The available payout options for post rewards on the Hive blockchain

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Hive blockchain is fueled by content creation, curation, and engagement while aiming to build communities around a common interest and ultimately create new projects which help with the growth and development of web3 technologies, but not limited to them. I see it as a technology and crypto finance hub where dreams can come true with the power of communities and a great user base from here. Most of us start as content creators on this platform and we can grow from here into real businesses and crypto projects with their own identities and even cryptocurrencies on the second layer.

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As content creators on the Hive blockchain, we have a few options regarding the payouts for the post rewards. The choice between the available payouts can be a dynamic and difficult decision, which might need to be adapted based on the market cycle and other considerations from one user to another. Each of them has advantages and disadvantages and one might need to strategize when picking one or the other. But let's see what options we have with some thoughts about them that might help others choose what best suites them.

50% HBD and 50% Hive Power

Choosing 50% HBD and 50% Hive Power for the post reward means that we'll receive half of the rewards in Hive Power and half in HBD. This option is great as it offers also a liquid asset in the form of HBD algo-stablecoin, which be easily used and converted into other assets. Additionally, HBD is pegged to $1 worth of Hive, making it less volatile than Hive as a constant quantum of it. However, the downside of this option is that Hive Power will grow slower, thus less curation rewards through upvoting and fewer airdrops (like it happened with Speak Network and Ragnarok).

100% Hive Power

Choosing 100% Hive Power for the post reward means that the rewards will be received entirely in Hive Power, which is essentially the stake an account holds in the Hive blockchain. This option is excellent for those looking to increase the voting power on the platform, as the Hive Power will grow with each post made. Additionally, having a higher stake in the platform gives more influence over decision-making and community governance. However, the downside of this option is that we won't have access to any liquid assets like HBD, thus we cannot play or trade the market when it spikes.

Burn

Choosing the Burn of the post rewards means that you forfeit any payout, but the rewards will be burned and help lowering the supply, thus deflating Hive. This is a good mechanism to have and there are people burning rewards even from whales and other accounts as a mean to fight against the inflation (if that is needed in these times).

Decline

The Decline payout option can be used when you don't want to receive any post rewards. Votes will affect the post's position on the trending ranking but no rewards are paid from Hive's reward pool. Replies made to the post are still eligible for rewards.

Donate to Hive fund

The Donate to Hive fund payout option transfer your rewards towards the Hive Development Fund, from where proposed projects on Hive are being supported and paid out. This fund is the one responsible to sponsor projects to come to fruition on the Hive blockchain or for maintenance purposes and it plays a big role in this blockchain evolution.

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These are the available payout options for post rewards on the Hive blockchain and I must say that I am using the 50% HBD and 50% Hive Power in order to grow my stash of governance tokens (HIVE), but also get me some liquid assets like HBD that I could easily use on the market, to cash out or deposit them for passive revenue in the Savings account, which is giving a sweet 20% APR. I wonder if you are using the same option or if you found more benefits in a different one.

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16 comments
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50/50 is a great way to "build and earn" simultaneously. I usually make use of this option, unless HIVE is heavily discounted.

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Having some rewards liquid is imperative in order to be able to grab opportunities from the market. A long time I was using 50% HP and HBD, about a week or so I've switched to 100% HP as the Hive price is still low, but now I am missing the liquid portion and have switched back. Equilibrium is necessary and useful to be able to adapt to a volatile market.

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Those HIVE pumps are basically a guarantee... depending on your liquid allocation, one can actually gain a lot of free HIVE within hours!

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I think a 50/50 split of rewards is a very good option (I am talking about this for people who want to earn a little bit more from it like myself). Because it gives you a little bit of reward for the hard work you do and you can use that money in your daily expenses and put some part on power up which makes your account worth and to be very honest, there's no option that anyone can say is bad, all the options are great in their own way.

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True, having some liquid assets and using them in the real world or grabbing opportunities when Hive or HBD spikes is a good move.

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I used to choose a hundred percent Hive power before but not anymore since I realized that I need to save my HBD too. I guess it is good that way.

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That 20% interest is super awesome I have to agree...

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I also like the 50/50... Then atleast one has some hbd to buy hive when it drops real low like it did December with the FTX conundrum 😂.. Seems like the best option though.

!PIZZA

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Excellent post!

Absolutely it is really an amazing idea to be able to afford to hit 100% power up especially right now. I just hit 11,000 HP!

Excellent post!

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Very well explained and this can help newbies on hive to learn how the different options work. Reblog done.

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The way it has a reward system is very good because many students are working on it and they can pay their own expenses through this platform. Its reward system is also good because HP is also accumulated for account growth and HBD is released for expansive.

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True, HP grows voting power and increases rewards from curation, while HBD can be used for expenses in the real world.

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There are definitely a ton of options for everyone and I like the 50/50 the most. You can always turn the liquid funds into HP afterward if you want but I prefer having it stored in the savings for 20% APR.

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