If you look way back in time, perhaps before some of you were born, building a “nest egg” for retirement was one of the big financial planning tools. The theory was that if you saved enough you could live comfortably on the income generated from bank interest, dividends, bonds and other secure investments so long as you did not spend the principle of the “nest egg”. This was back in the day where banks actually paid interest rather than charged you for the service of keeping your cash, and other safe investments were around.
Times are changing, investments are getting more tricky, however, right now with cryptocoins you can still squirrel away a big chunk of virtual value and earn a steady trickle of income off of a “nest egg” so to speak.
I don’t know about you but I love to setup stuff and have it work for me with a minimum of effort. Especially if it doesn’t take too much effort, works well without supervision, and provides some return on investment. Isn’t that the key to business success? 😀
Disclosure: The author personally invests in HBN and HYP so as usual do your own research. 🙂
How to setup MultiSend
“MultiSend” on Hyperstake and “Stake for Charity” on Hobonickels both let you send part of the your minted cryptocoins to a new address. You can select the percentage of your newly minted coins that you want to send. Detailed instructions are on the wiki pages here: Hyperstake Multisend and Hobonickels S4C and if you don’t know what PoS is please see this post: What is PoS?
The nice thing about doing this is that you can set things up so that your “nest egg” is still continuing to grow and your not dipping into any of the principle but only selling part of newly created interest so to speak. There are exchanges that will let you auto sell values sent to them at either the buyers price or sellers. It is nice to feed the buyers once in a while or list higher with the sellers if you think the price should go up.
My preference is to also put out a few buy orders to catch the dumpers. For whatever reason occasionally the price of any cryptocoin seems to plunge, and if you have some buy orders properly placed this can be to your advantage.
As coins get more main street adoption this could additionally be a very good way to send value out to support other causes that you like.
Thoughts on Value Building
Many people really want to try to do the best for the cryptocoin communities that they become involved with, feeling that lasting success is best built with the cooperation and prosperity of everyone. It is hard to know what is going to improve the value of a cryptocoin and help it get price stability and user adoption. One of my initial thoughts was to hold on to my cryptocoins and never sell them until the value went up, but this is tough because you need to watch the markets all the time. Plus every buyer needs a seller and if no one ever sells the coin the market volume gets so low that it is hard to get a good price point.
From a buyers point of view if the only sellers are listing way high and you place a buy order for what seems like a fair price but it never fills, it can get frustrating. 🙁 I think this is one of the reasons Comkort is shutting down now – if Exchanges can’t get enough volume they have to close. If buyers can’t get what they feel is a fair price they may move on to other cryptocoins.
One issue with a cryptocoin that only operates under PoS is that if the coins are not structured well there is a tendency for large bag holders to develop who hold onto their coins tightly. If there is no inflation control, block rewards and compounding can make it seem attractive to continue holding the coins, but only time will tell if the value of such a coin will do as well as a coin that has more liquidity.
Cryptocoins that encourage spending instead of bag holding take the opposite approach where holding the coins actually make the holdings grow smaller. I’m not so sure about this approach, but I guess I’m more inclined to be a bag holder than a spender. 😉 I can see how it can be useful to get the money supply moving in any economy though, sometimes the more tightly you try to hold onto something the less value it ends up having in the long run.
Buy low, sell high and I hope the world someday takes notice of your favorite cryptocoin. Have fun everyone! 🙂