It's been a while since I've done a vlog. In today's video I discuss the volatility in crypto prices and how difficult it is to do business with Cryptocurrencies that are purporting to be mediums of exchange.

I read that Steam is no longer accepting Bitcoin and I get why. Whilst I don't run a busy that accept crypto I do (where I can) try to transact in cryptocurrency. However it is increasingly difficult.

I like to use Steem Dollars (SBD) where I can as it is typically a soft introduction. People tend to understand the value of the dollar and until recently SBD has be well pegged to USD.

Of late that SBD has lost its peg dramatically, it is now trading at x5 more than USD. While this is fantastic for authors - An author that opts for 50/50 payout and receives $10 in Authors reward can trade their 5 SBD portion for $25 worth of Steem or Bitcoin.

However the pump is not such good news for people wanting to transact in SBD.

Boxing clever

A few weeks ago, I paid for boxing lessons in SBD. It was great. Coach knew what he wanted in terms of USD and I was able to pay him that SBD. It took 3 seconds and no fee. Perfect.

Now when I pay him for the next batch of lessons rather than paying the same amount of SBD, we'll need to renegotiate an SBD rate. Good job I didn't agree to pay in instalments else I'd have needed a lawyer to agree the terms!

Exchange delay

To compound the issue of agreeing an exchange rate is the behaviour of the Crypto exchanges. I’ve already posted about the issues I and others are having with Bittrex. However last night I sent some SBD to Poloniex and it still hasn’t been credited 12 hours later. There is a similar issue with withdrawing Steem/ SBD from Poloniex.

12 hours is a long time in crypto, particularly when there is a pump. What is to say Poloniex aren’t dumping mine and other deposited SBD at these tops and credited depositors after they have bought back at a lower price? That aside, how can I agree a fee with Coach, if there is no certain around when/ whether he’ll be able to exchange it when he wants to?

Could be worse

I cannot imagine what it is like to transact in Bitcoin and other crypto, where the protocols themselves are super slow (on top of any Exchange delays). Not to mention fees!

More likely I’ll just ask for Coach’s bank details and pay him in GBP.

Steemy negotiations

I'm currently trying to buy another service from a Steemian with SBD. They are negotating based on 1 SBD being worth 1 USD. As they have no certainty around the SBD price staying where it is; it's supposed to be pegged. I, of course, and not going to pay a 500% mark-up just to pay someone in SBD. The likelihood is that deal won't be done, not in SBD at least.

Sweepstake slicing

On a lighter note; I'm going to have to reduce the 500 SBD jackpot for Soccer Sweepstakes. Heaven forbid someone actually predicts 5 games correctly next week. I'd have to fork out $2500 usd just to pay out the prize money! Talk about buying at the highs! It's unlucky someone will hit but you cannot be too safe.

Bar humbug

With all the craziness in crypto at the moment (likely to get worse with the uncertainty surrounding Bitcoin Futures trading, it’s tempting to step away from cryptocurrency and just enjoy a relaxing Christmas with the family. What will be, will be. These are the kind of teething problems we should come to expect until this technology settles down. In the short term, I should bunker down and see where things stand in January.

However this cryptocurrency madness is strangely addictive. No doubt I’ll be having a healthy serving of crypto news with my Christmas pudding this year!