Hello, fellow Hive enthusiasts! I'm here to share with you my thoughts on one of the most important decisions you can make on this amazing platform: whether to keep your Hive tokens liquid or stake them as Hive Power (HP). This is a topic that has been debated for a long time, and there is no definitive answer that suits everyone. However, I hope to give you some insights and perspectives that will help you make an informed choice for yourself.
First of all, let's review what liquid Hive and staked Hive are, and what are the benefits and drawbacks of each option. Liquid Hive is the native cryptocurrency of the Hive network, and it is freely tradeable on various exchanges. You can buy, sell, or transfer liquid Hive as you wish, without any restrictions or delays. Liquid Hive is also used to pay for transactions on the network, such as creating posts, commenting, voting, or transferring funds.
Alright and how about Hive itself? Hive is a decentralized blockchain and ecosystem that hosts a variety of applications, platforms and projects. It's also a social media network where you can create and curate content and earn Hive coins (HIVE) as rewards. Hive coins are the native cryptocurrency of the Hive network and they exist in two forms: liquid and staked.
Now that we have known about hive, here’s the real deal . Liquid Hive is the form of Hive coin that you can freely trade, buy, sell or transfer to other users. You can also use it to power up your account and increase your Hive Power (HP). Hive Power is the staked form of Hive coin that represents your influence and stake in the network. The more HP you have, the more weight your votes have and the more rewards you can earn from curating content.
Staked Hive, on the other hand, is a form of Hive that is locked up in a process called "powering up". When you power up your Hive tokens, you convert them into Hive Power (HP), which gives you more influence and rewards on the platform. The more HP you have, the more weight your votes have, and the more curation rewards you can earn by upvoting quality content. HP also increases your resource credits (RC), which are used to perform actions on the network. Having more RC means you can do more things without running out of bandwidth.
Staking your Hive tokens does have a drawback, though: if you wish to sell or transfer them, you can't get to them right now. It takes 13 weeks to gradually unstake Hive coins, as opposed to 3 days on other blockchains like Tron. An equal portion of your staked hive is converted back into liquid hive each week, and after 13 weeks, the entire stake is liquid once more. This means that if you want to turn off your HP, you must prepare ahead of time and be patient.
Ok so how do you decide whether to stake your Hive as HP or keep it liquid? Well, that depends on your interests and goals. Here are some things to think about:
Do you desire additional power and benefits on the platform? If so, putting your hive on the line as HP is a wise move. By promoting high-quality material, you will be able to cast votes that carry more weight and receive more curation prizes. Additionally, you will have more RC, allowing you to operate on the network without being concerned about running out of bandwidth.
Do you desire greater pliability and liquidity? If so, it's a good idea to keep your Hive liquid. Your Hive tokens will be available for you to buy, sell, or transfer whenever you like, with no limitations or waiting periods. Trading your Hive tokens will also let you to benefit from market opportunities and price changes.
Do you desire a healthy balance between the two? If so, you have the option of keeping some of your liquid hive and stake some of it as HP. In this manner, you can gain from both possibilities without making too many compromises. Additionally, you can modify the proportion of staked hives to liquid hives to suit your evolving needs and tastes.
So, my friend, which choice—staked HP or liquid Hive—is preferable? Well, since it depends on your particular circumstances and tastes, there is no clear-cut response to this topic. Some users value flexibility and liquidity above everything else, thus they want to keep the majority of their Hive coins liquid. Others, who place a higher value on influence and rewards than anything else, opt to stake the majority of their Hive currencies as HP. Additionally, some users favor a balance between the two alternatives in order to benefit from the best of both worlds.
Personally, I like to have a mix of liquid Hive and staked HP. I keep some of my Hive coins liquid for emergencies or opportunities that might arise. I also use some of them to power up my account regularly and increase my HP gradually. I stake most of my Hive coins as HP, as I enjoy curating content and earning rewards from it. I also delegate some of my HP to projects that I believe in and support.
What about you? What is your preferred option: liquid Hive or staked HP? Let me know in the comments below!
Ultimately, the choice between liquid Hive and staked Hive is a personal one that depends on your own situation and goals. There is no right or wrong answer that applies to everyone. However, I hope that this blog post has given you some useful information and insights that will help you make an informed decision for yourself.
Thank you for reading this blog post! I hope you enjoyed it and learned something new. If you did, please leave a comment below and let me know what you think. I would love to hear from you!
Also, if you want to learn more about the Hive blockchain and its native cryptocurrency, I recommend checking out this link: /@@leoglossary/leoglossary-main-menu . It contains a comprehensive glossary of terms and concepts related to the Hive ecosystem. It's a great resource for beginners and veterans alike!
That's all for now! Stay tuned for more blog posts from me in the future! Until then, keep hiving!
References:
- Exploring the Hive Blockchain and Hive Coin - Moralis Academy (https://academy.moralis.io/blog/exploring-the-hive-blockchain-and-hive-coin)
- Stake Hive and earn rewards - Publish0x (https://www.publish0x.com/achim/stake-hive-and-earn-rewards-xjnpoe)
- Hive (HIVE) Staking Interest Calculator | Staking Rewards (https://www.stakingrewards.com/earn/hive/)
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