Crypto Dividends by calaber24p

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· @calaber24p ·
$165.76
Crypto Dividends
The term crypto dividends has been getting thrown around for the past few weeks and I wanted to talk about the whole idea. Basically the idea of crpyto dividends is focused around coins like bitcoin which are being forked so frequently that you can use their forks as a type of dividend payment, either taking the money or reinvesting it. The problem is these forks are mostly very hard for the average person to get, so for most they will probably just sit on an address until the price is no longer noteworthy or easier access is granted.

<center>https://community.nasdaq.com/uploadedimages/author/martin-tillier/dividend2.jpg</center>

Following in the steps of Bitcoin Cash and Bitcoin Gold which saw a decent amount of people actually getting them, many new launches are trying to capitalize on the notoriety of a fork. For the coin that launches, you usually get a user base day 1 and the market cap almost always becomes a bit inflated. Even if the coin is completely worthless and does nothing new, many people still want to buy it and speculate on it.

The biggest problem for the forks and the idea of a cryptodividend is that claiming all of them puts you at a large risk of losing your original coins for what is usually only a small increase. Even if you were to get 2% of your coins in a new coin, the risk of claiming without a service helping could be detrimental. If they dont use replay protection you can essentially end up sending your original coins into the void. 


<center>http://img.deusm.com/darkreading/2017/02/1328204/certs-intro.jpg</center>

This is the main reason why people ultimately arent cashing in on their crypto dividends unless the project does a straight up airdrop instead of having to split from a wallet. Trezor and Ledger seem to have taken the stance on forks that unless there is huge demand they wont be following every single on of them. So basically you are left up to your own and hope that you dont mess up and lose the original amount.

There are a few services that are actually letting people split all their coins for a fee, but at the same time, you would be risking them with a large amount of your actual bitcoin,eth, ect. Many exchanges will credit you because it is easy for them, but if you are keeping that much on an exchange you are at risk again. So the whole thing ultimately comes down to risk and most people, like me say the risk isnt worth it. Unless we get better services to help us split the coins, they will most likely just sit there for most people.

-Calaber24p
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vote details (31)
@p2port.com ·
The Best way and the most reliable one - find the gems (fundamentally strong projects which have strong team, a product in the mind to solve an important issue with high utility value). Ideally, it should have a reasonably deep moat vs. competitors. This is the recipie for success! Earlier or later the market will recongize the value of the project and will award you with immence profits. Real life example, RLC token (iExec) >+100% today! This pick was included in our portfolio yesterday and published here https://steemit.com/crypto/@p2port.com/crypto-portfolio-high-quality-crypto-assets-for-long-term-growth-created-on-11-january-2018
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@razib59 ·
In fact, Bitcoin is an awesome coin thank you to share it among us
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@infidel1258 ·
$0.14
I know storing coins on an exchange long term is a bad idea because Mt. Gox, however, Bittrex paid me my fork coins, BTG and I think they also paid BCH to people with BTC on their exchange prior to that event as well. So I would trust Bittrex at least if you had BTC you wanted to split, and if like you say the coin is going to develop at all the exchange will likely give that value to you, even if it is a later date, and a lower price by the time they do.
šŸ‘  
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vote details (1)
@milano1113 ·
I have already heard about crypto dividend few times before. I know exactly how it works with stocks of companies paying dividends, but Iā€™m still confused with crypto dividends. People like me are confused and that could be the reason to rather stay away from it at least for now. 
I definately would take advantage of it since Iā€™m long therm crypto holder. Iā€™m sure we will be hearing more and more about it.
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@mastaz ·
I think the measuring stick at the end is based on the demand so I do agree with Ledger and Trezor.  They can make whatever coin out of Bitcoin as a fork but that doesn't mean that it has any value or bring in anything new.  I think people are starting to see that which is a great thing.  Less security risks and discourages more junk in this space.
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@samuel-swinton ·
Binance is pretty good with forks. If a coin you own forks and becomes listed on Binance it just shows up in your wallet!
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@tatchcapital ·
We just distribute a nice dividend in 2017
šŸ‘  ,
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vote details (2)