The art of taking profits on Hive
There are many ways to make money online but there are not many ecosystems like hive. On hive you can earn with your work (blogging, commenting, curating, gaming,...) but also with your wealth. The same ecosystem allows you to invest your tokens so that they earn a return (staking, delegating, liquidity pools, game staking,...). I think that Hive is quite unique in this respect. While swimming through these endless possibilities, it becomes important to take profits regularly to build your wealth. But before doing that, you need to know what you actually want...
The first step towards taking profits is to set your goals
I have been active on Hive/Steem for almost 5 years (58 months to be precise). For a very long time, I just wrote some posts and built my stakes without any kind of plan. Things changed when I started to set goals for myself. The most important aspect of that was that I now had a token or a series of token that I wanted to prioritise above all the others. In the past, I just staked everything everywhere and I didn't get far like that.
When you set goals for yourself, you know what tokens you really want.
There are so many tokens, NFT's and other shiny things out there and it becomes difficult to focus. You simply can't buy them all and it's important to set priorities. That's where setting goals makes a big difference. In December 2021, I set my goals that I want to reach by the end of 2022 for Hive Power and HBD. Thanks to that, I will always try to get these tokens before I try to collect others.
Defining which tokens you want is the basis to build your fortune.
Over the years, my goals have become more and more precise and the number of tokens I seek is getting smaller. The more I focus my efforts, the better my results.
Setting goals is only useful when you keep them present
Another thing I have realised is that when you set goals, you need to come back to them on a regular basis to check your progress. I've decided to do that every first of a month and I always write a post about it. I have divided the time period between the moment I set my goals and the moment I want to reach my goals. I then check every month the percentage of days that have passed of this time period. This is my benchmark and I compare my progress in tokens to it. Like that, I can always see where I stand.
Taking profits.. what does it mean
As I said before, when you take profits you need to be able to identify what a profit is. Let's say your target is to change crypto into fiat for your living costs. Then your goal should be to increase the amount of crypto that you can change over time. Your profit is the money that you exchange. All your actions should aim to increase this amount.
If you want to build a big stake in Hive, all your actions should go towards doing that. Your profit will be the amount of Hive that you can stake.
It seems quite obvious that the profit will not be the same for all of us. That's why you need to define it through your goals.
Growing and taking profits
The problem is to find a balance between taking profits and growing your income. Let's say you get a nice return by staking a tribe token. It wouldn't make much sense to sell all your income from there to increase your profit. However, if you reinvest 100% of what you make there, it won't contribute towards your goals either.
The 10% rule
Whatever I do, from all the money I generate, I take a 10% cut that I use to reach my goals. Let's take the example above. I make a nice return with this tribe token and whenever I get this token, I stake 90% to increase my tribe token power and I take 10% and exchange it for one of the goal tokens. By doing that, I continue to grow my income potential but at the same time, I also work towards my goals.
I also do that for games. Whenever I earn money with games, I reinvest 90% and I take 10% out and use it to grow my goals.
I like this 90/10 ratio because it allows me to grow everywhere and still reach my goals. Of course your ratio might look differently.
Not taking profits might end up badly
In the past I was simply staking all the tokens I received. Plenty of these tokens have since lost close to 100% of their value. If I had sold 10% of them at the time, this would have helped me much more. You never know how a token, a project or a game evolves. If it moons, you still have all the money you reinvested into it. If it collapses, at least you have taken out the 10% share and it allowed you to get closer to your goals.
Let's connect ! You can find me on these platforms:
Posted Using LeoFinance Beta
I would say that "secret" words of success here on HIVE (and wider) are goals, focus, and priorities!
I like your 10% strategy... Maybe I should do something similar...
I like that set of words and it's true. When I look at SL with all their launches it's very easy to lose focus and fomo into something. When you keep always your goals in mind, you look at these things differently I believe.
I resonate 100% with this post! The more people focus their efforts toward clearly defined goals instead of spreading their energy in many directions, the better it should be.
We can't get all these shiny things. By wanting them all we end up with a little of everything but with nothing right :-)
I have not started taking profit for any token but fully re-investing strategy did not yield perfect results to be honest. As you mentioned, some cryptocurrencies lose 100% value and the only way to fight against the problem is to set re-investment & take profit ratio for each :)
Posted Using LeoFinance Beta
I made this mistake all the time. Staking whatever I earned until the token dropped in price and then ending up with a big stake that was worth peanuts :-)
Wow this post came at the right time. I have been thinking about "taking profits" in a sustainable manner to protect myself from situations like the LUNA saga. The 90/10 rule seems interesting so thanks for sharing!
So far my initial thought is leave Hive as it is, but to take profits from the 20% interest from my HBD. Since my post rewards are 50% Hive/50% HBD, over time HBD will grow so the 20% interest will continue to grow as well.
It's pretty difficult to say in advance what will survive and what will not. With my 90/10 approach I always manage to pull some money out of things without hurting the project and still to build where it matters most to mee.
For me HBD is one of my main goals so I try to increase my stake also because I want to earn more of these interests :-)
This is some great advice i will take into consideration thanks for sharing your experiences so we can learn.
Have the best day @achim03
😎
Thanks @benthomasuk, a nice day to you too!
You are welcome my friend thanks😎
@achim03 !ALIVE
View more
That is a pretty good strategy of taking 10% as profit. I haven't done that yet and I know there were a lot of tokens that ended up losing most of their value.
Posted Using LeoFinance Beta
I try to take these 10% consistently everywhere I stake stuff. Like that I can add quite a lot of hive for my goals.
There are great tips.
Setting and following up your goals is very necessary.
I also got to notice that focusing on a thing here on hive is very profitable.
It will make you so focused and eager to make progress.
Thanks a lot for stopping by!
I enjoyed my visit.
You are welcome.
Hmmm... Should I take xx% from my tokens before buying other tokens too? 🤔I'm still doing this too tbh. Starbits + Tokens from posting -> swap.hive -> any other tokens in my hive goal. For now, I just take it out from dlease only around $10+ / 2 months. Maybe I'll think about it later after I can achieve my hive goal first... 👍
The most important is to set some goals that work for you and find a strategy that is adapted
This is a really excellent strategy! I've become more and more focused and motivated the longer I'm here, and because of that I finally started setting my goals and tracking my progress, which I do in a weekly post. I'll want to see how I can apply this 90/10 strategy to my own efforts here on Hive. Thank you for a brilliant post! 🙏 💚
That's a great way of keeping your goals and what you reached always under control. I do it on a monthly basis but I'm sure a weekly basis is even better :-)
I've really come to appreciate it a lot. Now I see each week how I'm doing, and can adjust and fine tune based on this new, clearer picture. Since the end of July my growth here has slowed down a lot due to a breakup and the need for a new living situation, but even with those giant challenges, I've still showed up here every day, and continued to grow, just a bit more slowly at the moment. Thanks again! 🙏 💚
Fantastic strategy and advice there Achim, taking profits while still continue to grow is very important, thanks for sharing and stay awesome.
Made in Canva
!ALIVE
!CTP
This post is AWESOME!
It will therefore be highlighted in our daily Curated Collections posting for today.
The goal of this project is to "highlight Awesome Content, and growing the Hive ecosystem by rewarding it".
Source
@achim03! You Are Alive so I just staked 0.1 $ALIVE to your account on behalf of @thisisawesome. (24/30)
The tip has been paid for by the We Are Alive Tribe through the earnings on @alive.chat, feel free to swing by our daily chat any time you want.
Thanks a lot for the curation Erik!
Keep up your awesome work Achim.
Made in Canva
This is a smart way of looking at it.
My personal goal from being here on Hive is to achieve life changing money.
Instead of just outright taking profits on Hive, my goal is to build a base stack large enough that gives me the opportunity to essentially skim a wage off the top.
I know it's a bit of a cliche at this point, but the bear market is really a blessing for me because I'm building my base stack faster than if the price of HIVE was higher.
PS. Have you stopped posting duplicates to Publish0x now?
Your content is great and I really want to encourage authors posting originals like this to leofinance.io.
Posted Using LeoFinance Beta
That's a nice dream that I kind of share. If our stack gets big enough this might one day become possible :-)
I've never done anything other than build my HP to reach my December 2026 goal. After that date, I considered taking some profits, converting to Bitcoin, etc.
I might have to explore this 90/10 strategy.
I like your long term horizon! For the moment I set my goals on a yearly basis but it could be an idea to have a longer horizon...
I learned the concept of Big Hairy Audacious Goal (B.H.A.G.) from Verne Harnish's book Scaling Up.
I later found an amazing Ted Talk with Stephen Duneier on How to acheive your most ambitious goals by breaking them up into tiny acheivable goals:
Hope you find them useful and imspiring :)
View more
I found your post very interesting, thank you.
Thanks for stopping by!
You are welcome
That is a really great strategy and has given me some food for thought.
Happy about that :-)
For now my focus is on creating content and increasing my HP, but I do save up a little in HBD. STill, this first year that I am serious here it´s mainly about creating cool content. !CTP
I think that the content is the basis of our "jobs" here and if we have a good work ethic it's actually the basis to be able to accumulate tokens in the first place. On this end I think it's a good plan to start by accumulating HP so that you can start to generate curation rewards and get some weight on the chain.
That’s all true. We have to set goals and take profits as well. The 10% profit is a great idea. It is Not an ammount that affects your balance If The token pump, But it is a way to safe value just in case
Exactly so you still have the earning potential but you also don't have to be too sorry when the token falls to zero
Completely agreed! Especially with those (perhaps) short-lived tribe tokens, I REALLY should focus a bit more! !PIZZA
Unfortunately the tribe tokens have all a similar "product life cycle" and it almost always ends at value zero ...
hope ctp does not ;)
just kidding! your last report about oneup still made me think... still not really sure about leo, neither :/
View more
Dude! You're on LBRY? I need to follow you there too.
Posted Using LeoFinance Beta
I'm on Lbry but I haven't posted much recently. I should do that again :-)
I like goals. They are like guidelines that pushes me to do what I must do in order to be successful.
I also like your 10% rule, it's a good concept to adapt. I will keep that in mind as I reach my goals.
Thank you for sharing.
!1UP
It's really worth to spend some time to define our goals and work on a strategy to reach them. I'm quite happy with my 90/10 ratio but it's not the only strategy that works :-)
I just recently set a goal by saving most of my HBD earnings. I will rework on my strategy and apply something like your 90/10 ratio. 😊
Hi @achim03
Compared to other chains, Hive certainly has elements that make it quite unique, and as the community matures the chances of growth and consolidation will become stronger.
Best regards, be well.
Thanks for stopping by! I believe Hive is in a special situation and offers really nice income potential. It's not perfect but it's probably better than most other platforms :-)
I also believe so, the revenues are really attractive compared to other platforms.
Great tips.
We need to narrow down our thirst for all the tokens and focus on a few at a time. Build them as bases and reach for others after a certain point.
We can't do this effectively if we don't have goals. So, as you said, we need to make those tangible goals and keep a close watch to see if we are progressing or not.
Most importantly, we need to take profit, and although profits mean different things to different people, just making sure we take those profits will keep us motivated to strive for more.
Thanks for sharing, sir. I learned something.
Posted Using LeoFinance Beta
This way of doing is not the only one but it works for me and it can be adapted at wish :-). Thanks for stopping by!
Yes, I understand. It's a wise method. And it's worth replicating.
That's pretty interesting to have that 10% rule, I didn't know about it and after seeing the example it totally makes sense. Guess I have another management trick to use in order to reach my main goals and as well keep growing on the Tribe. Sweet!
Posted Using LeoFinance Beta
I really like using this rule because it doesn't put too much sell pressure on projects or tribes and at the same time I can reach my goals faster. Thanks for stopping by!
You have received a 1UP from @thecuriousfool!
@leo-curator, @ctp-curator, @pimp-curator, @vyb-curator, @pob-curator, @cent-curator
And they will bring !PIZZA 🍕.
Learn more about our delegation service to earn daily rewards. Join the Cartel on Discord.
PIZZA Holders sent $PIZZA tips in this post's comments:
curation-cartel tipped achim03 (x1)
@jdike(1/5) tipped @achim03 (x1)
You can now send $PIZZA tips in Discord via tip.cc!
Congratulations @achim03! You have completed the following achievement on the Hive blockchain and have been rewarded with new badge(s):
Your next target is to reach 8750 replies.
You can view your badges on your board and compare yourself to others in the Ranking
If you no longer want to receive notifications, reply to this comment with the word
STOPCheck out the last post from @hivebuzz:
Support the HiveBuzz project. Vote for our proposal!