Living Off Your Crypto Stake?
Forecasting where you will be in 2030, but you must always be realistic in your growth and price projections.
I do think the idea of one day being able to live off your crypto rewards is something we have all thought about at some point. The biggest problem is the volatility of the 4 year crypto cycle so maybe for a month or two when the prices have risen you do naturally start thinking these crazy thoughts.
We have seen or heard about others going all in on crypto only for the Bear market to highlight what a bad idea this was. For anyone contemplating this idea I suggest a starting point would be calculating the value of your rewards using the worst case scenario which is the lowest price of each investment.
I still do believe that anyone wanting to achieve the idea of living off crypto can do this is a 10 year time frame. This would involve stacking and earning along with selling that stake twice at the peak and buying back in when the prices have dropped considerably.
When I look at my portfolio I am still a long way off from where I need to be, but at the same time maybe closer than I think depending on how high the prices go next year. Currently my one stake generates roughly $200 in rewards monthly so if one sold at the peak and bought back in at the low end you could feasibly do a 10 x on your stake size or maybe even more.
My overall target that I would be comfortable living on would be a $10K monthly income so the one stake would need to do a 50 x from where it currently sits. This can be achieved through compounding the rewards and taking advantage of the 4 year cycle to sell and buy back when the timings are right.
If we consider that the all time low should rise with every cycle then the worst case scenario is always improving. I would expect to see the $200 become a $2000 monthly income some time in 2026 excluding the growth in price maybe adding an extra 50% or more to the low prices we see currently. Saying that then feasibly this $200 being earned now could easily be $3000 monthly.
This is why you need to give the stake time to achieve the goals that seem impossible right now, but are achievable if you think clearly. The $10K target is on track for 2029/2030 and ties in with my long term thinking. At this point I would have been in crypto for roughly 12 years and gives you an idea of timelines required. This could be achieved earlier depending on what you have invested into and staked and why researching your investments could speed up the process.
Everything we do in crypto is a calculated risk with no guarantees so we need to stay vigilant protecting our investments. Crypto is a mind bender once you start calculating and planning what could be possible whilst being realistic at the same time. The wealth that can be created over a 12 year period would far outweigh those earning in the real world and gives us the upper hand with the crypto knowledge we now have.
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Indeed I have also made the calculations. $10k monthly is too high a goal for me currently. Though perhaps I just need more time and more effort.
I am certainly ready to put the extra effort in!
I suppose, the moment I can get to a $1500 monthly income from Crypto that things will really start turning around for me.
Got to keep on driving at it!
!LUV
Your post is inspiring!
@cryptoandcoffee, @zakludick(8/10) sent you LUV. | tools | discord | community | HiveWiki | <>< daily
Yes you cannot stop and I guess diversifying the stake as well is also important so you have a better chance of success. Next time I am in Cape Town we can chat and help you formulate a plan.
💪💪💪 That would be amazing!
Let me know when that might be and I shall make a point of seeing you!
I've got a bit of an income from staking various tokens but nowhere near an amount that I could live off of. I have also made a mistake with some investments such as Travala that really didn't pay off at all. It's a nice thought though and something that all of us should at least try to accomplish.
I also had Travala hoping it would do well ,but gave up o it once I compared their flight offerings. Such a waste considering they could have done so much with this.
I still have mine in there. Not a huge amount because not that long ago there were rumors they were going to merge with Agoda and serve merely as a payment portal. If that happens it could rise in value a lot but I am sure there will be a lot of butting heads since Agoda is one of the largest travel websites in the world.
I wonder if the big difference in flight offerings has to do with Travala attempting to insulate themselves against the volatility of crypto markets? If that is their concern they need to implement something that sells off all crypto payments right away to a stablecoin. But what the hell do i know?
I don't think they have any influence with being able to get better deals and the likes of Agoda will most likely release their own coins. They were in discussion about 18 months ago with COTI doing just that and I bet you they will at some point.