Now you've been paid in Steem Dollars - what should you do?
So it's Steemdependence day. Your Steem account is looking rosy, you have a pile of Steem power & lots of Steem Dollars. Now you feel rich - what can you do?
1. Cash out (not recommended)
I wouldn't recommend this because the markets are very thin at the moment, and you won't get very good rates. You can probably cash out a few hundred dollars if you need it.
You need to convert your Steem Dollars to Steem, Steem to Bitcoin, then Bitcoin to cash
The quickest way is to go through Steemit's internal market. Then place an order to buy steem with your Steem Dollars. You can either take a current price, or place an order.
For the next part you will need a bitcoin wallet if you have one. (Although you can skip this step, read on)
The next step is to exchange Steem into Bitcoin.
There are a few places you can do this, but the quickest is probably through Blocktrades Send the steem to the address is says, and enter your Bitcoin wallet's receive address.
Then you can exchange your bitcoin into cash, or bank deposit (or other means) with something like LocalBitcoins.com.
LocalBitcoins has a wallet function which means you can send it Bitcoins from your Blocktrades exchange.
It's a bit hassley and difficult as the market is so illiquid now. But it is possible.
2. Convert your Steem Dollars into Steem now -> Then power up
Alternatively you can use your Steem to power up. This is probably the better option, as you're reinvesting in the site.
The question is whether you convert your steem dollars into steem now on the market, or wait for it to be converted through Steemit's conversion mechanism which takes a week.
I believe that at the end of the week, your steam dollars will be converted at the average rate on the exchange.
Personally, I think the value of Steem is going to keep rising, so I decided to convert my Steem Dollars into Steem while the rate is cheap. The USD value of Steem is up 67% today.
I'm powering up.
3. Hold your Steem Dollars as they are
Alternatively you can keep your Steem Dollars as they are. They should keep a fairly static value to the USD and also pay 10% interest. You can hold onto them until the market is more liquid. Then you could cashout or still power-up.
Hope that helps. Let me know in the comments if I've made any mistakes