Resolutely HODLing (sold nothing! šŖ) all of my "crypto" investments since August 2017, my first experiences with DeFi have changed my mindset!
Photo: @roleerob's new "horsie" in Rocky Mountain National Park,
with famous "fourteener" Long's Peak in the background
What you might ask (as you look at my new car ... š) changed my mind? Prior to the last couple of months, I had maintained my "long-term investor" stance that I would not sell my collection of "tokens." I only resolutely added to them, during all of the inevitable "dips," while "riding the waves" of the crypto markets ...
If you are an OG (acronym picked up from @onealfa ...) investor like me, ask yourself "wen" is that going to change? Very simply and succinctly put, here are 3 questions to ask:
Why are you HODLing?
When will that change?
What will compel you to make this change?
These are very basic, but vitally important questions to answer. And for your own peace of mind, you need to answer them for yourself. No one can do it for you ...
The disruptive, transformational power of "crypto" has been written about extensively, often with a bit of a negative "spin" or least an apprehensive one. In this post, I will answer these questions and do so with a positive "spin" ... š
Let's take a closer look ... š§
"Fundamentals" of a Life-Changing Decision
There are two fundamental decisions I have made, in this life-changing time of my life. I hope, dear reader, you will find some value in reading about them. And that they might offer some "food for thought" for your consideration, as you work through answering the questions above for yourself ...
Still HODLing ...
My "why" on HODLing has been my strong belief that blockchain technology has a disruptive, transformational "power" inherent in it. And that "power" is unlike anything I have seen in my lifetime. Based on that belief, I have always intended to HODL, until my investment into it reached a value linked to "my number." An oft-cited reference made by financial advisors ...
So ... I am not "there" yet. That is, I have not reached "my number." Yet ... Nor do I expect to for the next 3 to 5 years. At which point I will most likely "cash out" and "retire" again š ...
What? I thought you just said you had stopped HODLing and sold some MIM ("Magic Internet Money") to move out of the cloud.
No ...
What I am doing is selling some of my DeFi "farming yields" and reinvesting the rest ...
That is to say ...
I have sold
none
of my "principal" ...
none
of my "principal" ...
In fact, my "principal" is continuing to increase, i.e. the number of tokens I have is actually growing, not shrinking ...
In other words, very succinctly and simply (as I have written about before ...), I have set up my "money to make money," rather than simply HODL it ... And, as a result, to finally start enjoying some of the "fruits of my labor" after almost 4 years!
Great, so how have I gone about actually getting $$s "out of the cloud" and into my life to make some transformational differences?
Getting $$s out!
There are a lot of options here. Mine? Here is a brief outline:
- Use DeFi "swaps" to exchange yield tokens for LTC! LTC transactions are a bit slow, but they have never failed me yet. And they are very inexpensive, from a fee point-of-view.
- Move LTC across the Binance Bridge to my Ledger-backed LTC wallet, for long-term storage.
- Out of those "savings," move short-term "cash flow" LTC to Gemini.
- Set up exchange limit orders with 20% low, 20% mid, and 60% high limit prices, to convert to USD $$s.
- Move these "fiat" $$s, via ACH transfer (free ...), to my linked financial institution (in my case, I stay as far away from international banks as possible and dealing exclusively with credit unions, i.e. member-owned financial co-ops.)
Diversification is already being worked on, e.g. Polygon-based ...
Posts could be written about the above, but this should give you the general idea. If you have any questions, please place them in the comments below, and I will be happy to do what I can to answer them.
Photo: Mountain sheep viewing stop, with Old Fall River canyon road in the background,
at Rocky Mountain National Park
Big Picture
While enjoying the transformational benefits of my new "cash flow," there are lots of considerations with which I am dealing every day. Again, here is a brief outline:
- Sustainability of the yield ... DeFi's "magical" APRs are consistently changing ...
- Safety of the yield ... "Rug pulls" and "flash loan exploits" are now becoming a part of our regular jargon ... I apply the old "if it is too good to be true ..." principle in my own DeFi platform selections. Attempting to steer clear of problems, the best I can manage ...
Note: Ever wonder why all of the "high profile" losses seem to mostly be on BSC? - Applying another old principle, I do not have all of my "eggs" in "one basket." All of the so-called "ETH killers" are in competition with each other, so you have options. On top of these competing platforms, you find many DeFi "copy and paste" options "inside" each of them ...
- What if ETH "gets its act together" and blows away the competition? I personally believe competition is vitally important to the future and the long-term success of this asset class ...
Let's face it! Investing in this asset class is not easy. And it is (very) risky. Why do it all?
My answer? Because ...
Countries are destroying their
š² currencies š²
through inflation ...
š² currencies š²
through inflation ...
If you are simply trading your time for money, which is the case for the vast majority of people, you are almost certainly falling behind, i.e. wage increases are trailing rising prices. And I anticipate it getting steadily and relentlessly worse ...
I have no desire to be "rich." I absolutely have a desire, however, to maintain a fairly modest standard of living and not become poor, through the destruction of my hard-earned money. To achieve this, I believe ...
most people are placed
in the unenviable position of having to learn
to "speculate" successfully
in the unenviable position of having to learn
to "speculate" successfully
And that, dear reader, is why you and I ever "met," in the first place ...
So ... We race (faster and faster ...) through life and try to do the best we can, under the circumstances.
I believe a major key to what is written above is competition. Many of us have negative thoughts about competition. And there is no question there can be "unfair" competition which hurts us and others.
But ...
Competition is vitally important. Teams of highly skilled individuals are constantly working together in this new asset class, for a "better tomorrow," and we do not want that to change.
I may write more on the vital importance of competition one day, as I have a lot of experience with it ...
What @roleerob?! š² A Civic? š But, but ...
Yeah, well ... Gotta live your own life in whatever way seems best to you. Amirite? š
Photo: Overlook into Horseshoe Park in Rocky Mountain National Park
Even if I had the money (and I do ...) to purchase a Lambo, I simply have never and will never do it! "Value for money" is simply not there for me. And I think there are far more "profitable" ways to spend the resources with which the Good Lord has blessed me!
The purchase of this car is actually the third highest priority, life-changing decision I made in the last couple of months (per the above details, in this post).
The first? Letting my beloved lifemate know I wanted her to stop working. To retire! š„°
The second? Carrying out the long-anticipated remodel of our home! A promise kept to someone ... That lives around here somewhere ... š
But ... These decisions are far more personal and of a nature that I will not be writing about on this blockchain ... š I thought instead I would just "go with" the image here, as it ties in nicely with the "wen lambo" you read about in others comments all the time ... šš
Closing Thoughts
The American Memorial Day holiday weekend is just getting underway. While bordering on sacrilege to compare the "crypto wars" to anything related to it, I will ask for your forbearance, dear reader, and let you know why I would like to draw a bit of a link to close out this latest "POL" post:
- In fighting a war, you have to believe. In "the cause" ... And, to survive, it better be a strong belief!
- You have to persevere through great difficulties to achieve it.
- Hopefully, you live long enough to experience the "thrill of victory," rather than the "agony of defeat" ...
To have reached this "milestone" on my "journey" - beginning to move MIM ("Magic Internet Money") down "out of the cloud" or "cryptosphere" out into "real life" - has truly been transformational.
Already ... And I have only been at it for 2 months ...
So ... I have lived to see the day arrive of achieving some of my objectives when I original chose to invest in this remarkable asset class. I hope one person's "success story" will provide you some encouragement, dear reader. Investing in crypto is not for the faint of heart, so we all can use some.
But ... It can and does pay off, if you can "ride the waves" and not give up.
Iād love to hear any feedback you may be inspired to provide.
Until "next time," all the best to you for a better tomorrow, as we all work together to build up our Hive Communities and add increasing value to our Hive blockchain! š š
Respectfully,
Blogger @roleerob
Hive "Dolphin" š¬, LeoFinance "Whale" š, & Man Cave "Dragon" š
š šÆ š
P.S. I am not a financial adviser. Please consider this post as financial information and / or opinion only. Please perform your own due diligence, in whatever manner you seems best to you, if you have found it to be beneficial.
š² No trees were harmed in the publishing of this post! š²
Interested in reading more of my related posts?
| Lead Image | Title, Link, & Summary |
|---|---|
 |
Cub Finance: DeFi for the Masses! š
Launched on 8 March 2021, this post talks about Cub Finance and the door it opens up. And for many who have never experienced the economic power of "DeFi," to consider getting involved in it! |
|
|
Is the Future Bright in Hive's "Second Layer?" Less than 2 months after my first post on making a decision between further investments in LEO and / or BRO, I wrote this follow-up. On the decision to continue to invest in both! Details why I am glad I did! |
 |
"Macro" Trading! A Success Story? Not a trader, by any means, this post details the success I enjoyed in "macro" trading for 5,000 HIVE tokens, from Steem blockchain powering down revenues. |
 |
Money Goes Where Treated Best!? With a decision to make re: where to invest future funds, in choosing between BRO and LEO, I take a closer look at this well-known bit of investment advice. Should we consider whether it really holds true for the Hive blockchain? |
 |
š² Your Money Making Money! š° Sound Good? How can we apply the "eighth wonder of the world" to the new BRO token of the relaunched Man Cave community? This post addresses that question, along with touching on some of the vital discipline needed for financial independence. |
LeoFinance: A Hive blockchain community devoted to investing!
Discord: Engage with LeoFinance's Online Community!
Check it out!
This account is protected by @dustsweeper