Poloniex Disables Steem + SBD = 15% Profit?
1128 SBD for $1000 today on Poloniex because of the temporary disabling of Steem and Steem Dollars! Is was looks like a purely negative event in the number one cryptocurrency exchange at https://poloniex.com/ pausing all transfers in and out of both Steem and SBD actually a chance to profit by purchasing at a price lower than on Bittrex and other exchanges? Would you read this post or watch the matching video with it to see a simple opportunity to earn a bit on Poloniex with these low prices because we all like to feel smart and enjoy getting a great deal?
Disclaimer
Putting any money on Poloniex can be risky including the potential to lose all of it in the deposit or withdrawal phase. While I personally have only experienced delays with withdrawals and slow transactions on tens of thousands of dollars of transactions, I have seen a lot of stories of withdrawals "pending approval" for months and never going through. Use smaller amounts on Poloniex to get started and make sure withdrawals are going through and only put amounts you are willing to lose completely if everything fails.
What did I do today on Poloniex?
- Checked prices on Poloniex and Bittrex for Steem and SBD to find that Poloniex is significantly below. BTC - Steem is 0.00050001 on Bittrex currently with the price on Poloniex at 0.00042595 which is a difference of about 15% for Steem and a similar amount for SBD!
- Deposited $1,000 on Poloniex with Litecoin sold to Bitcoin to buy 1128 SBD.
- Sent $1,000 in Ethereum to Poloniex sold directly to Steem.
- Play the waiting game!
Profit Potential!
Last time Steem and SBD were disabled for a while on Poloniex the SBD price spiked crazy up to $2 along with a much higher Steem price versus Bittrex because there was no way to deposit more Steem or Steem Dollars. With a fixed supply, almost any buying demand can cause an artificial high which motivated a few traders to pump it up and then dump once the temporary disabling was complete. If the price goes down further, I might buy even more depending on the difference with Bittrex because whenever the doors open again, I will have likely gotten an amazing deal!
Two ways to cash out.
- If the price on Poloniex ends up going high for Steem and/or SBD while disabled, sell there before the temporary hold is removed and buy even more Steem or SBD on Bittrex to power up!
- If the price stays about the same or drops, deposit the Steem and SBD to Steemit and use the convert option on SBD when the price is low for Steem and power up the rewards! This should still ensure buying at the lowest price!
Purpose
What I hope to show here is the mindset I use when playing the game with cryptocurrencies. I look for low risk and high reward scenarios. To me buying any Steem has a high potential reward because I think the price in 8 or 10 years will be $1,000. In the short term, I try to get the best deal I can just like any of the rest of us to buy the most Steem at the lowest price! Buying on Poloniex at 15% less than Bittrex seems like a great deal even if prices drop! I still have $5,000 more on Coinbase I can use if the price goes down further meaning I can repeat this again if say the SBD and Steem price plunge even lower on Poloniex!
Thank you reading this post! Would you please vote it up if you would like more little tricks I use like this because giving to each other is what brings the most happiness?
Love,
Jerry Banfield
PS: With the Bitcoin hardfork coming today, I just sold back on Poloniex at about the same I bought in at and lost about $100 or 5% total. After the hardfork is complete I will consider doing this again if Poloniex makes it through it without crashing.
Good advice. You do your homework. Trading crypto is fun and could be profitable in any trend- upward or downward. But one can also lose money here. No risk- no reward.
Exactly which is why I now risk only that which I can stand to completely lose in everything I do with crypto! No pressure to sell if it can all be lost!
keep up the good work jerry .. I think this article and recent are awesome, gave u 100 percent up vote on this one.
@danlupi thank you very much!
Thanks for the info, Jerry! Seems that you have found a nice arbitrage:)
@jerrybanfield I'm one of the masses that can confirm the plights of @poloniex as an unreliable exchange. On an intuition, I move about $2,500 in STEEM and SBD to Poloniex to trade for BTS. I sent the funds and it never even showed up. Not even a "pending approval" notice. Just, nothing. No help or response from the @poloniex help desk. I was able to check [...and screen shot] it on their Steemit transactions ledger, but nothing from the company for OVER A MONTH! Eventually, it did show up in my STEEM/SBD wallet some random day with no notice and explanation. The stress of that money being gone for four weeks plus was enough for me to swear off Poloniex as an exchange. Even without the trading volume, I've been using BitShares and Bittrex since.
Same deal, been over a week now with them holding my deposit despite it clearly showing as being sent. Their support did reply, with an auto generated e-mail to say my account will be credited once the wallet is enabled after temporary maintenance.....been a week without access to my funds
@kommienezuspadt thank you for confirming the struggles on Poloniex because I had a similar but shorter ordeal with my SBD deposit a few weeks ago which I sent a small amount to do a test. I made the deposit today with the understanding that I might need to wait months to get it back if at all or I might have to sell out to another currency to cash out. So far the $2000 I deposited is up to $2050 which is nice in just a few hours and if I gets over $3,000 as Steem is disabled for longer I may just cash out!
Issue happened to me with LTC/BTC getting hung up on a withdrawal. I was verified and all that and not over my limit. It took them over 30 days to get my funds to me, I did get them though.
I quit trading on Poloniex because of the unreliability of the exchange. I lost a trade and they never responded to my inquiry. So I rarely go there.
I'm reading more and more about poloniex being scammy.
Not going to use it anymore.
It is a smart strategy, but what happens when you try to move your SBD and they shut it down again? Im not really a fan of polo.
Worst case scenario I lose $2000 and take a bunch of time fooling around with it. The second risk I have a lot of control over and the first I agreed to the terms of the game upon investing which makes it kind of fun! How much will I get back?
Very neat! Thank you for sharing.
@fisch you're welcome thank you for commenting again!
Bittrex is well the way forward! Fact! No server lag!
Yes I use mostly Bittrex now as well after having used Poloniex exclusively for most of 2016! The prices are so good on Poloniex now it is worth the risk!
@jerrybanfield can u do a vid on the latest steempowering up daily, monthly,annual interest. With calculations? I havr tryed to reference it but its all outdated. You may have more of a better understanding! Thanks @williams858
That statement reminds of buying goxcoins at a "discount" didn't work out.
If we look far enough in the future none of our lives work out because all these bodies perish and all the stories are forgotten!
That turned dark quick
@jerrybanfield telling people to use Poloniex is basically scamming. Poloniex is not solvent.
"
Disclaimer
Putting any money on Poloniex can be risky including the potential to lose all of it in the deposit or withdrawal phase. While I personally have only experienced delays with withdrawals and slow transactions on tens of thousands of dollars of transactions, I have seen a lot of stories of withdrawals "pending approval" for months and never going through. Use smaller amounts on Poloniex to get started and make sure withdrawals are going through and only put amounts you are willing to lose completely if everything fails."
A disclaimer like this is prohibitive Jerry
On https://steemwhales.com/ Poloniex has 24 million Steem and 1.3 million Steem dollars. That is good enough for me to risk a couple thousand given they have been fair with me so far. If they end up crashing I will have a better story to share!
Poloniex is also the only entity in control of those steem and they have a reputation for scamming. I know you don't care about your thousands all you care about is pumping STEEM but telling noobs there is any sense in having a Poloniex account is like selling crack to a kid.
With the importance of reputation you mentioned, would it be best for us to only read and respond to comments from Steemit accounts over a certain reputation?
I dont quite see it that way that jerry is telling people to use polo. Hes simply sharing a minor way to earn dollar!
Earning a dollar you can't move out of Poloniex is not really earning a dollar is it.
@jerrybanfield If you like Steemit so much try out ong.social . It is a social media site very similar to Steemit and they will have their ongcoin.io ICO very soon. You will love it!
I'm already on ONG. I really like their interface (similar to facebook's) and the ability to use it as a hub for posting to all your social media accounts. This really comes in handy...
Wow I will post there too, thanks hilongs for that. Any other site like it???
Thank you I took a look but the front page required sign up to see anything else which led me to closing it right away.
Anyone know why Bittrex has disabled Steem and Steem Dollar Wallets - don't understand why it take so long for 'automated updates'?!
Nicely said @jerrybanfield I do a steem price update everyday and I often get people complain about the price going down but I try and educate that just because the price goes down it doesn't mean its a bad thing.
You're right @simonjay it is nice to be in a place where price up or down is good!