steemit has a strong middle class that can do content curation, it is an uphill struggle to get noticed by those few whales. Saw a lot of people with really good posts get frustrated and leave last year.

On the other hand... it makes the spam problem way worse. I just reported like a hundred of them yesterday. Let's see if anything gets done.

It's gonna be a tough choice. Who knows, one day bid bots may be prohibited, and at that time, only good contents will be able to survive and thrive on Steemit. It seems like a good plan in the long run, but we'll never truly know.

In the mean time, I'm betting on having good contents first. :)

Ahh, true so many complicated steps! Totally agreed with you rather spend all those time to look for new inspiration to write than calculate and gamble.

Yeah. And you can be as careful as you can, but it's still a gamble.

Yea true, thanks for sharing.

This post was resteemed by @steemvote and received a 30.13% Upvote

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wow...very good post...i like your post...
thank for sharing....@maverickfoo

Very good writting you .Actually I did not know anything so much that I'm using the new one. Helped with many information .
so thank you very much..❤

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