RE: Dlike IEO: what am I missing?
I delegated just a small amount of SP (100.872 SP) on 2018-11-10 and have earned 27,608 DLIKE tokens (worth $690.2 based on IEO pricing).
At current STEEM levels, that’s a $42 “investment” (though, like you said, I still own my STEEM) and a 1600% return.
I was pretty early as a delegator, which is why I kept the amount small as the platform was very bare at that point in time, but the risk was essentially null because I could’ve retracted the delegation at any moment in time.
As you said in your tweet earlier, this is such a better way of investing. I hope more people see that.
As for your question of why people might invest in an IEO:
I think there are many people out there who would invest in tokens like DLIKE or HUNT who either have no interest in buying STEEM or who don’t have the knowledge that you’ve shared here (delegating is essentially a no-risk way of earning the same or more tokens than simply buying them in an IEO).
This also makes me excited about the STEEM price because if we can inform these potential investors about the benefits of hodling SP and then delegating, we could drive a consistent demand for STEEM!
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Wont the price dump though? Most people are going to want to cash in that profit, I can't see there being enough buyers. Most ICO's dumped in price as soon as they were tradeable, I think the same will happen with IEO's.
It’s definitely possible that the price could dump. I think IEO’s are a slightly different game than ICOs in terms of who’s buying and why they’re buying in.
It’s going to come down to utility. Can the team behind an IEO give their token enough utility to make it worth hodling? Certain tokens have that value already - STEEM, for example, is encouraging to hold because of the upvote power, RCs, passive return on investment, etc.
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