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Title: Staking Post by: Polygonking on July 19, 2021, 07:00:45 AM I live in Sacramento CA. Im looking for someone that I can connect with and help me stake some of my savings. What i mean by help me is make sure I am transfering money from KuCoin to Cake and make sure Im doing this correctly as I dont want to lose money. I have a variety of coins....btc, eth, ada, matic, chain, etc.
I have watched well over 50 videos and I see staking Cake or Hydra or what ever and the APR. When I plug in the numbers at staking $100K in Cake for example this is what I get: Invest $100,000 at $12.77 per CAKE Total Reward Rate: 68.53% Est Monthly Earnings: $5,632.93 or 438.36965 CAKE Est yearly: $68,534.03 or 5,333 Cake So you mean to tell me that if I took out a loan from my bank at $100K at 4% APR my monthly payment would be approximately $459/month BUT I will make $5632.93 per month. So a passive income of $5,583.93!!!!! This is one of those situations that asks...........is this to good to be true. Am I missing something? Title: Re: Staking Post by: Magicalking on July 19, 2021, 07:26:20 AM I don't know much about staking. I haven't done it before so I will let the experts. But if by any chance whatsoever it looks too good to be true then it may(90%) be a scam. Staking your savings, borrowing money from the bank to invest is risky. Golden rule is don't invest more than you can afford to lose
Title: Re: Staking Post by: cryptoaddictchie on July 19, 2021, 07:48:53 AM So you mean to tell me that if I took out a loan from my bank at $100K at 4% APR my monthly payment would be approximately $459/month BUT I will make $5632.93 per month. Possibly if the rate of staking on cake is computed the same way you imagined. Of course its not always have the same APR and price for the next consecutive days. It could retain somehow a range but in the coming months you cant say that you are regularly profiting 5k usd. Thats the difference of bank and crypto defi product however, the risk is also much higher and your 100k could lower its quantity if the price or or the value of what you staking decreases too. So a passive income of $5,583.93!!!!! This is one of those situations that asks...........is this to good to be true. Am I missing something? Title: Re: Staking Post by: odolvlobo on July 19, 2021, 08:29:00 AM Am I missing something? What happens if CAKE fails or if its price drops? Title: Re: Staking Post by: blockman on July 19, 2021, 09:04:16 AM I would rather choose a better coin to stake than Cake. Yeah, it shows that much return for your investment but the post above me is a valid question that you must consider upon putting that numbers on this coin. Well, a great reminder has always been said that you should only invest what you afford to lose and do not be too caught by the numbers it shows and you have to wait for that long until your projection happens or that estimation that you've come up with comes into reality. But you know, there's a lot of things that can happen within the period of your waiting as you consider it as your 'passive income'.
Title: Re: Staking Post by: cryptomaniac_xxx on July 19, 2021, 09:04:52 AM Am I missing something? What happens if CAKE fails or if its price drops? As for the APR, that's not fixed, in the beginning they will offer high APR to attract investors and then later they will lower it down. So that's how the game works, and most likely you will be disappointment if you borrow from banks and think that you can make money out of it from staking. Title: Re: Staking Post by: _IRMAN on July 19, 2021, 09:19:42 AM Invest $100,000 at $12.77 per CAKE Total Reward Rate: 68.53% Est Monthly Earnings: $5,632.93 or 438.36965 CAKE Est yearly: $68,534.03 or 5,333 Cake So you mean to tell me that if I took out a loan from my bank at $100K at 4% APR my monthly payment would be approximately $459/month BUT I will make $5632.93 per month. So a passive income of $5,583.93!!!!! This is one of those situations that asks...........is this to good to be true. Am I missing something? APY can also go down depending on the number of staking participants Title: Re: Staking Post by: o48o on July 19, 2021, 09:20:37 AM Am I missing something? Yes, you are missing something. You are comparing your value to USD assuming that CAKE value would stay even closely the same even though it is highly volatile asset that could go down 90% making your staking rewards irrelevant. Also even if the price would go up, you need to pay taxes from the gains. And the fact that you are trusting your funds on centralized exchange that can exit scam any day. Your account can be hacked and if kucoin even claims that they suspect your account about anything they can freeze your account and your money with it. Title: Re: Staking Post by: Karartma1 on July 19, 2021, 09:25:52 AM Am I missing something? What happens if CAKE fails or if its price drops? The guy's assuming variable as they were set in stone. His risk management is blurred buy his appetite to maybe earn $5000 in one month and then lose everything in one shot. Fancy maths and calculations based on those variables can lead to a great disaster OP. Think twice before doing anything like that. Title: Re: Staking Post by: Bttzed03 on July 19, 2021, 09:33:37 AM ~ is this to good to be true. It would appear that way IF the fiat value of CAKE remains or goes up BUT, as already mentioned by others, the USD value could go under $1 at any moment. Would you consider that real?Explore platforms that offers staking/farming for stable coins like BUSD - USDT (bep20) pairs. Most that I've seen offers higher APR than banks but be careful of potential exploits and rug pulls. Title: Re: Staking Post by: vv181 on July 19, 2021, 09:34:17 AM ~snip You guessed it right when you think of it as a too good to be true. You might think that whatever is too good to be true must be a scam in fact majority of it is indeed a scam but, in this case, you just lack of information about how staking works. You didn't input further important factors like price changes etc, you just blindly put the current rate. Which it is does not work that way.This is one of those situations that asks...........is this to good to be true. Am I missing something? Title: Re: Staking Post by: hugeblack on July 19, 2021, 09:35:46 AM Is it dangerous to invest this amount in order to get 5% or even 15% of unknown cryptocurrency? What will happen if the price collapses, even getting a 20% increase will not be enough to compensate for the losses.
$Cake is a new shit coin and have good price because of uniswap success, without that it will never have a value. Second, the method of obtaining a return on investment is not fixed, meaning that 4% is not fixed, but rather depends on the network and you may not get those profits. Instead of all this invest in Bitcoin. Title: Re: Staking Post by: enhu on July 19, 2021, 10:49:16 AM Looks very tempting to see the rate where you can earn a passive income of more than $5K a month. It would have been more profitable if you are early investors of the Cake that you could get it for less than a dollar. Am I missing something? What happens if CAKE fails or if its price drops? That's the risk there because this market is not so friendly especially in the bear market. Title: Re: Staking Post by: Gayong88 on July 19, 2021, 01:57:17 PM Staking - The excellent features provided by a platform for its users and for the current conditions are very much offered and have been used, but first it is highly recommended to read the applicable terms and conditions that have been set by a platform before you decide. always carry out actual confirmation with the platform owner through the channel that has been directed so that it is clear and direct. For the calculation of different platforms, the calculation is different in my opinion, I see.
Title: Re: Staking Post by: Beparanf on July 19, 2021, 02:03:44 PM Invest $100,000 at $12.77 per CAKE Total Reward Rate: 68.53% Est Monthly Earnings: $5,632.93 or 438.36965 CAKE Est yearly: $68,534.03 or 5,333 Cake So you mean to tell me that if I took out a loan from my bank at $100K at 4% APR my monthly payment would be approximately $459/month BUT I will make $5632.93 per month. So a passive income of $5,583.93!!!!! This is one of those situations that asks...........is this to good to be true. Am I missing something? Theoretically speaking, this is right analysis considering that the token you are investing is a stablecoin. Token that usually providing high APY for staking are those who has a very volatile price that's why they introduce staking to minimize volatility by locking the funds. Let's say you invest on Cake while the price is 20$ then after a year it went down to 10$ while the APY is 60%. So it means that you earn only 10% since the original value of the token you invest went down 50% while your APY earnings was 60%. Title: Re: Staking Post by: ectbit on July 19, 2021, 08:50:52 PM You can stake stable coins, but the APY is much lower, around 6-14% per year.
A good way to use staking or farming is: first find 2-3 good coins that you believe in eg. Cake and BNB. You believe that in the future these coins will have a higher price than now, so you want to hodl them for a long period. Then you start staking or farming these coins various different DiFi to earn their native coins, then stake their coins, or sell them to get your profit. This works only if you have a good amount of money, otherwise fees will cut your profits. Of course i oversimplified the strategy. You must read about the risks (rug pulls, scams etc) Title: Re: Staking Post by: lumierre on July 23, 2021, 05:31:22 PM It is a really bad idea to take loans for investments. It is always said that you should invest only such sums of money that you can afford to lose.
Talking about staking, I am doing it. And pancake swap is a good, conservative choice actually, when we talk about big money. Personally I deposited most of my assets to pool cake-bnb, but now it is not very profitable because of the bear market. And the same situation is with cakes' staking, as decreasing of its price might take all the profit of high APY away. So it is safer to stake stablecoins, but unfortunately they usually offer less than 10% APY, so nothing special. Title: Re: Staking Post by: Dragonfund on July 23, 2021, 06:42:24 PM My friend, it seems you don't know how the market work but my little advice, never borrow to invest in crypto, you may end up in jail because things may likely not go the way you want or predicted.
What happens when the project fail? What happens if the price plummet? What happens if cake get cake/hacked. Thundercore has been example the past few weeks. Crypto investment comes with high risk, you should invest something that will not cost you much incase the opposite happens. Title: Re: Staking Post by: devil2man on July 23, 2021, 06:52:58 PM at the beginning all the stake opportunities look great with large earning percentages (api) but we must always keep an eye on the impermanent lose in the concrete example $ 100,000 at $ 12.77 per CAKE if the price were to drop even by just $ 0.77 we would have already a loss of more than 6000 $ then the api are not fixed but variable, we have to calculate well all the risks before investing
Title: Re: Staking Post by: Sirait on July 23, 2021, 06:55:44 PM So a passive income of $5,583.93!!!!! one thing that makes me see you lucky is that you are staking on the right platform. pancakeswap is a very trusted defi platform, I'm sure if you dare to take the risk by making a loan at the bank and staking cake then you have nothing to lose. I also plan to make a loan for staking cake on pancakeswap, I'm sure there will be profit and the price of the cake will continue to increase.This is one of those situations that asks...........is this to good to be true. Am I missing something? Title: Re: Staking Post by: Tigerheart3026 on July 23, 2021, 07:19:36 PM you may have calculated it very easily now because it's price more expensive so your profit will be big if count monthly basis btw suddenly if the price goes down a lot then it's not possible to make same profit which now you calculated. apy or profit will depend on cake price.
bank will return 4% btw isn't the bank a much safer investment than cake staking? Title: Re: Staking Post by: teosanru on July 23, 2021, 07:52:50 PM I live in Sacramento CA. Im looking for someone that I can connect with and help me stake some of my savings. What i mean by help me is make sure I am transfering money from KuCoin to Cake and make sure Im doing this correctly as I dont want to lose money. I have a variety of coins....btc, eth, ada, matic, chain, etc. Absolutely yes, the biggest thing you are missing here is price fluctuations. Who told you that cake would remain $12.77 forever? Also, the return or the APR isn't constant too, it too varies a lot with time. But the biggest concern is that what if the price of the cake falls to $2 and never gets back up to $12 or let's say does come back to $12 but after 3 years? During this time your loan installments would still be due, which means every month for repayment of $459 you will have to sell your cakes brought at $12.77 at $2. Also when you re-stake the coin at the end of the first month, chances are its APR might have fallen or increased. So basically it's a big risk you are taking, three big risks:I have watched well over 50 videos and I see staking Cake or Hydra or what ever and the APR. When I plug in the numbers at staking $100K in Cake for example this is what I get: Invest $100,000 at $12.77 per CAKE Total Reward Rate: 68.53% Est Monthly Earnings: $5,632.93 or 438.36965 CAKE Est yearly: $68,534.03 or 5,333 Cake So you mean to tell me that if I took out a loan from my bank at $100K at 4% APR my monthly payment would be approximately $459/month BUT I will make $5632.93 per month. So a passive income of $5,583.93!!!!! This is one of those situations that asks...........is this to good to be true. Am I missing something? ~snip~ 1. price fluctuations (The Biggest) - Think of people who thought of staking cake at $40. price is now at $12. 2. APR fluctuations So I won't recommend taking a loan for this type of investment. Title: Re: Staking Post by: zasad@ on July 23, 2021, 10:41:13 PM .. This is a common pyramid scheme, in which you need to buy CAKE tokens to invest in.Am I missing something? As long as the number of participants grows, CAKE tokens will be in demand, but then it will quickly end. And from the point of view of legislation, you will have nowhere to complain. Investing in this crypto shit ends in bankruptcy or big losses. |