Leasing SteemPower: the curation reward experiment! Smart or Foolish?

in steem •  5 months ago 

Well I have made bad and good decisions on the steem blockchain! But also bad and very bad investments. So it is time for another one :) You have to have tried everything once :)

Leasing Steempower

Untill today I never have leased any steempower. In my first days I did get some steempower delegations but never had to pay for them! A few weeks ago, I did notice that one of the steemians that I do follow is powering down and is using the steem which becomes liquid again to lease Steem power.
He is sure that it will be a negative investment and he is probably right about it!

Still I decided the bullet and am leasing SteemPower on a daily basis. The goal is the lease at least 10K Steempower. Almost there. All my leasing is done via dlease.io. Leasing only a few K wouldn't make a difference!

In my early days on the SteemBlockchain there was no use to lease steempower because most of the dust income was auther related. But after the HF21 the curation rewards are almost on par with the author rewards. So now there is a use case in my opinion!
There are multiple advantages like increase curation reward, supporting others better and more and of course if you do self voting (Yes I do) that you post will get a slighty higher value, depening on the amount SP you are leasing!

And of course it is cheaper to lease SP than to buy it!

What have I leased so far?

Datelease periodPaid(Steem)SP LeasedDaily cost
13-11-20194 weeks107000.357
13-11-20194 weeks14.2810000.51
14-11-20194 weeks14.2410000.508
14-11-20194 weeks14.210000.507
14-11-20194 weeks14.1610000.505
19-11-20194 weeks13.810000.492
19-11-20194 weeks13.610000.485
20-11-20194 weeks23.3610000.417
20-11-20198 weeks23.610000.421
21-11-201912 weeks35.2810000.42

So far I have leased 9700 SteemPower for a total cost of 176.52 Steem. My daily costs are 4.625 steem, which is all paid out in front!
As one can see, the longer the lease is the cheaper it gets. It did take some time for me to understand this. Of course the longer the lease is, the higher the fee is which has to be paid in front!
Probably I will try to get 15K leased SP.

Current curation rewards!

The idea is besides giving more support to others, to increase the income of the curation rewards. Before I did start leasing SP, the average daily income from the curation rewards was 1.128 Steem. So to make a profit this should rise to a whopping 5.753.
But I do know that this is not feasible!
Since my first delegation was 8 days ago, I start to see some improvements on the curation rewards.

Steemworld does show me this at the moment.
image.png

But if we look at little more forward, steemworld also gives me an indication of how much I would earn per week.
image.png

This on average 2.766 SP per day. I do expect this to rise a little bit more, due to some changes in my voting behavior! The calculated Efficiency isn't great!

Still if I do multiply this with 28, I would still loose 100 steem! But at least I will have made some others happy with a higher upvote! Which is worth much more than 100 steem!

So 5 more K to go. If you do have some unused Steem Power, feel free to lease it for free to me :)

At the moment I am upvoting with 12.7K SP and a 100% votes is hovering around $0.1.
If I do have my 15K leased I will be voting with around 17K, which could made a difference for some out there!

Have you ever leased SP? Are you planning to lease SP?
Or do you think that it is a very foolish decision of me?
Feel free to let me know!

I will report back in a week, to give an update of the expirement!

Cheers,
Peter

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I was looking at leasing sp. Decided against it. I saw it as a lot of work and did not think the gain would be worth it. I am happy to just let the destruction of steem continue to take place and buy the Steem at very low prices. Good Luck. Hope you can make a difference in the network.

Over and out,
CoinChaos
Moon Mission Explorer

I was also doubting about if I would go for it or not. I decided to do it and see how things evolve.
In the worst case I will loose around 150 steem. Which would hurt a little bit, but like I wrote we have to try everything once here on the blockchain.
The only thing I haven't done so far is using my free downvotes and plan to stay away from those!

!BEER
Cheers,
Peter



Hey @coinchaos, here is a little bit of BEER from @fullcoverbetting for you. Enjoy it!

I used to lease some SP but haven’t done so for quite a while. Was never convinced that it was cost-effective. But it does let you give out some nice upvotes.

You did even better things like delegating SP for free!
I am still thankful for what you did when I started!
!BEER



Hey @preparedwombat, here is a little bit of BEER from @fullcoverbetting for you. Enjoy it!

Hello!

This post has been manually curated, resteemed
and gifted with some virtually delicious cake
from the @helpiecake curation team!

Much love to you from all of us at @helpie!
Keep up the great work!


helpiecake

Manually curated by @niallon11.


@helpie is a Community Witness.

I don't think you make a profit from it looking at the numbers from my own voting. That's why I lease out some of my SP. Leased some of it to you actually when i saw your name in the list. I think that there is a lot more profit from leasing out than in but you do get additional rewards from having a bigger vote in terms of visability, followers and people voting you back. Takes more time and effort though with no guarantees. Plus i can give helpie cake votes to good posts so can still reward people even when my own SP is lower.

You are probably right. Let me correct this, I do know that I will make a loss. But one has to try everything once in our life. Euhm besides a few things!
Being a curator for Helpie indeed helps :)
Have a !BEER

I would try most things once. How else will you know you don't like it. Except maybe heroin. Thats seems fairly nasty stuff.



Hey @niallon11, here is a little bit of BEER from @fullcoverbetting for you. Enjoy it!

Hi @fullcoverbetting!

Your post was upvoted by @steem-ua, new Steem dApp, using UserAuthority for algorithmic post curation!
Your UA account score is currently 4.348 which ranks you at #2658 across all Steem accounts.
Your rank has not changed in the last three days.

In our last Algorithmic Curation Round, consisting of 95 contributions, your post is ranked at #31.

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