Bitcoins/Litecoins/Virtual Currencies

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Arden

Arden

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hory said:
3.6 depending on what day or week.
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A boy asked his dad for a Bitcoin for his birthday.

Dad: What?! $32,564??? $28,766 is a lot of money! What do you need $35,980 for anyway?
 
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T

Torrid

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This is one reason why people say that Proof of Stake is more centralized than Proof of Work. Be careful with who you entrust to stake your ETH for you.



 
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Lightning Lord Rule

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Question for James James :

I have staked my MATIC on the matic network. 15% apr seems pretty good to me and since I want to hold it I may as well put it to work. Anyway, while perusing the site I have it staked to, I noticed a couple of other coins/tokens listed there had ridiculously high APR of above 50%. These being Akash and Sentinel which are coins for deCloud and deVPN respectively. The way to acquire those particular tokens seems a bit off the beaten track and I'm wary of going into the weeds of all this crypto stuff chasing interest rates that seem frankly too good to be true. Also, of those 2 I would think that deCloud(AKASH) would be the safer bet since that would be something more useful/easily adaptable to blockchain tech than VPN, but I could be way off base too.

So the question is what do you think of those particular coins and their respective rates? Scam/too good to be true or a bonus that might be worth pursuing?
 
Flobee

Flobee

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Lightning Lord Rule said:
So the question is what do you think of those particular coins and their respective rates? Scam/too good to be true or a bonus that might be worth pursuing?
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I'm not James, and I know nothing about these particular coins... but this is the path to getting rekt. Chasing APR on coins you know nothing about is a good way to get scammed or rug pulled. Gambling
 
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Lightning Lord Rule

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Flobee said:
I'm not James, and I know nothing about these particular coins... but this is the path to getting rekt. Chasing APR on coins you know nothing about is a good way to get scammed or rug pulled. Gambling
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Probably right, but you never know. Getting in early on these things is how you can score big. As an example, a friend of mine bought Doge on a lark sometime last year when it was at like .0004 or something like that. Granted he didn't buy much of it, but if he had bought even $1k more he'd have done almost well enough to buy a house on that if he'd sold at the recent high. Anecdotal 20/20 hindsight luck and all, but still.

Also it never hurts to ask and get another few sets of eyes on something :)
 
James

James

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Torrid said:
This is one reason why people say that Proof of Stake is more centralized than Proof of Work. Be careful with who you entrust to stake your ETH for you.
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No, only idiots say that because Proof of Stake is no more or less "centralized" than Proof of Work, they're consensus mechanisms. Ethereum's Proof of Stake beta chain is deliberately engineered for pooling resources and represents a tiny fraction of expected live staking.

Lightning Lord Rule said:
Question for James James :

I have staked my MATIC on the matic network. 15% apr seems pretty good to me and since I want to hold it I may as well put it to work. Anyway, while perusing the site I have it staked to, I noticed a couple of other coins/tokens listed there had ridiculously high APR of above 50%. These being Akash and Sentinel which are coins for deCloud and deVPN respectively. The way to acquire those particular tokens seems a bit off the beaten track and I'm wary of going into the weeds of all this crypto stuff chasing interest rates that seem frankly too good to be true. Also, of those 2 I would think that deCloud(AKASH) would be the safer bet since that would be something more useful/easily adaptable to blockchain tech than VPN, but I could be way off base too.

So the question is what do you think of those particular coins and their respective rates? Scam/too good to be true or a bonus that might be worth pursuing?
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I dunno, man. My rule of thumb is that the higher the APR/APY, the higher the risk, but sometimes that high risk is extremely worth it. When Aave rolled out the AAVE/ETH BPT staking pool it was getting over 300% APR, though it's fallen to just 16% APR. I haven't heard of those projects before, but if you know the team and believe in the use case you might think the risk for the high APR is worth it. This space is very much about DYOR, a tweet that sums it up:
 
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Lightning Lord Rule

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Daezuel said:
So in that 15% apr (I assume variable?) you have to include the gas fees to stake and then the gas fees to take it out?
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There's a gas fee to stake, a gas fee to unbond, and a higher gas fee than unbonding to restake your earnings from what I can tell. So you have to leave it staked for long enough for it to make enough money to cover the gas fees or you've lost ETH while gaining some matic. But, if you wanted to, you can unstake (unbond) it at any time unlike with Coinbase and their ETH2 staking which you have to wait until ETH2 is ready or they tell you it's time, whichever comes first.

This is all just my understanding of it so far though so I may have missed something, but it all seems pretty simple in practice from what I can tell. Stake MATIC long enough to out earn gas fees and then you're in the black. EZ! Unless it all goes pear-shaped of course...

And when I say simple I'm thinking of Jackie Treehorn Jackie Treehorn 's juggling APR across various coins witchcraft to gain back coins in the process. This is just set it and forget it from what I can tell, though I'm monitoring rates they haven't changed in the 5 days since I staked the MATIC from what I can tell...
 
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Daezuel

Daezuel

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What Jackie was doing is called yield farming yeah?

Seems like there is more money in that but obvious risks. (less so with stable coins?)

I've been dragging my heels with staking/yield farming. One point I've heard made is if you're investing to HODL then your expected returns on that over the years will decimate the returns on staking so why take unnecessary risks? That said, I'd still rather have MORE crypto when and if it does BOOM.
 
Lightning Lord Rule

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James said:
I dunno, man. My rule of thumb is that the higher the APR/APY, the higher the risk, but sometimes that high risk is extremely worth it. When Aave rolled out the AAVE/ETH BPT staking pool it was getting over 300% APR, though it's fallen to just 16% APR. I haven't heard of those projects before, but if you know the team and believe in the use case you might think the risk for the high APR is worth it. This space is very much about DYOR, a tweet that sums it up:
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Why DYOR when I can have you do it for me? :smart:


No but really I thought maybe you had seen something about it in your research or had heard about it in passing or something. I don't know anything about them other than I read a few price predictor articles about them and just the basics of what they're doing and their price history and such. The price predictors I read didn't like TRU btw, a couple had it going to $.02 by the end of the year and another had it going to the dizzying heights of $.60 by 2026. None of them mentioned anything about the July plans they have though, so either they don't know about that stuff or they think it's irrelevant. I'm inclined to think it's the former based on the lack of detail in the articles I read. It looked to me like all most of them were doing was tracking/charting price trends and not looking at use cases/potential growth other than with the already popular/high market cap coins.
 
James

James

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Daezuel said:
One point I've heard made is if you're investing to HODL then your expected returns on that over the years will decimate the returns on staking so why take unnecessary risks?
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Staking is a little different than providing liquidity. In staking, your set of risks has to do with the underlying security of the network -- you only lose money when staking if you are a bad actor and get punished for it. Your APR from staking is your proportional worth to the security of the protocol.

Providing liquidity is pairing one token with another more accepted token, and your total liquid position within that pool is represented by k in the x*y=k formula. Here is where you need to weigh the pros and cons of HODLing vs impermanent loss. If you don't expect that the tokens will be close to the same ratio that you initially provided, you will potentially lose a lot of money vs just holding as your impermanent loss becomes permanent when converting k back to x*y.
 
James

James

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Lightning Lord Rule said:
It looked to me like almost of them were doing was tracking/charting price trends and not looking at use cases/potential growth other than with the already popular/high market cap coins.
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This is exactly right, but it doesn't mean they're entirely wrong. There are no formally announced dates of when tasks are expected to hit Truebit OS on mainnet, but once they do it will affect the price substantially. Until then, standard market conditions are driving the price.
 
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