Cashing out HBD Experience

in LeoFinance8 months ago

Being unemployed, I am in a situation in which I need to cash out HBD. I need to get by for a few weeks until I have some other cash coming in. I have looked at different options for cashing out in HBD. I don't want to convert to HIVE and cash out as the more HIVE is out there, the lower the price, right? Plus, the more HBD is in circulation, the more likely it will be adopted by others as a stablecoin. I know, I know. My meager savings are not going to move the market. But we have to start somewhere, right?


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Wrapped HBD

My first effort was using Wrapped HBD through Polygon. I can receive Polygon deposits with lower transaction fees. However, the conversion of pHBD to USDC is harsh. I was getting about 83 USDC for every 100 pHBD. Ouch. That's far from ideal at almost a 17% loss.

V4V

Next, I used v4v.app to make a withdrawal. It cost $105 HBD to get $100 in cash using V4V. A 5% is much better. And this is also a shorter trip to fiat. I can receive the cash in my Strike wallet as lightning deposits are automatically converted to cash. I can then send the deposit to my checking account. The only disadvantage with V4V is that your transactions are limited to around $100 per day. I think this is reasonable as you can live more than comfortably on less than $100 per day in many parts of the world.

For now, I think v4v.app might be my preferred method, even if it requires spreading out transactions over many days.

Capitulation

I suppose I should accept that I should probably convert my HBD to HIVE and use that to withdraw. First, I'd exchange HBD to HIVE on the internal market. This way the HIVE is kept in house rather than out on exchanges. Second, I'd use SimpleSwap, StealthEx, or Ionomy.

StealthEx

Using StealthEx to convert my HIVE to Polygon USDC is straightforward. There was no request for me to log in to do the exchange. You get an address and memo to send your HIVE. It spits out your preferred crypto on the other end. I think it's roughly a 2% cost. I don't know what limits there are for swaps.

SimpleSwap

Using SimpleSwap to convert my HIVE to Polygon USDC is also straightforward. It did not ask me to log in to do the exchange, although I do see that there is an option to log in. It's also not obvious what the swap limits are.

Ionomy

There is also an option to use Ionomy to cash out both HBD or HIVE. The only problem for me is that there is no option for me to cash out USDC.

My Circumstances

Some of you might be wondering why I need to go through contortions to get money on and off of Hive. My circumstances are that I live in Texas. This means that USA citizens do not have access to Binance or some of the other exchanges that handle HIVE and HBD. Secondly, Texas has additional restrictions that may limit what is available to me. And finally, I have to keep things as simple as possible as there are tax consequences for each trade. My preference is to keep things in stablecoin as much as possible as they don't have the same capital gains problems other cryptos have.

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