How to beat the Matthew Effect on Hive
With the move into crypto, many of the old rules and ways of money will change and fall apart. We will no longer need banks, even the central banks will have no relevance to us. They are part of the old world and are dying with irrelevance.
One other rule that you can also beat is the Matthew Effect. This rule was not made by Matthew McConaughey, although for sure he uses it. It is better known as "the rich get richer and the poor get poorer". source
The rich usually get richer because those with money have an advantage over those without money. This allows them to continue being more successful because they can monopolise resources and get better returns than those without much money.
This also makes sense when you think of compounded returns. Once you have built up your wealth snowball, it keeps rolling and getting more significant on its own. You just need to help steer it in the right direction now and again.
You cannot beat these rules... or can you?
I can give you not 1, but 2 examples where I managed to beat the Matthew effect on Hive. And with these examples, you can too! To repeat this ROI% with a larger account would not be easy or maybe not even possible. But for a smaller account or someone new, easily repeatable!
By participating in the We Are Alive Staking Contest back in March, I was able to first beat the Matthew Effect. My starting stake was 0,9 ALIVE but by earning a few ALIVE tokens on Hive and buying a few on Tribaldex I managed to stake 52,469 ALIVE tokens in a week. This allowed me to win a prize of 352,997 ALIVE. This was a return of 672% in 1 week.
The second time I managed to beat the Matthew Effect was when I participated in the Larry Is Alive competition a month ago and won. This gave me a 1000 CTP delegation to my account. This was far more CTP than I actually had staked to my own account at the time. Therefore, when curating on Hive, the CTP returns generated were >100% as they have generated with no input of capital myself! Of course, larger accounts can participate and get free returns, but as a % of their accounts, the returns were far larger for me!
These are returns I will take any day of the week.
OK, I've said too much for today. The cat is out of the bag. Engagement and activity in the communities on Hive can boost your returns. But let's keep it between us, you know our thing ;)
To learn more about the Alive On Thursday competition, you can click here.
To learn more about the Larry Is Alive competition, you can click here.
Resources
I love the name Matthew effect, my fiance is called Matthew haha. But I agree that the we are alive tribe is a good place to be!