Probably, some of you have cashed out your Steem Dollars while the market is on their reds, and missed to take advantage of the bullish trend. Do you cashout out of impulse? Out of fear that Steem Dollar's price would go down further?
Having an effective cashing out strategy will help you maximize your Steemit earnings. The following tips are based on my personal cashing out approach. It may have worked for me, but may not be effective for you. Nevertheless, I hope the following points will give you an idea on how to establish your own way of cashing out and I hope that you can apply them to your next cashout.
Knowing the purpose of cashing out. Surely, all of us have different reasons why we wanted to cash out our earnings from Steemit. But before even thinking of converting your Steemit earnings in a liquid state, it is best to have a proceeds allocation in order to avoid exploiting your virtual wallets. Have a detailed list of the things you want to buy or the activities you want to do along with their respective needed amount. Having a plan on where your proceeds should go would help you maximize the earnings you’ve worked hard for several days or weeks.
Set a target of your steemit cashouts (weekly, bi-monthly, monthly), but consider the market timing. To do this, you have to be updated with Steem Dollar’s Price. You can check it at coinmarketcap.com or through an app called Blockfolio. When you see that SBD is on its downtrend, don’t sell out of panic. Consider delaying your cashout a little bit longer to catch SBD at better prices.
Collaborate with a friend to lessen transaction fees. There are two Cryptocurrency exchanges where you can trade your Steem dollars namely Bittrex and Poloniex. Bittrex has a fixed transaction fee of 0.001 BTC, while Poloniex has 0.0001 BTC transaction fee. Though Poloniex has ten times lesser transaction fee than Bittrex, it is proven to be a rip-off exchanger. If you have no trading accounts of these two, I am pretty sure you're doing your cashout through Blocktrades. Though Blocktrades is an instant exchanger, it fails to show the exact amount of transaction fees and the exact SBD to BTC conversion. Furthermore, some people who tried both Bittrex and Blocktrades attested that the latter subjects relatively high transaction fees. Thus, it is best to tap a friend who have a Bittrex account and do cashouts with him.
Set limit, do not cashout all. Always leave some SBDs on your wallet. You’ll never know when will the price rise. So better be prepared by those times and take advantage of the market when it is high.
These are only a handful of tips on how to maximize your Steemit earnings. If you have other suggestions, leaving it in the comment section will be highly appreciated. Perhaps, our fellow Steemians could learn from it too.
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