Vlog 323: Steem Dollars as a hedge against further crypto crashes?

in dlive •  7 months ago


Yesterday I bought SBD's with other crypto as a hedge against further crypto crashes.

It comes with pro's and con's.

The pro's

  • An SBD is always worth $1 worth of STEEM so it can max lose 20% of it's value from here (it's $1,28) yet the plus side is infinite.

  • If the markets go much much lower I can use the SBD to buy back more crypto.

The Con's

  • It might be pegged. (but I will know about it faster than most I guess).

  • SBD might stay low while my other crypto's go up.

For me the pro's outweigh the cons for now.

It's about mitigating some risks.

I talk about it more in my vlog.

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I don’t think that will happen . I think I’m a matter of 1-3 days, the market will do some sort of recovery

thanx for info

i think you made a wise decision to convert crypto to SBD because it is peg with us dollar and as far as bitcoin is concerned i think it is still bearish and it will touch 5k before going to 30k, so 5k or below is perfect point to buy BTC and hold for long term, thanks for sharing your crypto activities with us, Stay blessed

As a matter of fact I have considered it for some time already. Just about a week ago I was holding all my SBD’s I had earned thinking of it as a hedge. Than I was thinking against, what is the sense of holding something that doesn’t generate any income instead of converting to SP which does generate an income? I asked myself “is it hope of SBD vs Steem going higher or is it SP that I should be accumulating no matter what?”. My decision was to convert everything I have to SP and that’s what I’m doing. In your case it’s different, you have much more to deal with and at some point diversification is very important when it comes to your portfolio. Every case is different.

World cup is a very intense and with high quality players, definitely the best competition in the world. The netherlands is making good work, even knowing that they didn´t made it to the world cup. I really think in the next one they will be present and be a very serious candidate. You are right, today's game is Russia vs Saudi Arabia!

SBD maximum loss is 29%, it only makes sense to buy, because losing 29% in crypto is almost nothing, that´is the volatility everybody is afraid, but that we all love to make money off. I bought some too!!

Personally I'm not so confident that a 1 USD peg will be caught to the downside.

The only real mechanism that I'm aware of to prop up the price under downward pressure is burning SBDs. As we've seen from the opposite case over the last few months, it's not a fast mechanism.


You can always convert a SBD for 1 dollar worth of STEEM. (option is removed on the website for now but it's build in the blockchain).


Ah, I wasn't aware of that. Thanks.

That should set up a natural arbitrage then.

I can see SBD's getting back down to $1 and staying there, tbh.
Of course, if the market keeps bombing, that's probably where you want to be.

Oh no, I didn't realize that the Dutch didn't make it for this world cup. Such a formidable team, am gonna miss them with their orange jerseys. Am rooting for Egypt who are playing again in 28 years. If they don't get far I will jump ship and support Brazil. This might be Brazil's year.Let the games begin and may the best teams excel :)


Good luck tomorrow with your first game! Will Salah play?


Thank you, yes I do hope Salah will make his debut at Russia 2018 tomorrow.

What do you think that SBD has any a chance that it go lower than 1$ or it can go as low as to 1 $ only , whats your opinion brother ?


I can't go lower than $1. It's always worth $1 of STEEM.

Well, this seems like a wise enough bet. Time will tell! Enjoy the world cup games!!


You're welcome!

I shall be following this with interest @exyle because I have been HODling my SBD waiting for it to go back to 1:1 with Steem.

If you're buying that sounds like I might have done a good thing, depeneing on what happens next of course. although buying it an Hodling it are two different things? 😁

Very. Nice ice been putting my money in the US stock market during this slide with my usd I figure making 1 percent is better than losing 1 percenct

Good time to invest in SBD's...

You are absolutely right on this brother, with a lot of piece indicating have read together with people opinion concerning sbd, I have had the believe that sbd will be equated with $1 sooner or later and other probability for its increasement is not certain. While steem is equally going to boom in a matter of time.

Wee see soon :)) But I think here is something come soon, and this jump go fast and big.

Well liked the way that you explained them.While will get in buying some if possible !

Well it's true that Investing into SBD is might be dealing with a Double Edged Swaord but i think as per it's current price their is less chances of loose but if other Cryptocurrencies started Rising immediately after this crash then you might find yourself in trouble, best of luck buddy.

Best wishes don't worry SBD looks strong

Sounds like a solid investment! I am waiting for things to rebound a little and for some of the airdrops from EOS to start happening. Then I am hoping that I can exchange some of those airdropped tokens into STEEM. That is my goal anyway. With the prices being so low right now I wish I had some mad money hanging around to buy more of something.

Mark @exyle You are Choosing the Right World Cup Team to Root For. Bianca @bkdbkd knows that too..............

Now is a good time to invest in crypto.

there is only the positive side now because the supply is way less and after that pump up in sbd i don't think it will remain here for quite long time its in market hand now so $1 forever is not possible at all

That discovery will help me greatly, you need to see how bitter I get whenever I remember I was suppose to have defrozed my steak earlier.

Well post.

Better bet than Tethers I guess.

bitUSD on Bitshares is a better alternative

lol man lol!!.,,,.....

My episode tomorrow @zainenn is talking about exactly this topic! I discuss how the STEEM block is the future economy of the world. Stay tune @exyle you and I are on the same wave length! great video as always