Fine, okay, you can call me a gold bug. I have been before the $TGLD launch from @leostrategy, but during this presale, I have learned some things that I can do in the stock market that has changed my game completely and now more than ever focused on GOLD as my primary trade in both stocks, and now, it's a part of my crypto play.
Big Stock Market Moves
So Khal made mention last week in a thread about selling credit spreads on GLD and taking those premiums and moving them into TGLD and earning the premium, or something to that effect. But what grabbed my attention was the whole credit spread options play. This is a new one to me as I have been mastering the wheel strategy on highly volatile stocks, but I have also been seeing some big downsides in the account value since tech has been taking a beating. But what hasn't, well, gold...
So I went on a deep dive and learned about credit spreads, and HOLY CRAP BALLS BATMAN!!! My game has changed in a MASSIVE way! Tomorrow morning is going to be pretty epic in my house needless to say, lol. Just a simple change in strategy lowers my risk by like 80%-90% and at the same time will more than 4x my weekly income... 4X! So yeah, GLD is the new stock play!
How Does GLD Effect My Crypto Strategy?
Well, now that my dollar based income from the stock market is going to be way higher starting this week, I can now just sit on and stack my crypto instead of having to use it for operational capital. This means I can move more mining rewards into TGLD, for some stability in my account as well as harvesting the interest. I can then also start using my GLD premium income to ramp up my partially solar powered CPU/GPU mining operation while simultaneously stacking more physical metals every week! No more one or the other bull crap! I also have a Hive power down happening currently, so tomorrow when my next one hits the wallet, it's all going into TGLD! Probably be able to get only 3, but hey, it's better than $HIVE and it's crap price right now.
TGLD Presale Has Jumped In Price
We can see the price of TGLD has adjusted and is now at 33 $HIVE per 1 $TGLD. It started at 30, so you can see it's in demand! We are down to under 10K tokens left for the presale, so go and scoop them up while you can. I won't have any available crypto funds til tomorrow so I am stuck just looking and wishing...
Excited For Rewards
I am excited for the staking rewards to start paying out so we can see just how powerful this tool is going to be for our portfolios. I hope the LeoStrategy team can get this all pulled off with no issues so the people can see it's real value and utility in the ecosystem.
Still a Risky World
Okay, so I know this feels all 'hype man' but I promise you, it's taken me a bit to jump onboard with all of this. There are systematic risks when investing in TGLD. The biggest being the counterparty risk of @leostrategy and the volatile price of the $LEO token that backs all of this. We are seeing that the markets are struggling hard and that the bear market may be on the horizon, or here now, so you will need to make sure that you do not invest more than you can afford to lose!
Remember this is NOT pegged to physical gold, or actual GLD shares. It's a mechanical peg. I have been through these kind of things before with LUNA/UST so that's why I haven't piled in actual spending money on it and have used what liquid crypto I have had available.
All this being said, I want to note that I am a paid ambassador for this project and one of my terms is that I am real with my audience and not just another hype marketer. So I want to make sure I am giving you my God's honest opinion on things. This is my plan, and what I am doing, but make sure you are always doing your own research!
Until next time...
Be cool, be real, and always abide with you my dudes!
Posted Using INLEO
There's a risk in everything in life... Hell, getting out of bed can be fatal! Gold is a solid bet and a smart to invest in as well. TGLD is one I'm excited to see rewards start rolling in as well. I would buy more but I'm liquid Hive poor and have had some unexpected medical expenses draining my account. Like I said, life if risky! But gold is not!
Don't think you can go wrong holding gold
Bitcoin fixes that.
I agree with the environmental impact, but I do not agree that bitcoin fixes it. Have you seen the resources it takes to power one of these corporate bitcoin mining facilites? I am a crypto miner myself and in 2019-2021 I toured several of these facilities and saw them first hand to study them in hopes to build a facility like that one day. Instead now, I have a hobby mine partially ran on solar, but still mostly on grid. I also invest in some of these corporate mining companies and make money on them through the market that way. My point is, I have done the research, not just read headlines or watched a youtube video. Many of the same or similar issues apply to Bitcoin mining facilities. It's the same with any large factory, plant, or data center. So, there is the reality of it, and there is the dream and the lie of it all being done on clean and alternative energy, which it simply is not.
The big difference is that digital mining naturally flows toward cheapest (ideally trapped) energy sources compared to gold mining's move towards environmental mining solutions. This seems largely due to the chemical aspects surrounding gold mining. It seems like a very small orange compared to a very large apple to me; when comparing energy use of digital mining to the environmental damage surrounding gold mining. One seems a negative due to its dependence on a secondary system which is working to be made more environmentally friendly while the other does not appear to be moving, at least at the same velocity, as the other.
It does flow to the cheapest energy, but that is not always clean energy. Plus with the constant growth in computational needs, the need for more and more of that cheap energy is needed, so therefore it has to be extracted, processed, and converted in some way. Hell even 'clean energy' requires mining or other environmental disturbing methods. Again, it's dream vs reality. Plus now with AI, hell most of the corporate mining companies shifting to building out AI infrastructure, so that is only going to make it worse.
To each their own one may say.
Just before the pandemic my Sister-In-Law told me about accounts one can set up here in Kanada. By depositing a minimum of $15k one could trade out of it and not suffer the curse of capital gains tax. It seemed like a private club that only those that could afford the $15k could get membership. My feeling is that it is little more than that.
Once the account was set up, @dollarvigilante gave a good tip on a mining stock. The company was asset rich, having just taken over another mining company. Ironically @dollarvigilante was the one who made me aware of STEEM back in the day.
The stock took off and a few thousand was made in less than a week. It all had a tainted smell to me; from the elite aspect of the tax free account to the gains in such short order. It was then that some research was done about the mining industry itself.
My decision was to sell off, close the account and buy digital gold with the fiat. That investment has done well over that time. One can argue that it is a negative investment as far as the environment goes; yet gold mining seemed much more destructive and disruptive to both peoples and their environment to me.
Some don't take ethics into their investment decisions and that it understandable to me. To each their own is my motto in that regard; yet to put Bitcoin mining on an equal footing to gold mining, in that regard, is not a view we share.
Best of luck with your investments though.
Eh, I have done the research by going to these mining facilities and data centers personally to see the operations first hand. My cousin is in the gold and silver mining business in Colorado, and expanding his store business to Texas. I have seen his operations as well, so I also have a big understanding of that industry. I mean I have a small hobby farm at home that I am building solar infra for, so I am still doing my thing, but not on huge scale like I had dreamed before.
Like I said earlier, I don't disagree about the environmental impact, but I promise Bitcoin doesn't fix it, that was the whole point, not about which investment is better. I have tried to get into this industry in a real way myself, so I've done the actual digging. I mean I have BTC too...
I don't listen to random hyperbolic influencers online, especially that dude, lol. I tried for a while, but he's really kind of an idiot that is just smart enough to have smart people behind him. Respect for him doing the anarchist thing though, I give him that much, lol.
You are probably right with Jeff and smart people. Have never taken a tip from him that has not paid off for me, though. Lost track of him since he was pushed to the hinterland of social media.