| json_metadata | "{"appDepth":2,"musingAppId":"aU2p3C3a8N","appBody":"<p>Between the three choices, Option #1, converting SBD to Steem Power (SP), or powering up your SBD is the better choice. <\/p>\n<p>Why?<\/p>\n<p>First, compared to the two other options, the impact of converting your SBD to Steem Power (SP) is long-term and will be in effect for as long as you don't power-down. Increasing your SP is an investment. Unlike Option #3, that focuses on a bigger and more immediate gain in the form of a single upvote, or Option #2 that focuses on a temporary increase in SP, Option #1 actually increases your SP, meaning you will reap the benefits of a higher SP--increased upvote value, higher resource credits, and more Steem vests--with more permanence. <\/p>\n<p>Thus, while the financial benefit may seem small compared to a bot's single upvote, the gains from converting SBD to SP could add up in the long-run. They are also permanent, unlike when the lease for your delegated SP ends. <\/p>\n<p>Second, converting your SBD to SP right now, when the price of STEEM is much lower will give you more value. Don't get me wrong, as I mentioned in another musing post, which I'll link to below, when it comes to accumulating SP it's always the sooner the better. However, at a time when the price of STEEM is much lower than SBD (1 SBD = 0.996 USD \/ 1 STEEM = 0.812 USD as of October 23, 2018 12:34 UTC), you are actually getting 1.227 Steem Power for every SBD you power up, as of this writing.<\/p>\n<p>Now, if we consider all the positive projections for the price of STEEM, particularly how STEEM could potentially blow up in the coming months as we anticipate the release of SMTs and STEEM's recent win of the gonetcoins.com listing contest, then we could expect SP to get more expensive soon. In this respect, wouldn't you rather increase your SP now by converting your SBD into SP at an advantageous price, rather than waste it on leased SP, which you will have to pay for again in the near future? <\/p>\n<p>Third, you are more likely to profit from your SBD if you convert it to SP than if you spend it to buy an upvote from a bidbot. It is important to note that your SP is always increasing. Not everyone may notice this, especially if your account's SP is not that high, but if you look closely, you will notice that Steem Power generates more Steem Power, which in essence is really just more STEEM. I won't go into the technical details of how this happens, but this happens because of the STEEM Inflation Rate. <\/p>\n<p>So, in a way, HODLing Steem Power generates positive ROI. However, this is not always the case when it comes to buying votes from a bidbot. With bidbots, the ROI is not always guaranteed. In fact, most of the time it's negative. This is especially true for inexperienced bidders and small accounts who would be lucky to break-even with their \"investment\". In fact, as most users learn down the line, the best way to benefit from a bidbot is not by buying votes, but by delegating SP to them, which, ironically requires converting your SBD (or STEEM) to SP, in the first place. <\/p>\n<p>So, as you can see, if your goal is to make the most out of your SBD, the best option is to convert it to Steem Power. Not only is it an opportune time to buy Steem Power with your SBDs given its current dollar value against STEEM, but it is also the more advantageous strategy for long-term profitability and growth because you can already use your SP to increase your vote value, increase your resource credits, and increase your Steem vests.<\/p>\n<p>Hope this helps.<\/p>\n<p>Sources:<\/p>\n<ol>\n <li>Steem Supply. https:\/\/steem.supply\/<\/li>\n <li>Musing Answer - When do you think is the best time to buy steempower? https:\/\/musing.io\/q\/boliboli\/f3nuszt85?r=profile-cryptocopy<\/li>\n <li>If you hold Steem Power, you're earning STEEM automatically. https:\/\/steempeak.com\/steem\/@lukestokes\/if-you-hold-steem-power-you-re-earning-steem-automatically<\/li>\n<\/ol>","app":"Musing","appCategory":"steem","musingAppVersion":"1.1","appTitle":"What is a better option 1. Convert SBD to steem power as SBD is priced higher 2. Lease more steem power 3. Get bot to vote your post?","appTags":["steem","based","dollar"],"musingPostType":"answer","appParentPermlink":"fkbmv2285","appParentAuthor":"vedvati"}" |
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