"A risk worth taking"
It's been a month since I became really active in Leo Finance and on top of that, I also converted a portion of my Hive to Leo and then stake them. It may sound silly if I say that I took a risky gamble for my Hive holdings. But on second thought, re-investing my Hive into a tribe token that resides on top of the Hive chain is not really that big of a risk in the long term.
The staked tokens will keep earning me curation rewards at a rate of 18% APY which isn't too bad IMO. If I am to really gauge the price movement of the Leo token, I feel that it could really reach the $1 price level. And when that happens the value of my curation rewards in USD will increase in proportion to how much I initially invested.
My journey in the Leo community is not as motivated as it is right now. There was a time when I had about 1800 Leo power which I swapped to HiveSteem because of the fear that it might lose its value over time much like how the other tribe tokens that are dwindling during that time. We can't really expect everyone to simply stake & hold them indefinitely since it's just free money that was airdropped with a requirement other than the HivepowerSteempower as the basis.
I thought I will never look back at Leo after I sold mine but here I am; bought back my Leo stake at a much higher price. It felt like I was risking my Hive tokens when I converted them into Leo. I was really worried that the price of Leo crash after I bought my stake. It actually did for a few days until it recovered which was a relief. And now that the price is appreciating at a rapid pace, I'm more than satisfied with how my investment grew in USD value and it brings me more tokens and enjoys my time here as I consume finance-related content.
I also thought about how my earnings for this investment grew in terms of the annual return with respect to Hive is more than satisfactory as well.
For my 1500 Leo power, I invested about 3000 Hive tokens at a swap rate of 2:1 (hive:Leo). With the amount of Leo power that I use for curation, I'm earning about 1.20 Leo tokens on a daily basis. With the current swap rate of 3.73:1 (Hive:Leo) (based on the current buy order in LeoDex), I'm effectively earning 4.47 Hive tokens daily.
As a result, the effective annualized return with respect to my initial Hive investment is equivalent to 54.385%
Isn't that an amazing gain? The usual 10%-15% APY for curating in Hive has quadruple by simply re-investing it to the Leo Finance H-E Tribe. Who would have thought that a tribe token could surpass the value of the native token?
The way I see it, the value of Leo will only increase in the next days and it would be good to take part in this community by simply staking, creating content, & upvoting content. It will also help if you engage with other Leo users and earn some upvotes for it.