Topic: How should you measure profits? - page 3. (Read 433 times)
I usually measure my profits in fiat, as its the currency i use most often. It's probably best this way, especially if you withdraw often from cryptocurrency into fiat.
I cash out crypto for fiat regularly -- so I always measure my holdings in fiat value. It's always nice to remember that you haven't made any profit until you cash out. Crypto profits are imaginary until you see fiat in the bank account.
But what about when we will be able to pay almost everything with crypto soon? Then you have vashed out the moment you converted to BTC, LTC, ETH or other accepted currency? How will we measure then?
We are still very far from the day when will will be able "to pay almost everything with crypto". That would require a huge crypto acceptance and some kind of stable crypto/fiat pairing. That implies heavy crypto regulations. And that is not yet on the horizon...
I cash out crypto for fiat regularly -- so I always measure my holdings in fiat value. It's always nice to remember that you haven't made any profit until you cash out. Crypto profits are imaginary until you see fiat in the bank account.
But what about when we will be able to pay almost everything with crypto soon? Then you have vashed out the moment you converted to BTC, LTC, ETH or other accepted currency? How will we measure then?
i always measure in btc. Because i believe in value of bitcoin. Because when i buy alts i buy them with btc not usd
I cash out crypto for fiat regularly -- so I always measure my holdings in fiat value. It's always nice to remember that you haven't made any profit until you cash out. Crypto profits are imaginary until you see fiat in the bank account.
In the real world I mostly spend fiat so all my portfolios are measured against $. It doesn't look nice at all when you change the settings from $ to BTC 
Profit is simple to explain. It's what you earn minus what you paid.
To buy bitcoin you had to use FIAT. So calculate how much fiat you spent, and remove this value from the value of your whole portfolio today.
The final value is your profit.
Of course it's a dynamical value if you didn't cashed it back, because your coins will take or loose value. But you can calculate the current profit now.
There are a lot of apps to visualise your portfolio and your profits.
To buy bitcoin you had to use FIAT. So calculate how much fiat you spent, and remove this value from the value of your whole portfolio today.
The final value is your profit.
Of course it's a dynamical value if you didn't cashed it back, because your coins will take or loose value. But you can calculate the current profit now.
There are a lot of apps to visualise your portfolio and your profits.
People will go to $ because thats what the headlines are in and they put money in and out in local currency (converted to $). However, coins diverge from the benchmark BTC value, so you can double $ value while losing BTC, net effect is you lost against holding the same amount in BTC. People need to switch to using BTC/Satoshis (which oddly is common for small priced coins), starting with setting CoinMarketCap to show BTC.
Well... I hope when one day I have enough invested in any coin(s) I would probably stick to how much BTC I have... so the higher that value becomes.... the higher the profit in the long run.
I hope it makes sense
I hope it makes sense
The profits shoul be measured in a refference value that doesen`t change to much. Thats why it is best to measure it in dollar or in the currency of your country. I say this because ultimatly you are interested in the money you have in youre own pocket and you can spend. After all you did spend money to make that currency and you need money to your day to day spending.
I hope i made myself clear why i am using dolar for my refference and i suggest everyone to do so.
I hope i made myself clear why i am using dolar for my refference and i suggest everyone to do so.
I am a type of guy who always want to increase total bitcoin holding along with few other alts like ethereum, litecoin etc. When all other alts or tokens get pumped in terms of bitcoin than only I sell them for bitcoin rather than for fiat and keep that bitcoin or invest it in another coin and keep doing so to increase my total bitcoin holding.
I think his profits should be measured primarily in percentage, and then in dollars, although I understand that the dollar is losing relevance, but it is more convenient to read than in the btс))
Six months ago I measured my profits in bitcoins. But to watch how the number of my bitcoins decreases was very sad and so I began to measure my profit in dollars. In general, there are crypto-currencies, the profit from the sale of which is better measured in dollars-such as the ethereum, neo. And such coins as a trust, waves, gup-it is possible to fix profit in bitcoins. It's my opinion.
If you are trading for fiat, you can measure your trade in fiat and calculate your profit in usd. I trade against altcoin with bitcoin. so I am keen on seeing my bitcoin increase in satochis
If you are trading for fiat, you can measure your trade in fiat and calculate your profit in usd. I trade against altcoin with bitcoin. so I am keen on seeing my bitcoin increase in satochis
I measure my profits only in BTC. The main reason people trade altcoins is to get more bitcoins. You do buy altcoins with bitcoin not fiat after all. So if you sell for less satoshis than you bought it's not really a profit, your fiat increased only because BTC increased.
I measure in fiat but never sell at a loss in Bitcoin value because that would mean have less that if I had just held Bitcoin.
I measure profit in fiat, but I only consider it profit when I cash out.
Same thing here, I measure the amount of fiat currency I cash out. Most of my investments are in altcoins so the BTC pairing is often misleading.
Until recently, I was a miner and a staker. Everything I mined was converted to fiat to pay for the electricity and to get my ROI on the GPUs.
Once that was done, all my profits were invested in a PoS altcoin, namely DMD.
Now, I'm generating revenue and selling minimal amounts for fiat.
Obviously I have to measure my profits in fiat!
I measure profit in fiat, but I only consider it profit when I cash out.
Same thing here, I measure the amount of fiat currency I cash out. Most of my investments are in altcoins so the BTC pairing is often misleading.
I measure profit in fiat, but I only consider it profit when I cash out.
Same thing here, I measure the amount of fiat currency I cash out. Most of my investments are in altcoins so the BTC pairing is often misleading.
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