Hello Steemit I have been lurking on this place for ages now and never had the confidence to create an account.
So I did the effort and created an account so here I am finally. Now I can also write posts, comment on stuff and call myself a proud
Steemian.
How did I get into Steem? I used to work with a guy who was an avid day trader. Hence us not working together anymore he made his
way from daytrading at work to daytrading and not having to work. I think he is doing two startups right now.
In any case his name was Paul and Paul taught me that if you can figure out a good way to make a passive income from cryptocurrencies
then you could really make it work for yourself.
Btw what do I do for a living? I don't offer money laundering services to intelligence agencies, even this would be something really cool to do. I am currently working as a manager in a retail outlet and unlike many of our USA based steemians I am an American citizen residing in a third world country. In any case let's get back to passive income and why I am here.
One thing I learned from my former colleague Paul (whom I mentioned earlier) is that bitcoin should form a very big part of your cryptocurrency portfolio. If you spend some time on twitter or instagram you will quickly notice all this hype about bitcoin and hodling. Hodling bitcoin is not going to get you rich. I'm pretty sure if you bought bitcoin and held it to December you would be making money. The time you spend waiting and hodling does not generate you any actual income.
The point I'm trying to make is that you actually have to sell bitcoin if you want to get any money out of it. I mean you could be Satoshi@gmx.com and you could be homeless with a ton of bitcoin, but unless you sell any of your bitcoin you will still have no money. This aspect of many cryptocurrencies has made me very interested in the idea of coins that implement the concept of proof of stake. Proof of stake coins allow you to make cryptocurrency from staking(and basically hodlig) the given cryptocurrency. For example CET which is Coinex's coin that makes use of the idea of proof of stake pays out various cryptocurrencies if you hold CET. Each coin that makes use of proof of stake has its own business model, but the idea behind Coinex's CET and Kucoin's KCS is very similiar. The exchange buys cryptocurrency each day using a percentage of the profit made by the exchange from charging fees for using the exchange. The exchange then pays out the various cryptocurrencies it bought to users who hold their given coin. Kucoin pays out in KCS if I'm not mistaken and CET pays out in BCH(crap coin in my opinion), Tether and various other currencies. Coinex has a very cool thing they are doing where they buy up a certain amount of CET from time to time using some of the exchanges's profits, they then take that CET and "burn" it. The echo the CET to /dev/null :) Just kidding, but yeah, by burning CET they are decreasing the supply of CET which in effect increases the overall value of CET owned by users of the exchange. An important factor no note with these kind of coins that do POS and that are tied to an exchange is that you should be able to withdraw the coin , even though withdrawing that currency would be a ridiculous thing to do, they should still give you as the consumer the ability to withdraw the coin. Why? Well if you aren't able to withdraw the coin then there is kind of no guarantee that you actually hold the coin, also they could be faking the statistics around the coin. Fortunately we can look at the transaction volume for an erc token on etherscan. So for example here is KuCoin's KCS on bloxy(Cool site btw that you should check it):
https://bloxy.info/token_stat/0x039b5649a59967e3e936d7471f9c3700100ee1ab
Why am I mentioning this in my introduceyourselfpost? Well I'm interested in different ways of generating income for my cryptocurrency portfolio and steemit is one of my various ways to generate passive income. I'll discuss various ways of doing this.
What are ways that you can make money from steem?
- Steemmonsters
- Trading on the Steem Dex
- Referral marketing (Marketing an airdrop, exchange etc)
- Promoting your own content: Music, Blog etc
- Writing posts
- Curation rewards
- Entering competitions that you find on steemit