For me, the answer is neither. The money I have in the bank uninvested I keep as an emergency fund. I don't care how little the bank gives me, and I know that if I discount inflation I lose money, but I take it as insurance.
As for the staking, it is true that it gives more interest than the bank, and I was about to remind you that the higher the profitability, the higher the risk when I read stompix's post:
I would see sense in staking with stablecoins, but there are other options, such as buying shares of good companies that pay growing dividends.
Keep in mind when investing: it is better to invest in something that does not give you passive income if the total return is higher.
If investing in a shitcoin that gives you a passive income results in a loss of more than 90% of your investment and on the other hand, having invested the same amount in Bitcoin that you keep with your private keys gives you more than 90% return, the latter is preferable.
Here you can clearly see the trade-off but it can also be applied to dividend paying stocks: if investing in a certain stock will give me a 3% dividend but only a 2% capital appreciation in the long term, I will do better investing in an index fund that does not give me dividends (passive income) but gives me a 10% return.
As for the staking, it is true that it gives more interest than the bank, and I was about to remind you that the higher the profitability, the higher the risk when I read stompix's post:
Of course, it does, wow, 28% APY, where do I get those tokens to earn billions?
Oh wait, did you say ICP?
ICP as in the thing that crashed from 424 to 17$?
So if I would have staked with ICP a year ago I would have put down 424$ of cons and got back 22$ with all the APY.
Sorry, 1% bank interest sounds better than losing 95%.
Wake up people, before you end up poor!
Oh wait, did you say ICP?
ICP as in the thing that crashed from 424 to 17$?
So if I would have staked with ICP a year ago I would have put down 424$ of cons and got back 22$ with all the APY.
Sorry, 1% bank interest sounds better than losing 95%.
Wake up people, before you end up poor!
I would see sense in staking with stablecoins, but there are other options, such as buying shares of good companies that pay growing dividends.
Keep in mind when investing: it is better to invest in something that does not give you passive income if the total return is higher.
If investing in a shitcoin that gives you a passive income results in a loss of more than 90% of your investment and on the other hand, having invested the same amount in Bitcoin that you keep with your private keys gives you more than 90% return, the latter is preferable.
Here you can clearly see the trade-off but it can also be applied to dividend paying stocks: if investing in a certain stock will give me a 3% dividend but only a 2% capital appreciation in the long term, I will do better investing in an index fund that does not give me dividends (passive income) but gives me a 10% return.