The Dilemma of Converting $HIVE to HBD Savings - Analysing 2 Theories
Greetings to my esteemed Lions on the LeoFinance ecosystem and the entire hive blockchain. It's another day and time to share with you why you should continue to keep your HIVE as HP rather converting them into HBD savings. It's your friend @faquan, saying hello from this part of the world.
So many Hivers are at the cross of which way to take in making more money on the hive blockchain between increasing the Hive Power (HP) or converting HIVE into HBD savings to take advantage of the 20% interest in savings.
Note: Either keeping HIVE as HP or putting your HBD rewards into savings are good and profitable ventures because they're both powered by the Hive blockchain.
The major issue there is which of this ventures gives the investor more opportunities to increase their financial status on the hive blockchain.
The Dilemma of Converting HIVE to HBD Savings or Converting HBD to HP
The conversation here is a two-way thing and it entails either converting or powering down your HP to take advantage of the 20% APR on HBD savings. This particular theory isn't bad at all but there are some challenges one can face while doing this. One of the challenges is that the ability for this Hivers to command influence on the hive blockchain will be reduced. This is because the higher the HP the higher your Curation strength, although this philosophy can be related to those with big hive accounts. The values of upvotes given by a small account sometimes amounts to nothing in terms of rewards and growth but we should know that building one's HP gives one the opportunity to grow from small account to a big hive account.
The second theory here is that converting one's HIVE into HBD savings is safer and rewarding. This is also true because HIVE itself doesn't have a dollar peg like the HBD. It'll be very difficult for someone with HBD in savings to say that he or she was affected by price volatility. One of the safest haven on any blockchain at the moment is the HBD savings account.
What becomes the dilemma in keeping your rewards in HBD savings?
One of the major challenge is that you can't take advantage of Hive price pump or HBD pump. In recent times both HIVE and HBD have pumped giving holders the opportunities to increase their financial status by selling. Remember that keeping your HBD in savings you need 30 days withdrawal period to remove your HBD from savings and in the cryptoverse pumps aren't as long as this, it could take split seconds and it's all over.
Lasting the choice is yours because both ventures are very profitable.
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So it's best for us to diversify, not relying in one alone, make use if all opportunities offered by hive block chain.
Yes! Diversifying on the hive blockchain gives you more opportunities to earn rewards from different angles of the blockchain.
Thanks for stopping by
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I think I'm currently earning more HP while posting daily then I do in hbd or curation so I will just keep doing what I'm doing. Any curation earnings will either be sent to hive-engine or converted to hbd. 😁
You're right and your decision is the right one too building your HP simply means building the future, while converting your rewards to Hive-Engine or HBD is also good.
Thanks for stopping by
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Like the saying goes "do not put all your eggs in one basket" diversification in the Hive blockchain is key to earning from different sources.
Thanks for sharing this.
I've just liquidated $6,400 HBD and converted it all to Hive and afterwards to Hive Power. In about 2 days I made $120 from Hive moving up and will easily beat the HBD APR% if the uptrend stays the course. I put it all into HP as I am earning also 10% APR on curation while the price goes up. For me the strategy is clear!
Thank you so much for this valid points, I appreciate.
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