Cryptocurrency Not Conducive To "Getting Rich Slowly"
Our motto from the beginning was to "Get Rich Slowly".
For some reason, this appears harder than it sounds. Not the getting rich part but, rather, the slowly.
@lbi-token operate on the Hive blockchain. It was set up to take advantage of the rewards under the Proof-of-Brain concept. Through this, LEO is earned through posting as well as curation.
We will be using some of the information from the LBI earnings and holding report.
Thus far, out activity has netted us tremendous results.
Total LBI earning to date or 45,847 LEO with a weekly average of 1,348 LEO. Just out of interest, if you are this works out to an average of 70,361 LEO per year.
At the present pricing of LEO, this might not sound like a lot. However, what is the price of LEO gets to $2. What does that do to the return of the fund in USD.
Here is a breakdown of how the earnings were achieved.
We also entered the realm of yield farming through Cubfinance. Here we can see a breakdown of where LBI has holdings.
This is another area that many expect high appreciation. Considering the IDOs are still on tap, we will see a lot of CUB bought on the open market and burned. While it is impossible to tell what will happen, this will likely send the value of the CUB holdings up.
Obviously, we can see from the report that we are 34 weeks into the year. This is our initial one, so we were starting from scratch.
Nevertheless, here is the growth rate of the token price.
The present value of the token, based upon the assets backing it is 1.36 LEO. As we can see from the chart, we started at 1 LEO on the initial rollout.
In 34 weeks, we achieved a 36% gain (excluding the minimal amount of dividends that went out so far). On an annual basis, this is a 55% return.
Here is where the problem is:
A 55% return is not Getting Rich Slowly.
If we can keep this pace up for 5 years, we will see the asset value look like this.
Year 1: 1.55 Year 2: 2.40 Year 3: 3.72 Year 4: 5.77 Year 5: 8.94
That means each LBI purchased for 1 LEO at the start will grow to 8.94 LEO in the first 60 months of the fund.
Of course, this excludes any conversion into USD that LEO might enjoy. LBI is priced in LEO since that is the base token we operate in.
If we take this concept and apply it in USD, we can see that is the price of LEO goes from the present 25 cents to, say, $1.50, each LBI token will be worth $13.40.
Considering the price of LEO, in USD was around the same price, we could be looking at each LBI purchased for 25 cents worth $13.40 in 5 years. That is more than a 50x on the initial investment.
So maybe we need to change the motto to "Get Rich Rather Quickly".
Naturally, we cannot guarantee these results over the next few years. We could outpace the first year or lag behind it. There is no way to tell.
What we do know is that @spinvest, the project that @lbi-token was modeled after has increased the return each year. If this follows suit, the numbers get a bit more ridiculous.
The amazing part is that we are going to see even more opportunities presented to us. For each LBI token held, we will receive some form of an airdrop when #projectblank is released. I know this is something we heard about starting the end of last year but it is now getting closer. Once the mobile application is done, that will be forked to create #projectblank.
One project that did see the light of day is LP leasing. It went live today, in beta form. This, too, was discussed starting last year.
All of these provide opportunities for LBI to earn both active and passive returns.
It has been a terrific 34 weeks. Let us see what the next 18 offer to close out our first year.
Article written by @taskmaster4450le.
Posted Using LeoFinance Beta
