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It is true that we are in the crypto sphere to make money. But we are also here to have fun. This constitutes a wonderful space in my life today and I have discovered a parallel world, let's say a metaverse, in which I can navigate unknown and new paths every day, trying my luck and learning a lot of new things.
But the most exciting thing is interconnecting the different applications as you understand how the brilliant minds that design new protocols work every day.
Playing a blockchain game is a kind of PoW, the consensus protocol that Bitcoin miners use. You invest your time and electrical energy, and in return you receive tokens. When one finds a way to use those tokens in another application and generate new earnings, then the game becomes more complex and more fun. If one ends up making a profit without having invested a single unit of fiat, then we become aware of what this metaverse means, a new space in which humanity is getting into, as a new economy and new finances develop, economy and finances that cannot be explained with the axioms in vogue, although universities try-hard. All of this is nothing like classical economics and traditional finance. Since economists and traditional financiers do not understand and still do not want to understand how the crypto-sphere works, then they set out to vilify it. And we have to take advantage of that. There will come a time when they will have no choice but to surrender, and they will be left far behind.
Image by Souzan B from Pixabay
Cryptoeconomists and new generations understand that the economy is now much more related to the gaming ability of human beings than to the exchange of goods and services.
In this post, I am going to tell you about one of my adventures.
It's been over 2 years since I started learning how to trade at CryptoParrot. It is a fun application. The player receives $ 100,000 (play dollars) and can buy and sell cryptocurrencies between various available pairs. When your portfolio exceeds $ 100,000, then you can claim the difference and exchange it for real satoshis.
For example, this is my situation today, 9/22/2021, as a result of the last decisions I made while trading.
The difference of $11,877 play dollars in my portfolio can be exchanged for satoshis:
All I have to do now is create a Lightning Invoice for 1,265 satoshis in my Blue Wallet, copy it to the corresponding bar, and redeem $ 11,877 play dollars which is equivalent to $ 0.55 real dollars. I plan to write a post describing in detail how CryptoParrot works because the skills that can be developed with this application are fascinating. Sometimes weeks go by without me doing anything here, but I still maintain an honorable 15th place on the Leaderboard:
(That is not me, he is Timothy Dalton, my 007 favorite James Bond.)
Normally, I would leave the satoshis that I earned in the Blue Wallet, to use them for minor purchases when the long-awaited mass adoption arrives.
But then:
Image by Cristian Ibarra from Pixabay
They introduced me to Hodlnaut.
Hodlnaut is a relatively new company based in Singapore. Hodlnaut's business model doesn't seem inherently riskier than any other crypto interest account provider, but it does offer some of the most competitive rates in the industry, having no minimum balance to qualify for crypto interest.
It's a new platform with a small team and less funding than industry pioneers BlockFi and Celsius, but it has already accumulated around $ 250 million in assets under its management of more than 5,000 users, according to its site.
The Token Swap option allows users to exchange tokens directly in the application. Deposits are free and users can withdraw them at any time. However, there are withdrawal fees and a daily withdrawal limit of 100 BTC.
Hodlnaut was founded by CEO Juntao Zhu and CTO Simon Lee. The duo previously founded Cypher Forge, a cryptocurrency trading execution platform.
Zhu spent more than three years as an analyst and developer at the Swiss wealth management firm Credit Suisse. Lee spent more than three years in engineering management positions. The two founders have a combined nine-year experience in software development, finance, and engineering.
Like most other crypto interest accounts, Hodlnaut uses its assets as collateral to offer loans to corporate creditors, getting the difference between the interest it pays to users and what it charges for offering loans to its institutional borrowers.
The platform requires 2FA to be set up before you can make a withdrawal, which helps keep accounts safe and prevent unauthorized withdrawals. Hodlnaut has never been hacked as of yet.
Hodlnaut's primary custodian is Fireblocks, a leading digital asset custody solution that employs various methods to ensure asset security. Fireblocks has assets in a combination of offline cold storage and insured hot wallets; all user repositories are never in the same place at the same time. In addition, it gives the option to buy insurance for your crypto through a partnership with a European Company: Nexus Mutual.
I am not very fond of DeFi and its vertigo. I do very little with those protocols. It may be for that reason that I found a 7.5% APY to deposit Bitcoin totally insane. Those who frequent DeFi's snail cartwheels laugh when I mention a 7.5% APY. But hey, for me 7.5% is out of context. For example, I have BTC deposited in Celsius at 3.51%, and that for me is already very good.
But the thing is even more insane when one looks at the APY that is paid in Hodlnaut for USDC, about 12.7%!
So it occurred to me to do the following.
I deposited a small amount of BTC in Hodlnaut, coming from my earnings in CryptoParrot.
After one month, I received an interest payment of 0.00001 BTC.
I decided to "skim" this value from the Total Account Value and swap it within Hodlnaut for USDC to deposit them right here at 12.7%. It is very useful and very simple to use the swap feature with just one click within the same application.
The swap was done immediately without any problems and at no cost.
Now I await the payment of my USDC interest. I plan to do this for several months and will keep you posted on developments.
Summary: It all started with CryptoParrot, playing the “professional” trader. A part of what I earned in CrptoParrot I deposited in Hodlnaut. After a month, I collected the very high interest that Hodlnaut paid me for my BTC and swap them for USDC, which were deposited at 12.7% APY.
The figures are small, but the illusion is very great.
Image by OpenClipart-Vectors from Pixabay
And all this, just for having played and had fun at CryptoParrot during some spare moments in recent months, and not having invested a single fiat currency in the experiment (except, of course, the electric bill). That is the crypto-sphere.
Before I finish, there are two negatives I have to mention about Hodlnaut.
First of all, the KYC process took longer than normal. I've done KYC many times in the last 10 years since I entered the crypto-sphere, and in the case of Hodlnaut, I had to redo it multiple times for one thing or another.
Second, I am in an Android situation, and the mobile application is only available for IOS. This is a serious mistake for me because it takes away a lot of flexibility. I hope they are working to fix this as I see no reason for this discrimination. Most of the important applications are published on both operating systems.
As usual, none of the things written in this post are financial advice and are not intended to replace personal research.
Thank you for reading!
If you have any questions or comments, please feel free to leave them down below
You can also contact me at [email protected]
Twitter https://twitter.com/SirGerardThe1st
LinkedIn https://www.linkedin.com/in/gerardosaporosi/
