In my case, it' familiarity with Hive Engine. I am clueless about how Base works. The weekly HBD is the primary reason why I bought SURGE.
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In my case, it' familiarity with Hive Engine. I am clueless about how Base works. The weekly HBD is the primary reason why I bought SURGE.
the current value of Surge is around $0.68 (supposed to be $1), so does the current price affects the amount of Yield? are you receiving much lower because of that?
I am not aware of the exact percentage. All I see is that I am receiving 0.432 HBD every week, holding 150 SURGE.
Just did a quick calc, it seems that you're receiving a 15% yield equivalent to a 150 HBD. Sounds good considering the price of SURGE now at $0.68... Hmm, now I'm almost convinced to buy some SURGE too 😅
May I clarify, you are receiving yield while SURGE is in liquid form, is that correct? (no need staking or putting to a diesel pool?)
Yes, in liquid form. You can sell it anytime. I actually bought 200 and sold 50 when the price reached 5.70 SWAP.HIVE. That's instant gain.
The more I look into it, the more I’m convinced that I should buy some SURGE, because there are so many ways I could grow my tokens. Assuming that SURGE holders don’t dump and the yield remains fixed at 15% (based on 1 SURGE = 1 HBD), the actual yield would be even higher if I buy now at the current price of $0.68 — roughly around 22%.
And just like you did, there’s also good potential to swap to Hive in case the price downtrend continues. Or I could simply convert the HBD (which gives an actual yield of about 22%) to Hive, since curation rewards are only around 8%. Sounds good to me! :)
The yield does not depend on the price of SURGE, from my understanding. The APR of your investment does, and it would be higher if SURGE goes up compared to your purchase price, and lower (even negative) if it goes below your price of purchase. But if you don't sell, that's not something you should be concerned about. Yield is the same, and it depends on the number of SURGE you have, not on their price. However, I haven't done the math to see if this is correct or we actually receive a variable yield. That would be easy to notice. If you have had the same amount of SURGE from one week to another, if it pays a fixed yield (15%), it should be an identical HBD yield received every week. If it is variable and depending on the price, then HBD yield received would vary from week to week. I have had increasing amounts of SURGE, so it is not easy for me to notice that. Even harder now in the diesel pool, where the SURGE amount varies constantly.
Thanks for the explanation. And to confirm, based on @rzc24-nftbbg reply, in his case it seems that he's receiving a 15% yield based on 1 SURGE = 1 HBD; and considering the price of SURGE at $0.68... buying it at that price would mean the yield will be around 22%... I'm almost convinced to buy some SURGE because of that yield ;)
Yep, sounds about right. But I would make a distinction between the potential price increase which would mean profit on your investment in SURGE, and the yield you receive every week. The yield paid is still 15% (without considering potential compounding if you use it to buy more SURGE).
I had a Coinbase Wallet for years, but haven't used it much. It's time for me to take a deeper look at Base as well, since it will definitely grow.
For me it's that too, plus the fact it has no waiting period on withdrawal, and a growth component. It's also on Hive-Engine, and it can get involved in some little defi things like throwing it in the pool.
There are also some not positive things associated to SURGE:
this makes me think that the Yield is actually lower than 15% APR because of the current low price... or Im wrong to assume that?
If it is safe to assume the price of SURGE would eventually go higher, than no, the APR is higher than 15% because of the discount. But if Leostrategy would have issues with collateral at some point, then all their products would be affected. Right now they are well over-collateralized, but the pain points would be during the bear market, most likely.
I thought Base was different from Coinbase. I have a Coinbase wallet too, though I am not using it.
Yes, it is. Much like BSC versus Binance Wallet (although this one is probably a browser extension, not a mobile app, like Coinbase app). There is a Base wallet too, which is different from Coinbase wallet. I have Base wallet too, but haven't used it; at least on Coinbase wallet I've done some things in the past.