Contemplating what strategy I should use for the funds I am earning from mining. Currently I’ve been converting the BTC earned into $$ to pay off the debt incurred by buying GPUs for mining. But is that best strategy?
One of two things will happen: mining profitability will gradually fall to values where electricity cost overtakes profits, or mining profitability will continue indefinitely (or at least for the long term).
If all BTC earnings are kept as BTC, and the price tanks, then all earnings are worthless.
If all BTC earnings are converted to $$ right away, then you are not capturing on the increase of BTC in value. We’re already quite high in value. In the short term I don’t think the BTC value will sky-rocket to double what it is today. That is very unlikely. Perhaps in the long run, but likely not in months.
As with any business, priority one is to pay off the initial investment. In my case since the GPUs still have value, I’ll place a value of 40-50% on them on the used market, since if it comes to selling them off, the market will be flooded with GPUs.
In the short term converting the BTC to $$ will protect against large losses. It’s much easier to imagine the BTC price fall dramatically (by 5-10 times) then doubling again in the next few months. A price doubling would bring a gain of 2 times. If the price drops by 5-10 times, then that’s a much harder hit to my $$ wallet.
My strategy for the short term is to convert all mining earnings to $$ at the highest exchange possible, to protect myself against the potential loss.
My search for the best way to work on my hobbies has taken me through many ways of doing things… Unfortunately, I’m still searching for a more efficient way to do things.
Looking back over the past 20 years of projects, I’ve come to notice a few trends. One trend is that my interest in any one project lasts for about 1-4 months. There have been only one I can recall that lasted just over 6 months. Once the honeymoon period passes, I move on. I can’t help it. I’ve tried to change that, but now I’m thinking; why change it? Go along with it.
Another trend I’ve noticed is that I tend to keep busy with multiple projects at the same time. This becomes hard to manage and never really dive deeply into any one project. I know what you’re thinking… I’he heard the same advice countless times to only focus on one thing at a time. The challenge for me has been that I never really knew how to do that, or how to even approach only doing one thing/one project.
Something clicked today and my thoughts drifted towards this idea of one project at a time. What I should do is limit the amount of time spent on any one project to 1-2 months. That’s the extent of my attention span anyway, so take that time and FULLY dive into that project. Once the time is up, evaluate the project, document what I’ve learned and move on. It doesn’t matter if I failed or could not achieve what I set out to do. Wrap things up, decide on closure and move on. It could be that moving on means doing something totally different, or some sort of continuation. Dragging unfinished projects for years has not done me any favors. Lets see how this new tactic works.
I think by breaking things up this way, I will maintain the drive from day to day, and make more progress then how I’ve been tackling projects in the past.
There are many projects that i want to work ok but it all feels overwhelming for some reason. Do i need to plan better? Is that what keeps me on track? Identify all small tasks so i don’t have to think when needing something to work on?
Maybe the planning is more for the times when focus is list then when all is going well
This week so far (it’s tuesday) I’ve been rather scattered brained. Not able to focus, and procrastination is constantly chomping to grab my attention. I have been up late a bunch of nights last weekend, and I think I’m just tired. Regardless of the reason, this gave me an opportunity to reflect on how to deal with these types of situations in the future.
How do I manage myself so that when these times do come, I am more prepared to stay on target and avoid procrastination
I don’t have answers. Just confusion and disappointment as i can’t figure this out.