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I myself actually wrote a post talking about a complementary system of like-points, convertible to merits, sometime back.
So yeah, I definitely support the proposal in spirit, even if as others pointed out, the details and exact mechanism needs to be refined. We can only tell when merit sources become more active, but I have a feeling it's not as sustainable as a decentralised system.
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Agreed. I don't think I would leave merit on a post/thread if somebody asks for it regardless of how great the post was. This sort of practice should be frowned upon by the community or better off actually prohibited. At worst it's begging and at best it's completely redundant.
@hilariousetc, I welcome the comment but it's a bit biased dun u think? if u look at the replies to some of my posts, there were several people who were appreciative, often people who are newer to the forum, and who left comments like "I would definitely have merited if I had some left xx". And to that I usually leave a comment saying "np and that we're all here to learn tog" etc. Do you honestly view this sort of interaction as 'bad' for the forum? To me, it's really just a neutral reminder of sorts, and what matters most, in the spirit of the merit system, shd still be the quality of the content. On this note, I actually think that it's a bit unhealthy for high level folks to frown excessively on all merit-related lines. Neutral merit reminders shd not be clustered together with so-called merit begging/fishing, however the latter are defined. The terms themselves are also quite derogatory in nature. Gives off the vibes that someone high and mighty, commenting from 100 feet above, saying "shoo, go away beggar", when the reality could be quite far from that. Anyway, think i already sorta addressed your concerns via my replies above. "P.S. Any senior member who intended to award the post merit and sees this -> pls don't, it was a partial rant out of angst, and I probably shouldn't be earning merits this way. Will continue writing 'good' posts elsewhere. Comments are always welcomed though, thanks." and, "Having said that though, I think going forward I will remove that "share merits if u found this useful" line. It was originally meant as a 'reminder' of sorts, since the system is new, and some folks are not used to awarding merits yet. But if it actually increases the chance of the post being viewed as fishing for merit etc., then it sort of defeats the purpose." |
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No worries guys, as long as u found the post useful. Just edited the post to remove that line, haha.
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@nullius
Wow, I should just say I'm thankful for the time you took to dissect my posts/content. I really appreciate the insights you've given me for each sub-reply, but I don't exactly agree with entirely. E.g., I do believe that quite a significant proportion of forum members engage in altcoin trading. Even if these are not the members with loads of smerits, I still think it's worthwhile to produce some content which might be useful for them.
Having said that though, I think going forward I will remove that "share merits if u found this useful" line. It was originally meant as a 'reminder' of sorts, since the system is new, and some folks are not used to awarding merits yet. But if it actually increases the chance of the post being viewed as fishing for merit etc., then it sort of defeats the purpose.
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I understand the need for the merit system but as I said in previous posts, it's not working well for good posts...at least right now... Hopefully when the initial merit will ran out and the merit will come only from merit sources whom understand the purpose of the merit system and what posts deserve merits, only then we will have a chance.
Thanks vlad230! i'm also hoping more active merit sources (eventually) will fulfill the system's original intention. I think there's a good chance of that we'll start seeing that over the next two months. Keeping my fingers crossed. i'm really speechless @ this. -_-" |
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Nothing Stake-able is a currency.
That's not really true. In economics-terms, to fulfill the function of a currency, a coin just have to be a 'medium of exchange', 'store of value' and 'unit of account'. The issue with most coins now is that they're not readily exchangeable for daily gds and services, and their value fluctuates too wildly day-to-day. But i think we're getting there slowly. On staking, if u think abt it, the idea is not too different from u taking ur usd, depositing it in the bank, and earning interest. So is ur usd a currency?  |
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np mate, personally i have a rule not to inject 'new' fiat even in dips, but rather just part of whatever I cashed out previously from trading gains.
Might not make the most money in bull mkts, but I believe some mental discipline is healthy in the longer-run. Whatever u do in crypto shouldn't be allowed to negatively affect the other bits of ur life.
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What does hedging mean? Basically when the market goes against u, u limit your losses. Of course your cut of the profits will be lessened as well, but in times of volatility, and there's always volatility in crypto, some knowledge of hedging is always useful to protect your heard-earned crypto gains. For most traditional assets (stocks, bonds etc.), various readily available derivatives options serves to fulfill the need for hedging. However, even as we're starting to see various instruments such as bitcoin futures, this function is still relatively immature in the Crypto space. So where do we start? Some experienced crypto-investors may say that the only strategy you need is to diversify your portfolio into a wide array of tokens, in not just the NUMBER of tokens or use-cases, but in their 'industry' or use-cases as well (e.g., e-money tokens, protocol tokens, utility tokens). That might work well for the mature equity markets, but crypto participants would realise that the crypto market is extremely correlated. When some event occurs to disrupt the confidence in bitcoin, or the crypto-sphere as a whole, the whole market tanks together. Once rallies come, >90% of the market shares in the gains. Just look at the 1-hrly or daily % changes on coinmarketcap, u'll see that the degree of co-movement is very high. While various strategies involving leveraged margin longing or shorting, or even the newer crypto-derivatives exist, this post shall focus on a simpler strategy, i.e., rule-based cashing out and re-entry based on periodic portfolio changes. To illustrate this, let us take a period of high volatility, say the last three months, and construct 3 hypothetical portfolios with a mixture of fiat/btc/eth/random altcoins holdings. [For the purpose of this exercise exercise, the following prices scrapped from coinmarketcap was used. (Link to table image at https://www.dropbox.com/s/qg3gzc4bawqpal4/table1.png?dl=0) ENG/ZRX/BNB/AIR were random alt-coin picks across a variety of purposes and marketcap.] Now let's set some rules for each portfolio: A. 30% Cash, 15% BTC, 15% ETH, 10% of ENG/ZRX/BNB/AIR each @start, HODL. B. 30% Cash, 15% BTC, 15% ETH, 10% of ENG/ZRX/BNB/AIR each, WEEKLY REBALANCING* C. 30% Cash, 15% BTC, 15% ETH, 10% of ENG/ZRX/BNB/AIR each @start, CUSTOM RULE** *Rebalancing: i.e., when the price of a token runs up, relative to others, and its share in your portfolio rise, u sell some, so that it's share in your portfolio stays constant over time. **CUSTOM RULE: 50% profit-taking (of weekly gains) when weekly portfolio change is > 30%, Re-entry of 50% of available fiat balance when weekly portfolio change is < -30% Voila, the results are as follows. A B C 20171119 10,000 10,000 10,000 20171126 12,608 12,608 12,608 20171203 12,986 13,239 12,986 20171210 13,371 13,682 13,371 20171217 19,704 19,916 19,704 20171224 20,544 21,023 20,292 20171231 29,320 27,228 27,377 20180107 55,215 43,040 45,387 20180114 61,577 46,558 48,570 20180121 47,609 39,662 40,969 20180128 44,626 38,219 39,000 20180204 32,593 31,384 32,852 20180211 26,651 24,590 30,753 Some key takeaways here, - The weekly rebalancing portfolio (B) delivers returns which are on par, or worse off than the reference HODL portfolio (A). Intuition: This could be because the idea of mean-reversion of returns, i.e., when people expect prices to always drop after rising for some time, or trend up after declining for some time, might not hold true for individual tokens in crypto, due to token-specific factors (gd/bad news, team issues etc.) which can often cause moon or doom scenarios. - The 'take-profit' portfolio does quite ok. It seems to be the most resilient in the last few weeks, when the entire crypto market took a beating. Note that the cash-out rule kicked in 3 times over the period, while the re-entry rule did not kick in at all. No declines exceeded -30% (or even -20%) on a weekly basis. Caveat: It is very likely that if the data frequency we were using were shorter in intervals (e.g., two-day changes), this portfolio would have performed even better. I recalled there were multiple times when the market tanked significantly over a short period, and ran up for 1-2 days subsequently. The re-entry and cash-out rule would have benefited significantly from such short-term volatility. This post is not intended to tell u to follow the strategy above. It IS intended to tell u to learn to develop your own strategy over time, based on your own set of trading rules and intuition. Those who outwins and outlasts everyone else in Crypto are often those who know what they're doing. With 2017's huge run-up in market cap alrdy, it's probably a bit too optimistic to depend on 'luck' alone in trading. As promised, those who wish to have a copy of the excel and play with the parameters for themselves (including tinkering with the custom rule) can get it here https://www.dropbox.com/s/vskcfdcwu274cjc/Portfolio%20Simulations%20Excel.xlsx?dl=0. Have fun folks. |
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@SaltySpitoon, thanks for taking the time to reply.
Yours and @HabBear's words helped me increase my understanding of how posting works. Will try to be more targeted next time.
P.S. Any senior member who intended to award the post merit and sees this -> pls don't, it was a partial rant out of angst, and I probably shouldn't be earning merits this way. Will continue writing 'good' posts elsewhere. Comments are always welcomed though, thanks.
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By merit-farming (ok, maybe not the correct term), what I meant was that these are probably folks with multiple accounts, using their higher-ranked ones to award their lower-ranked ones, through posts which sing praises about the system and have no real value add whatsoever.
Anyway, just noticed. Thanks for the merit point mate, appreciate it. And yes, will re-post in the suggested thread, thanks for the recommendation and pointers.
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Newcomer here, joined in dec, got blocked by the implementation of the merit system in lvling up. My response? I tried to adhere to the SPIRIT of the merit system and spent some hours writing up 'good quality' (imo anyway) posts. Such as this one, which tried to clear up the air abt how what blockchain v. 1 vs 2 vs 3 vs 4 means... https://bitcointalk.org/index.php?topic=2934856.msg30156883#msg30156883. Or this one, which tries to 'educate' beginners abt the benefits of hedging and how to go abt doing it (comes with free excel simulations too)... https://bitcointalk.org/index.php?topic=2956302.msg30343731#msg30343731Or say this one, where I tried to suggest a feasible enhancement for the merits system. https://bitcointalk.org/index.php?topic=2938208.msg30179058#msg30179058So how many merits am I at now? 1 ... a bit dismal, but yes maybe I'm just largely unlucky that these posts go unnoticed. I'm OK really. But what makes my temper flare, is how some members are using merits related posts to farm merit. They create an attractive thread name, write a FEW lines about how people shdn't complain abt the merits system, that it's the next best thing to be invented since air-con, and how improving writing/english will naturally lead to merit awards. Dude, even an idiot knows this. And i see some of these posts geting 50 to >100 merits. Either some senior members only want to hear the GOOD stuff (which i highly doubt so), or this is the most blatant merit-farming i've ever seen. Pls stop. Even if u're trying to find a valid reason to award ur junior account from ur higher-ranking ones, go write a serious educational post, abt ur trading experience, abt some new awesome ico project or even on ur views on crypto outlook for the year. Whatever, as long as it really helps the community. For myself, I'll keep trying. Newcomers like me, don't give up. Keep writing, we'll pull through together.  [Edited: P.S. Any senior member who intended to award the post merit and sees this -> pls don't, it was a partial rant out of angst. Will continue writing 'good' posts elsewhere. Comments are always welcomed though, thanks.] |
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oh forgot to mention, u shd likely also attempt to read thru the token sale paper + the whitepaper. Dun need to labour over it line by line, if u're not into that kind of stuff, and if u're not investing large sums. But be sure to check whether the jurisdiction u're in is allowed to participate, how much money they're colllecting in all (i.e., max mktcap, and whether the project is really worth that much), and what's their roadmap or fund usage avenues.
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as good a time as any i think, low-cap icos with solid fundamentals will likely do quite well in 2018, but be careful if u're just there for the flip. Also be sure to do your own due diligence, including checking the teams' linked profiles (or even msging them), joining the telegram and reddit to gauge investor sentiments and check for any bs replies by the team, checking on partnerships listed, making sure u always contribute according to the stated guidelines (and not on fake website, not giving money to random 'admins' who pm u anywhere) etc. etc.
Then u shd be fine:)
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np mate, appreciate the comment:) we're all here for each other.
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What does hedging mean? Basically when the market goes against u, u limit your losses. Of course your cut of the profits will be lessened as well, but in times of volatility, and there's always volatility in crypto, some knowledge of hedging is always useful to protect your heard-earned crypto gains. For most traditional assets (stocks, bonds etc.), various readily available derivatives options serves to fulfill the need for hedging. However, even as we're starting to see various instruments such as bitcoin futures, this function is still relatively immature in the Crypto space. So where do we start? Some experienced crypto-investors may say that the only strategy you need is to diversify your portfolio into a wide array of tokens, in not just the NUMBER of tokens or use-cases, but in their 'industry' or use-cases as well (e.g., e-money tokens, protocol tokens, utility tokens). That might work well for the mature equity markets, but crypto participants would realise that the crypto market is extremely correlated. When some event occurs to disrupt the confidence in bitcoin, or the crypto-sphere as a whole, the whole market tanks together. Some rallies come, >90% of the market shares in the gains. Just look at the 1-hrly or daily % changes on coinmarketcap, u'll see that the degree of co-movement is very high. While various strategies involving leveraged margin longing or shorting, or even the newer crypto-derivatives exist, this post shall focus on a simpler strategy, i.e., rule-based cashing out and re-entry based on periodic portfolio changes. To illustrate this, let us take a period of high volatility, say the last three months, and construct 3 hypothetical portfolios with a mixture of fiat/btc/eth/random altcoins holdings. [For the purpose of this exercise exercise, the following prices scrapped from coinmarketcap was used. (Link to table image at https://www.dropbox.com/s/qg3gzc4bawqpal4/table1.png?dl=0) ENG/ZRX/BNB/AIR were random alt-coin picks across a variety of purposes and marketcap.] Now let's set some rules for each portfolio: A. 30% Cash, 15% BTC, 15% ETH, 10% of ENG/ZRX/BNB/AIR each @start, HODL. B. 30% Cash, 15% BTC, 15% ETH, 10% of ENG/ZRX/BNB/AIR each, WEEKLY REBALANCING* C. 30% Cash, 15% BTC, 15% ETH, 10% of ENG/ZRX/BNB/AIR each @start, CUSTOM RULE** *Rebalancing: i.e., when the price of a token runs up, relative to others, and its share in your portfolio rise, u sell some, so that it's share in your portfolio stays constant over time. **CUSTOM RULE: 50% profit-taking (of weekly gains) when weekly portfolio change is > 30%, Re-entry of 50% of available fiat balance when weekly portfolio change is < -30% Voila, the results are as follows. A B C 20171119 10,000 10,000 10,000 20171126 12,608 12,608 12,608 20171203 12,986 13,239 12,986 20171210 13,371 13,682 13,371 20171217 19,704 19,916 19,704 20171224 20,544 21,023 20,292 20171231 29,320 27,228 27,377 20180107 55,215 43,040 45,387 20180114 61,577 46,558 48,570 20180121 47,609 39,662 40,969 20180128 44,626 38,219 39,000 20180204 32,593 31,384 32,852 20180211 26,651 24,590 30,753 Some key takeaways here, - The weekly rebalancing portfolio (B) delivers returns which are on par, or worse off than the reference HODL portfolio (A). Intuition: This could be because idea of mean-reversion of returns, i.e., when people expect prices to always drop after rising for some time, or trend up after declining for some time, might not hold true for individual tokens in crypto, due to token-specific factors (gd/bad news, team issues etc.) which can often cause moon or doom scenarios. - The 'take-profit' portfolio seems do ok. It seems to be the most resilient in the last few weeks, when the entire crypto market took a beating. Note that the cash-out rule kicked in 3 times over the period, while the re-entry rule did not kick in at all. No declines exceeded -30% (or even -20%) on a weekly basis. Caveat: It is very likely that if the data frequency we were using were shorter in intervals (e.g., two-day changes), this portfolio would have performed even better. I recalled there were multiple times when the market tanked significantly over a short period, and ran up for 1-2 days subsequently. The re-entry and cash-out rule would have benefited significantly from such short-term volatility. This post is not intended to tell u to follow the strategy above. It IS intended to tell u to learn to develop your own strategy over time, based on your own set of trading rules and intuition. Those who outwins and outlasts everyone else in Crypto are often those who know what they're doing. With 2017's huge run-up in market cap alrdy, it's probably a bit too optimistic to depend on 'luck' alone in trading in trading. As promised, those who wish to have a copy of the excel and play with the parameters for themselves (including tinkering with the custom rule) can get it here https://www.dropbox.com/s/vskcfdcwu274cjc/Portfolio%20Simulations%20Excel.xlsx?dl=0. Have fun folks. |
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What does hedging mean? Basically when the market goes against u, u limit your losses. Of course your cut of the profits will be lessened as well, but in times of volatility, and there's always volatility in crypto, some knowledge of hedging is always useful to protect your heard-earned crypto gains. For most traditional assets (stocks, bonds etc.), various readily available derivatives options serves to fulfill the need for hedging. However, even as we're starting to see various instruments such as bitcoin futures, this function is still relatively immature in the Crypto space. So where do we start? Some experienced crypto-investors may say that the only strategy you need is to diversify your portfolio into a wide array of tokens, in not just the NUMBER of tokens or use-cases, but in their 'industry' or use-cases as well (e.g., e-money tokens, protocol tokens, utility tokens). That might work well for the mature equity markets, but crypto participants would realise that the crypto market is extremely correlated. When some event occurs to disrupt the confidence in bitcoin, or the crypto-sphere as a whole, the whole market tanks together. Once rallies come, >90% of the market shares in the gains. Just look at the 1-hrly or daily % changes on coinmarketcap, u'll see that the degree of co-movement is very high. While various strategies involving leveraged margin longing or shorting, or even the newer crypto-derivatives exist, this post shall focus on a simpler strategy, i.e., rule-based cashing out and re-entry based on periodic portfolio changes. To illustrate this, let us take a period of high volatility, say the last three months, and construct 3 hypothetical portfolios with a mixture of fiat/btc/eth/random altcoins holdings. [For the purpose of this exercise exercise, the following prices scrapped from coinmarketcap was used. (Link to table image at https://www.dropbox.com/s/qg3gzc4bawqpal4/table1.png?dl=0) ENG/ZRX/BNB/AIR were random alt-coin picks across a variety of purposes and marketcap.] Now let's set some rules for each portfolio: A. 30% Cash, 15% BTC, 15% ETH, 10% of ENG/ZRX/BNB/AIR each @start, HODL. B. 30% Cash, 15% BTC, 15% ETH, 10% of ENG/ZRX/BNB/AIR each, WEEKLY REBALANCING* C. 30% Cash, 15% BTC, 15% ETH, 10% of ENG/ZRX/BNB/AIR each @start, CUSTOM RULE** *Rebalancing: i.e., when the price of a token runs up, relative to others, and its share in your portfolio rise, u sell some, so that it's share in your portfolio stays constant over time. **CUSTOM RULE: 50% profit-taking (of weekly gains) when weekly portfolio change is > 30%, Re-entry of 50% of available fiat balance when weekly portfolio change is < -30% Voila, the results are as follows. A B C 20171119 10,000 10,000 10,000 20171126 12,608 12,608 12,608 20171203 12,986 13,239 12,986 20171210 13,371 13,682 13,371 20171217 19,704 19,916 19,704 20171224 20,544 21,023 20,292 20171231 29,320 27,228 27,377 20180107 55,215 43,040 45,387 20180114 61,577 46,558 48,570 20180121 47,609 39,662 40,969 20180128 44,626 38,219 39,000 20180204 32,593 31,384 32,852 20180211 26,651 24,590 30,753 Some key takeaways here, - The weekly rebalancing portfolio (B) delivers returns which are on par, or worse off than the reference HODL portfolio (A). Intuition: This could be because the idea of mean-reversion of returns, i.e., when people expect prices to always drop after rising for some time, or trend up after declining for some time, might not hold true for individual tokens in crypto, due to token-specific factors (gd/bad news, team issues etc.) which can often cause moon or doom scenarios. - The 'take-profit' portfolio does quite ok. It seems to be the most resilient in the last few weeks, when the entire crypto market took a beating. Note that the cash-out rule kicked in 3 times over the period, while the re-entry rule did not kick in at all. No declines exceeded -30% (or even -20%) on a weekly basis. Caveat: It is very likely that if the data frequency we were using were shorter in intervals (e.g., two-day changes), this portfolio would have performed even better. I recalled there were multiple times when the market tanked significantly over a short period, and ran up for 1-2 days subsequently. The re-entry and cash-out rule would have benefited significantly from such short-term volatility. This post is not intended to tell u to follow the strategy above. It IS intended to tell u to learn to develop your own strategy over time, based on your own set of trading rules and intuition. Those who outwins and outlasts everyone else in Crypto are often those who know what they're doing. With 2017's huge run-up in market cap alrdy, it's probably a bit too optimistic to depend on 'luck' alone in trading. As promised, those who wish to have a copy of the excel and play with the parameters for themselves (including tinkering with the custom rule) can get it here https://www.dropbox.com/s/vskcfdcwu274cjc/Portfolio%20Simulations%20Excel.xlsx?dl=0. Have fun folks. |
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