Hello, LBIer's. Today we are going to about the difference between a growth investment and an income investment. For some reason and I dont understand why, I see many investors viewing LBI as an income token. Over the past month, I've seen comments like "I've waited 6 months for dividends", "Why are the payments so small?" and "What is the point of LBI if there are no dividends?". That last one really annoys me as I've been asked this personally a few times on discord and I always think to myself, WTF do these people think we're doing here?
Anyways I think it's time I put a post out to explain to a bunch of savvy crypto investor's the difference between a growth investment and an income investment.
Growth token = Earnings are compounded/reinvested and the value of the fund grows
Income token = Earnings are given to token holders and the fund does not grow
Ok, now that that is done and explained, I guess I gotta think of something to fill out the rest of the post with. Hmm, let's old man rant
People today want everything yesterday, people feel they are owed something just for being here and not too many users think about all the people that have put thousands of hours into coding dapps, launching projects and building HIVE to where it is today. I hate blacklists but hey, they do the job. Think of all the shit someone takes when they run a blacklist? but at the end of the day, the content is a lot better. Compare hive.blog to steemit to see the difference. As I say, I dont like blacklists, not the same as thinking we dont need them. I dont like paying taxes but I like free hospitals, education and all the other stuff the government provides. The positives outweigh the negatives I guess. Pat on the back to the ones that run blacklist for bad content and have a permanent bullseye on their backs. I think of them as assholes with hearts of gold. lol.
Users lack long term vision for short term gains. This is the world we live in and with the pace crypto moves, it's sort of understandable as well. People say they think long term but their actions say they think short term. Why is that? I remember STEEM/HIVE being a very community-driven platform, people were generous and supportive to each other and they were a feeling of real engagement. I saw in a discord chat last night someone say "The best thing about HIVE is discord". Think about that, why did they say that? My guess is because most of the communication we have with other HIVE users is on discord. For me personally, this is true as I spend more time on discord than I would LeoFinance are peakd. What about you?
That is interesting and a little funny as HIVE is a social media blockchain but it can explain maybe why people feel disconnected from HIVE. They post on HIVE to collect rewards and communicate with other users on discord because it's real-time. This shows that there are people here for engagement because you dont get paid to use discord. Discord has always been there but back in the 2017-18 days, most user engagement was done in the comments of posts. We had no tribes, no hive-engine and it was all about blogging and content. We had no investment funds, we had writing contests. There were no NFT games, we ran community lottos/raffles and there was a general sense of community and belonging. This made it really easy to power up and think long-term as you were doing it together.
Maybe it's just me but I dont get that feeling from HIVE anymore. I love the blockchain and I'll be here for many more years but that feeling of a small community has gone. Ironically, users numbers from 4 years back are down as well. Everyone seems to be on their mission these days focused on me, me, me. Maybe it's just me but I seem to stick to a small group of people and my circle never grows, maybe even declines as people leave to do other things.
I feel like im the old man moaning about technological advances. Obviously, HIVE is much better now than it was 3-4 years ago and I would not swap today for back then but I miss the old days sometimes. I'll get back to the subject and stop the rant.
LBI is an LEO growth token. This means that its purpose is to grow in LEO value. Dividends were part of the plan purely on the fact we thought we'd issue more tokens as people love micro dividends. For me being tasked with increasing the LBI token value, dividends make my job harder but I like a challenge. Our LEO income can support both and as our off-platform investments grow, dividends will have less impact on growth. We've just gone from having 1500 LEO per week to invest or power up to having around 600. For an 8-month-old project, this is still very good but I had higher hopes. Well, come to think of it our CUB wallet earns more than 400 LEO worth of CUB easy every week so we're still growing by over a 1000 LEO per week overall.
If you have bought LBI hoping to get a good weekly LEO dividend, you've bought them for the wrong reason. Lucky for you the div works out to around 12% which is ok and the token value has increased by around 30% so everyone's winning. I see people asking sometimes, the price token is up 30% but how do I cash them out to get that profit? We will offer a buyback at some point but for now, you would have to sell them into the exchange like any other token on hive-engine. We need to have liquid off-platform holdings before we can offer buybacks because remember, we are not powering down LEO.
You should buy LBI and then forget about them. Well dont forget about them, i mean buy them, hold them in your wallet, read our content and stay up to date and basically just wait a few years. If we can grow by 20% per year for 5 years, you understand that we would see the most growth in the last year? because we would have been compounding @20% for 4 years already. Look at SPI as an example. After 26 months, SPI produces more income per year than it raised from issuing 100k SPI tokens. In other words, SPinvest makes more each year than it raised in seed money 2 years ago. That's a crazy thing to happen in just over 2 years. LBI is based on SPI's model so this is what we are headed for. LBI might take a little longer because SPI received the HIVE airdrop and waited 1 year to start dividends but LBI is on the same road.
LBI = Growth token
If you want a LEO income token...
...CUBLIFE has you sorted
Our very own CUBLIFE (CL) token project is an LEO income token. The SOB pays out a over 50% APY and I've not heard a complaint yet. There are only 9 days left to get involved with this month's token issuing. All you have to do is send any amount of either HIVE or LEO to @cublife and you'll receive your CUBLIFE tokens on the 21st and also weekly LEO dividends every Friday. No memo required
You want an income token, get some CUBlife. You want a growth token, get some LBI's. You want to be a greedy bugger, get both.
