EOS Strategy - How to profit off of exchanges adding EOS.
The EOS Tokens are claimable now. They are trading live on some exchanges (Yunbi, Etherdelta, HitBTC). Kraken just added EOS trading as well.
Possible strategy with EOS, buy tokens from the ICO which is somewhat difficult to do, sell for a profit on exchanges. Re-invest funds into future EOS windows to get more tokens.
Future EOS windows almost are certain to come in at cheaper pricing. The main reason being for the 60+ cent pricing to hold from the first window, EOS would have to raise 1.2 million dollars every 23 hours for the next 300+ days. Quite unlikely to happen.
The best way to look at EOS at this point is as a coin with 1% dilution in this first 23 hour period, and the dilution % drops daily as 2 million coins arrive into circulation every 23 hours. After about 100 periods, it drops down to 0.50% dilution daily. Keep in mind I'm using my way of calculating this: (coins created)/(initial coins) = dilution ..... The correct inflation formula is a little different if anyone wants to be technical about this.
It could be a great arbitrage opportunity for some people. On the exchanges today, EOS is holding at about $1 with 12 million dollars in 24 hour volume.
That said, if prices crash on an exchange, expect to see people already invested in a given window to get burned on the pricing. Then very likely, the pricing of the next window would trade much lower to match outside demand.
At this juncture people will be comparing market prices vs. EOS ICO prices and due to the problems with getting into the ICO, the ICO stands a good chance of remaining the cheaper end of the transaction.
People are paying eth to buy a eth killer. How cool is that
Pretty badass if you ask me. 😈
Awesome.. I was looking forward to get my hands on some EOS. Thank you for the information. Great content by the way. upvoted Following and resteemed your post. Hoping to read more of your posts.
I expect arbitrage will drive the price on the exchanges down quite soon, but there you will always pay a slight premium. (For easy of use and lack of Ether mining fee for the setup of the public key.)
Keep in mind that you can check out EosScan to keep track of the EOS price of all previous and future ICO windows. Make sure you don't pay to much on the exchanges!
Thanks for the info.
I've been checking EOS out for a while now.
Though I do think that if EOS could be a very good concept, I'd like to believe that Ethereum will be keeping an eye on it and perhaps adopting the concepts from EOS. From that perspective, I'd rather invest in Ethereum, since it's ahead in the game.
What are your thoughts on this?
:) Exactly
Is EOS minable?
Not yet, once it's live it's going to be a delegated proof of stake model (correct me if I'm wrong) so it won't be like mining for a PoW currency.
What is this EOS I have been seeing it every where. I know its an alt coin on ether blockchain but whats it do?
its block chain is step forward from ethereum and its not in ethereum blockchain only its sale is, they will move to their blockchain next year, eos removes most of the limitation of ethereum
So do you think its a good buy and hold for now?
hold for atleast 18 months
ok cool thanks
Very good article
Thank you for your information
So many ICO's ...don't we have enough cryptos already
Ted,
I've been trying to find a guide to understand how the EOS ERC20 token will be transferred to being an actual EOS token at some point in the future. Have you seen any articles on how they plan to do this? I'd like to be a long term holder of EOS, but this question keeps arising in my mind and giving me pause. I'm not someone that will be buying the ICO window and then dumping on exchanges for quick profit. I'm a believer in EOS and want to accumulate as much as I can, but want to ensure I'll have the access to the actual EOS token once it launches on the EOS platform. Thanks for your advice.
@unlockrs , same as you, I am long term investing.
Re: the exchange from token to actual EOS, there will be a new blockchain setup next June (or July, I forget). You need to make sure you register your EOS key through the sale now as this will be used to create you a new wallet for your new EOS at that point.
As this will be an entirely new chain, I presume you will simply be able to send your ERC20 token to the new wallet for an automatic conversion (remember this is supposed to be the future of BC :) ).
Just like that, next June/July, you should find yourself the proud title of "early adopter" on the new EOS super chain.
Best of luck!
Cannot wait!!
Thank you for responding @cryptomagic
I assumed that since the ERC20 token is an implicit contractual arrangement, something like what you described would happen. I believer you're correct that this will happen, but I guess I'm looking for some "guarantee" or strong indication that this will happen next year. Do you know of any links whether from Larimer himself or Block One that indicates this outright? Also, if I were to buy EOS on an exchange, how would one go about registering the EOS key?
No worries @unlockrs
The unfortunate truth is that you have no guarantees with any ICO, even if it is from a well respected group of devs in the case of EOS.
There is nothing set in stone I can point you too and having searched a lot, it's actually hard to find much other than the hype from the initial offering launch. That being said, there is always dilution of media when a lot of hype is created which makes things like this hard to find.
I'd suggest reading the documentation put out by the EOS team to get a bit more info on what you'll be buying into:
https://github.com/EOSIO/Documentation/blob/master/Roadmap.md
https://github.com/EOSIO/Documentation/blob/master/TechnicalWhitePaper.md
Regarding buying from an exchange, I presume you can register your keys on the EOS app from their page, but you may be as well to purchase from the ICO. It is a bit pot luch how much EOS you get, but you could spread your spend over a number of days and hope that not too many other people buy in on that day.
I've heard that past 150 days into the ICO should be a good time, but I don't know how that can be justified. I would think more people would be keen to invest by then if news came out soon of some part of the project. The fact it's technically difficult to get into the ICO is a blocker for some which might help.
Hope this was helpful for you!
@unlockrs Found how you can register!
Register your public key on the EOS distribution app: https://eos.io/distribution/
Guide here
You'll probably need MEW or Meta Mask to do this, but should let you get setup.
Let me know how you get on.
Thank you! Have an upvote!
Thanks!
When is the next major catalyst for EOS? There are a lot of negative conspiracy theories circulating.