Crypto Savings and Currency Devaluation

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(Edited)

Reflecting on last year and the kind of relationship I had for the most part of the year especially before Hive, I realized I was not really intentional.

My relationship was one of chance, luck, probability, uncertainty, and trial and error. Some friends encouraged me to continue with the relationship I had as it would save me the heartbreak if things don’t work out as hoped. Others suggested I become a lot more intentional about it.

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I am glad to say, I finally took the advice of the latter and decided to be intentional about my relationship with cryptocurrency for several reasons.

Last year, I bought two coins that were predicted to do well over time based on my research. These coins include XRP & TRX. I noticed that from March 2021 when I purchased them to date, my portfolio is worth twice what I purchased them. I don’t hold as much as I would love to, so my wallet is not that heavy but the growth rate especially given the volatility of the market is just simply amazing.

Bearing in mind, these are not coins I traded or actively invested in anything. I just purchased and left them in my wallet and came back to check them this year and noticed the almost 100% growth in its value. So this spurred me in the direction of taking my crypto savings seriously.

Recently my girl and I were catching up and we discussed the current value of our country’s currency-naira (NGN). My friend shared how she wanted to make an online purchase from a foreign store and the exchange rate was beyond crazy. She said she was almost moved to cry premium tears because she really wanted to get that item but she just could not pay that much for it. Hopefully, when the next black Friday sales come up, she will attempt purchasing the item again. She looked so sad as she expressed herself.

Personally, I have also had my fair share of the crazy exchange rate saga. I remember sometime late last year, I was trying to apply for an online certification course and the fee for the course was reasonable in USD. However, when I decided to pay for it, the exchange rate drove me to give it a second thought. These events and many more have caused me to tilt more towards being intentional about saving in crypto and holding funds in USDT.

I believe crypto savings and holding funds in USDT are things that could take off a bit of the pressure that comes with these crazy exchange rates due to the naira devaluation.

Oh well, 2022 is the year for change, exploration, adventure, calculated risk-taking, a lot of learning and researching about finance especially in the cryptocurrency scene. I am hopeful this would prove to be a good decision in foresight.

Thanks for your precious time!

Sourced Photo: By QuinceCreative on Pixabay
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Contact and Support:
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12 comments
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I believe crypto savings and holding funds in USDT are things that could take off a bit of the pressure that comes with these crazy exchange rates due to the naira devaluation.

I am with you on that, I remember buying a spellbook with my dollar account, it didn't feel like I was spending 5k instead it felt like I was spending 3k, this is because I have kept this money since 2019, and forget about it. keeping money there is really worth it, and now in hive, I have the ability to control where I want the money to go.

🙂

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I totally agree.
The rate at which the naira is getting devalued is crazy and the more you leave it in your bank account, the more your funds lose value over time.

Thank you for stopping by!

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Both those coins you purchased are not going to beat currency debasement long term because you cannot account for their inflation inside their network, how do you verify the supply? You cant, you're going on faith from one faith based system to another

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Like I mentioned in the post, I purchased these coins not with any intention in mind last year. However, I was expressing my joy concerning the growth their value over time. I'm aware of its volatility.

I also mentioned the option of converting my local currency to USDT (which was and is currently stable) to help retain the value of my local currency.

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USDT isn’t stable it’s losing an annualized rate of around 12-14%

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That's interesting.
For now, I don't have a lot of funds there.
So I guess there is still time to consider my options.

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That is excellent I have had that kind of luck with Hive nad CTP tokens both have more than doubled since I started staking last year.

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Awesome...
That's good to know...
I believe staking Hive makes more sense especially since it is predicted to experience some great levels of change in the coming months.

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That is exactly what I am betting on.

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