This is the continuation of my journey acquiring a new car. You can see the entire journey log at the end of the page
It is done, the ball has started rolling. In another 18 hours I might know whether I will need to gather around $1033 USD within 90 days for the new car.
Initially I was aiming for 2.5K USD as the down-payment, because something miraculous happened today. Besides my brother mentioned that he is wishing to help 50% of the $2.5K, a good comrade of Christ and a fellow #teammalaysia @danielwong direct message me today and sent me a really blessed surprise in Binance.com that I am currently keeping it there for compounding until 90 days is done.
Therefore after some calculations and hoping that my old trusty "little Pegasus" will be able to fetch a minimum of $300 USD offset loan price, that's the amount that I will need to prepare in about 90 days.
But will crypto be able to play a role to fulfill the remaining down-payment needs, and also the continuous partial loan repayment the next 9 years?
Do note that I actually still have a day job but my cash is reserve for tax, emergency medical fees, mortgage, medical coverage , loan coverage, utility bills and food.
I personally believe it is possible; but that is also because there has been a discipline started since 4 years ago, especially since 2020.
I hope what I have journeyed till this day will be able to encourage someone to think a good few years ahead on the financial needs; be it a car (tool), a home or even medical / funeral expenses (that are unpredicted)
So what is on the table for me to achieve this?
I have about 90 days to come up with $861, therefore, by hook or by crook I must earn about a minimum of $11.50 USD worth of crypto a day to achieve this target!
And this cannot be achieved with only one channel; unless you are an ultimate professional of a single crypto earning income stream.
(like a professional trader / professional blogger / professional media creator for instant)
Unfortunately, I am a jack(lyn) of all trades, master of none kind of person. With a day job to juggle, I have to rely on several discoveries I have throughout the many months since I discovered crypto.
1. Active content creation (requires hard work)
With the help of read.cash, noise.cash and hive.blog, I could have an average of modest $3 a day if I am hardworking; and if my contents are really helping others to improve their knowledge through my discoveries / life, there might be a little extras here and there.
One thing good about HIVE blockchain is that when posts are rewarded a week later, 50% are automatically staked for active compounding curation rewards whenever I choose to support other writers along the way.
However, staked HIVE itself requires 13 weeks of "power down" should I wish to use my staked HIVE, otherwise it would be 50% of the hive.blog rewards that receive in Hive Backed Dollars (HBD).
Furthermore the drawback of HIVE rewards is that I will only be able to benefit around 83 days of rewards should I am super hardworking, providing a post a day is possible.
So if I am even "lucky" enough to get $1 worth of HBD a day, it would only be approximately $83 USD worth.
Even from noise.cash and read.cash, there may not be 100% certain I can obtain remaining $2 USD a day via FT and RW features.
Bottom-line would be: Relying on active content creation (especially for not super popular writers) alone will not suffice to achieve in 90 days.
So what else can I do??
2. Staking (less risk)
Staking is not DeFi, it is about compounding the native coin without Impermanent Loss via farms.
HIVE auto staking from content writing, called HIVE Power is a form of staking; but it is not an automated compounding feature because it requires manual support of content writers and manually harvesting every week.
This is particularly useful if there is enough stable-coins to generate weekly / daily on centralised financial services that provides free withdrawals.
Currently all my read.cash / noise.cash earnings are set to these compounding interest services, though it is maximum around 6% APR (depending on the membership level), $50 USD worth can only fetch around 1 cent a day. It isn't much, but it is still something. Imagine $2 a day is placed in it, it will keep compounding until it is needed.
Even Binance.com has a flexible staking stable coin of 3.5% APY like BUSD, however even if I have $100 I will only get around $3 USD in 90 days.
Not fancy centralised finances?
Since last year I was very fortunate to know about these "native staking" from real-life crypto friends who I met in the SteemFest (blockchain) conference; so far these were the promising staking protocols: MINA, TELOS , PNUT, and NEAR.
$MINA protocol is pretty much idiot proof staking. All you need to do is to keep it in its native chain supported wallet like AURO, and twice a month there will be automated staking rewards banked into the wallet automatically.
TLOS (Telos) and NEAR protocols however are a little more nerdy-friendly, good thing is that I actually wrote my experience before in read.cash where you can just click on the link above to read how my journey went.
PNUT, from nutbox.io actually works on TRON network, and because I started STEEM 4 years ago and already delegated my STEEM Power since 2019, I had the privilege to occasionally harvest its auto mining and change it back to USDT.
The bummer side is that these tactics are usually useful when one starts early dollar cost averaging into the services.
A limited short span of 90 days will definitely not be sufficient. Nevertheless, it is definitely useful for the next 9 years to service the hire-purchase. Staking sites like PNUT is actually very low in value as well and it requires TRON energy to harvest, therefore this is definitely for a long term (9 years plan) thing (provided it can survive for 9 years).
The only good part is that because I started early and have been Dollar Cost Averaging in (DCA), I may have $40 USD a month to move into down-payment, and I must time the price is right and convert into stablecoins before its value suddenly drops no thanks to BTC
What else I can scrape out to fill up the down-payment in crypto?
3. Defi (high yield, high risk)
I know, I know it looks really stretched out to too many protocols and chains, but before I decided to acquire a new car in the brink of my current car is now a timebomb of breakdowns, I already started to test and looking for the ultimate DeFi platform to work on.
The only regretful thing is that due to the market's instability since end of last year, I have lost 50% of my weekly earning portfolio to the point that I now only have about $5.60 weekly; but I am not feeling despair just yet as long as there isn't any rug-pull in those protocols along the way.
4. Games (optional / if have extra time)
Play to Earn is definitely not my active income stream at the moment, but whenever I have a bit of spare time I would play it once a while. Right now I use Splinterlands more for staking than battling since I am still yet to achieve Bronze II to earn DEC as rewards on successful battles, but at least there is SPS available for me to unstake (around 4 weeks if not mistaken) should I realise I am not able to achieve the amount in time.
Diversify is power!
Yes, relying on one type of active income stream is definitely not the answer to achieve the financial goals / overcome hurdles, passive income like Staking and Defi plays as important part as active income stream.
The most important is to pick the right chain promising chain + protocol in order to be able to sustain the passive income longer. Any native coin staking is a wonderful start to generate passive income despite it has a lower yield, but if there's enough conviction that the coin will run far, then it is definitely worth while to set aside some funds to dollar cost averaging in.
How to start targeting a daily income?
Confused? No worries!
This is just a sample visualise estimation starting from ZERO (trying not to count the eggs before they are hatched, but at least this is an encouragement to set that daily target) if active crypto income stream is followed through with discipline; but this is excluding the volatile value that can go up / down every minute.
There is a higher chance for a higher compounding interest if changed to stablecoins; however there is always around (approximately) 20% conversion loss (including transfer fee) along the way if one doesn't know where to find the best way to swap and send over, which can be a HUGE HEADACHE for newbies.
So far to me native coin decentralised staking MINA has a good % of approximately 20.97% APY but it only releases every 15 days; but if you prefer exciting daily updates with a lower APY of 13%, then TLOS on Staker.one would be very interesting, although it is very hard to convert back since it is has very few centralised exchange that listed it.
At the end of the day, either lower risk staking / high risk yield farming, a conviction of the project is very important.
Right now for me, I have no choice but to start my power down from my HIVE account that has a decent amount; but that also means my contribution back to the community if not actively blogging and earning back weekly would be greatly lessen. Nevertheless there are still 90 days to go and I am still waiting for my hire-purchase loan to be approved. I believe they will still do a financial health background check on me to ensure that I will be able to service all my loans without getting bankrupt. In the mean time, no matter how things will happen, sticking to the plan is vital.
Until then
My previous post(s) of this journey
- I have to get a new car... my poor little pegasus is dying
- Planning Ahead. Things Needed to Be Ready Before Buying a Car