Unsure what to do about SBD decline? BUY STEEM & POWER UP!

in steemit •  7 years ago 

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Yes, SBD has experience a significant decline recently. After reaching as high as $13, SBD is down to between $5 and $6. This directly influences rewards for the entire community. There is debate about whether the decline is good or bad. On one hand, creators are better motivated to create valuable content if rewards are higher.

On the other hand, some argue that higher SBD is not in line with the initial goals of the currency setup.

Regardless, here's ONE THING you can do in the meantime that will be good for everyone, including yourself...use some SBD to buy STEEM and power it up! I just did this using the internal market.

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With the current uncertainty about the immediate future path for SBD, I can do something with a certain outcome: Reinvest in the community and increase my ability to reward creators and curate content on the community.

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After buying the STEEM on the internal market, I powered it up and have no increased my influence in the community.

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Remember, the decrease in the market value of SBD is not a realized loss for you until you sell at those lower values. If you wait, or better yet, power up, you have not lost anything.

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Will you join me in powering up?

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Whoever brought the value of SBDs this far up will have an increasingly difficult time keeping it there now that STEEM is more valuable and more SBDs are printed as a result.

I am personally a bit unsure. I think 2018 will be a great year for STEEM and that in the long term STEEM at 5$ will still be cheap. At the same time, things have gone up so quickly that it is also a good time to take some profits short term. So I am currently using 50% of my SBDs earnings to buy STEEM and Power Up. And 50% I sell. So in practice, it means that 75% goes into STEEM.

I’ve been watching it gradually creep to a 1:1 price ratio. It may even dive down below it.

I do miss that pre Christmas crazy patch. No idea how that even came about!

Boy was that nice! The usd payout was good, but after converting SBD to steem the steem payout was impressive! Maybe again some day?!

Yes, I have been doing this for the last few weeks! I’m loving building up my steem power! It only benefits the whole platform!

To be honest, SBD was designed to be at least 1 US $. But only this 1 US$ is guaranteed by the system. If you don't sell SBD when it is at 10$ or 5$ or any other value higher then 1 US $ you are speculating that there are more people that don't understand the basics of SBD system. This is a risk you should be aware. But the more people understand the system and how it is designed the more the rate will always go back to what is guaranteed. Thats only 1$.

then that's an argument for SELL IT ALL RIGHT NOW ASAP

I 100% agree! Would be very foolish to hold on to at such high prices.

I would not say. It is a bet. If you think that more people without a clue about SBD will buy it because they think it will work the same was as bitcoin you should keep it. If you think the opposite you should sell. I would at least not buy it until it is around 1$ again :)

I am not scared. Markets fluctuate and people can say cryptocurrencies are in a bubble and they are probably right. The housing market often bubbles but homes are still valuable. For my part I am just going to keep Steemin` on.

Good day Mr. David Pakman. I heard about you from a recent poat of @acidyo. If you would, when is the best time to convert to steem? Im new here and I just want to be acquianted with the platform? Is it good to buy steem when steem price is down? How about with sbd? Is it when its down as well?

that is a personal preference in terms of the "when" that depends on your other priorities. I didn't see the post from @acidyo, can you link me to it?

I think it's this one: https://steemit.com/social/@acidyo/the-importance-of-telling-your-fanbase-about-steem

Right now my interest goes to stacking up steem power so I can give back to my community.

Buying Steem and powering up is not different than buying any other currency in terms of opportunity loss... you are still effectively selling your sbd at $6 vs $10 or $12 worth of steem. My end goal is to sock every bit of sbd I can into steem, but does it not benefit me to wait for a better ratio than .875 to make my powering up transactions? Granted there is some small opportunity loss in the fractionally smaller payout on my own self upvotes, but that seems relative small in comparison for waiting for the next big sbd spike where the ration drops to .5 steem or lower, no?

Thats if you see another spike in SBD and it not continue what its supposed to do and go back down towards the $1 value

  ·  7 years ago (edited)

why do we even need SBD? We could have just Steem, and it would be simple. Its really difficult to explain steemit to friends.

I'm waiting for the STEEM to go down to turn her SBD

Thank you for the info, thats the right step to take. Nice one

I power it up almost every time. I want my steem to be working for me! Great post. I ahve upvoted and resteemed.

Thanks bro for d educative post.. I'ld love to join that train.. I like your posts bro. Pls kindly follow @happymichael back. Thks.

Exactly what I’ve been telling people: Power up and it’ll reward you greatly in the future.

SBD meant to be $1 but at this times is best to exchange and buy more steem

Last week I converted my Steem into SBD and transferred it to bitcoins. I was very profitable for me, I don't think this time I will be profitable. What do you think @davidpakman?

really depends on the prices of all three instruments at the time

Isn't 1 SBD always 1 US dollar?

No, 1 SBD is currently almost $7 and has been as high as $13 recently

Yeah I was fooled by all the official statements saying that it was supposed to be maintained at 1$

Thanks dear for this update new about the cyptocurrancy..

YES, I’m joining! I’ve powered up all SBD of my first weeks on Steemit. No cash outs at all. Investing and upgrading my account is the goal :-)

BIGLY

HUGE

I power up, therefore I am

Your suggestion is a good one, powering up gives a long time reward.

Buy up & keep steeming when the price is "down" which it's not, if you're used to 89cent SBD. $5 is still pretty amazing. Never feel discouraged to make great content when the price is down!

Yes i will join you in powering up because your line of advice is priceless to be embraced.thanks for showing us how to use internal market.i have not use it before .i am happy to have learnt new thing today.thanks for widening my horizon

Yes sir you are right and we all should focus on increasing our steem power. It's makes high your value.

Yeah, i like the idea and did not no steem power can be transfer in 3month time

Interesting post, love ur updates.. I will appreciate a follow @naijatimez from you.

helpful blog
please continue the writing
wait for your next context

Done! Thanks for the tip!

Powering up it is always a good thing. It is important here in the community have a nice steem power if You want to get to the top :D

I was literally trying to figure out how to turn my sbd into steem power when your post showed up :) Gracias

Yeah of course, and help too.

Uh, I'm confuz...

I thought SBD was 1$ OF STEEM, hence when steem when is at 4$, it's worth 1/4 as much as when steem is at 1$.

Am I wrong? Sauces? Spaghetti?

i understand this post.thanks for your activity...