My choice of stable currency to hold is HBD on Hive. It’s quite easy to set up compared to many , gives 12% APY and it is very low risk.
I’ve been able to bring my total stable portfolio to $3000 hbd. Everyone who’s been following my life here knows that a huge part of my focus since last quarter has been to build myself a solid position in stable coins without breaking the bank. i.e without extensively stalling the growth of my major assets.
But it came at a cost. The implication of the cost was that I was restricted from investing in a lot of other tokens I saw with huge potentials along the way, however looking back now, it seemed like I saved myself from potential loss in value as most tokens are now correcting.
Although most tokens I would have invested in had very nice runs,....but I’m a sucker when it comes to cashing out, once I’m locked into a project and it is performing well, I can very much abandon the money till I’m in dire need of it, which is almost never because I’m a very frugal spender and I’ll rather hit it big than go home with a few change.
One of my major reasons for saving up a stash of stable coins is to hedge a part of the value of my portfolio from price dumps, so that when markets actions like is presently happening takes place I will have options, as capital for reinvestment OR as something to fall back on should I urgently need a cash bail out.
This way, I don’t get to sell my other precious tokens at a low. OR, as retirement plan.
What still fascinates me till this moment is that while I’m accumulating these stables, I’m earning monthly APR at 12%APY on them. So at a savings of 3000hbd, I’m getting 30hbd monthly that could either be compounded or reinvested to grow my position in hive or other tokens I choose. Building wealth over time as @taskmaster4450 wrote about in this post.
If I could for go the potential gains or losses of investing in other tokens for the time being and focus on growing this stash of stables more, then the time will come when the Yield will give me enough capital that will enable me to increase my investment in other tokens.
Beside my major positions in assets such as HIVE, LEO, SEED, CUB, RUNE and Splinterlands Assets, the only projects I’m newly invested in are those that I’ve gotten for free through airdrops and the likes, such as THOR, VYB and some other Hive engine tokens.
I saved a lot during the winter, the only impulsive purchase I made was a Splinterlands Plot of Land I gifted myself as Christmas present, it cost about $800 at the time.
Sometimes I feel I haven’t saved enough stables, but I’m trying not to put pressure on myself or on my major portfolio, the markets could turn around anytime and I would hate to miss any run up. Hence why I’m building slowly. Whether or not I’m doing the best thing. Time will tell. I hope I am though.
Thanks for reading.