Bitshares and the Power of the Smartcoins - How we can Leverage with bitUSD to buy Low when a Market Dip Happens
Hi Steemians,
In continuation with yesterday's post about The Benefits of Start Using Bitshares , today I will give special focus to the Smartcoins.
The Power of the Smartcoins
Smartcoins is one of the many services that Bitshares provides. Some of the most important are: bitUSD, bitCNY, bitGOLD.
The great thing about smartcoins is that they are pegged to the price of the real asset as much as possible. For instance, 1 bitUSD is pegged to 1 USD.
The main advantage of this, is that it permits to create an ecosystem with less volatility for people and companies that are willing to accept cryptocurrencies in their businesses, but do not do it because of the strong volatility that exists in the crypto world today.
How we can Leverage with bitUSD to buy Low when a Market Dip Happens
On a situation when their is a crypto market dip, like the recent one were BTC came from 19,000 to $6,000 in about 1 month, smartcoins can play a very important role.
If we got to sell some of our crypto when the price was high, lets say we sold 5% of our crypto portfolio to bitUSD when BTC was at $19,000 , then we can say we have locked the value in USD of a BTC of 19,000 in the bitUSD, so when the market dips to $6,000 (in this case), you are able to buy aprox. at 1 third of the price you sold. You are getting 3 btc for the price of 1. Isn't that magic?
This happens thanks to the smartcoins, since you can leave a trigger to buy or sell as on any centralized exchange. The advantage of doing it on Bitshares, is that you do it with your own wallet, and no third party has control of your account.
Have you already registered an account with Bitshares ? (This link will let them now I referred you)
Hope all this information was useful.
Regards, @gold84
--
Note: This post and all of the posts I make are NOT investing advise, and it is not a motivation to invest. Its just my research and opinion on the Apps. As always DYOR (Do your own research).
Thanks for the tip @gold84! I've missed out on these opportunities, but would like to try and get into some bitUSD on the next high. Sure would have been nice to sell high and buy back at lower prices.
Yes @dirkboy there will be plenty of chances in the future. This will continue until massive adoption is achieved and many more people own a part of each cryptocurrencies.
Great this is helpful for you!
Regards, @gold84
Bitshares is awesome...no one can beat his speed