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How Liquid Do You Want To Be?

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Rob
@rob23
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I am currently sitting in the airport in Paris because I missed my flight due to a delay in the local train system. I can't say I'm too thrilled about having to fly a connecting flight and add 7 hours to my return home, but such is life.

Having some extra time now, I have been thinking about how liquid I want to be in terms of my Hive holdings. As we all know, there is a 13 week powerdown period for Hive that you stake to the network. With pumps happening like they have with the token price in the last few months, I am really questioning my strategy of having all of my Hive powered up. On one hand, the benefits of having Hive powered up are enormous, but on the other hand, there is all of the possible profit from trading that Hive and trying to stack some more during a pump. I wanted to weigh those pro's and con's.

Pros Of Powering Up:

  • The ability to earn more rewards from curating posts
  • The ability to earn passive income by delegating HP
  • 3% APR on HP
  • Increased influence on the site
  • Higher levels of personal engagement is likely

Cons Of Powering Up:

  • No liquidity - You can't sell during pumps
  • Long powerdown of 13 weeks to become fully liquid
  • Increased responsibility to curate or delegate to not waste potential

Optimal Strategy?

I guess there really is no "optimal strategy", it all depends on how confident you are in your ability to trade or your ability to participate on the network. It comes down to your price targets if you're in it to make some money or to your level of belief in the future of the platform.

For myself personally, I believe that there is a lot of good things happening here that go beyond the dollar value of the token. However, I also wouldn't mind being able to trade the pumps in order to gather more tokens and increase my level of influence on the platforms I enjoy using. I will be triggering a powerdown and personally looking to hold 25% of my tokens in liquid HIVE for the purpose of trading during pumps and reaccumulating during dumps. I recommend doing your own research and thinking about what you want to do here, but to me it is a bit too tempting to trade a bit as I have felt like I have been on the sidelines during the latest booms due to being fully powered up.

@mariosfame gif once again, I love it:

@sgt-dan with this sick pic:

@gr33nm4ster made this awesome gif I needed to share, we thank him as well!:

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