Mail Chimp

Thursday, September 17, 2015

Ouch. Be careful with the number of digits in the price when you're goofing around with trading crypto. I've been making a little churn with Reddcoin by sheer volume, and its predictable patterns.

So the price was .000000004 (I believe. Not counting zeroes.), I put in a little sell order. 15,000,000 Reddcoin, for .000000049 or something like that, and boom.

It rounded to .00000004 and they all instantly sold. I don't think it wiped out everything I'd made with it, but I could have made 25%, obviously, if I had set it to a proper price, like .00000005

Meh. Live and learn. So I've got another order in for 30,000,000 at .00000003. But it goes to show you, a coin with very little actual monetary (Bitcoin) value can make you money.

And, Reddcoin, as I've talked up before, occupies a unique slot in the cryptocoin pantheon. It's what's used on the site Reddit to tip other users and contributors, etc.

So it has a real baseline. Almost so cheap as to be valueless, but it's probably been going from .000000003 to .0000007 or whatever for...a year? Years?

Worst case scenario, Reddit dismantles the tipping system, and the price collapses to zero. Bad news if you're trying to make money off of volume, and get caught with your knickers down.

On the other hand, it could conceivably go up in volume, if Reddit continues to grow. Or even take off in a big way, if we're into being pie-eyed optimistics.  (Protip: Never be optimistic.)

So, if you're holding, (heh),  and it creeps up past your ordinary sell price, you might not want to profit take right away.

Not that I think it's going to go up significantly at any time in the near future. But nor do I think it's going anywhere. Even if it's not widely adopted and used, it costs almost nothing to maintain the already written code. In fact, one could safely assume that the owners of Reddit are heavily vested in Reddcoin themselves, and would lose money if they discontinued its use.

So, what the hell. There's money to be made on these little pissant cryptocoins that are ultimately destined to fail, for the most part. Treat it like gambling at doge-dice.com, and just go all in every time.

In other words, flip everything you make from churn back into buying more on the next round. Much like compound interest, the growth is, I believe, exponential.

That's a good thing when it comes to making money, I suspect.