Monday, April 30, 2018

Sucky Job = Sucky Life?

I was reading this article by Minimalist in the City about FI, and towards the end of the article there was the Jobstreet link citing that almost 1 in 2 Singaporeans are unhappy at work. Right below that paragraph, is this picture and quote which I find rather confusing:


Part 1 of the quote: "I never knew anybody who was unhappy with their job and was happy with their life. It's your sense of purpose."

I find this part of the quote false. While SOME people equate their life to their jobs, which is also their passion and career, I feel that quite a large number of people do not equate their jobs to their lives.

Part 2 of the quote: "Now, some people can find it elsewhere. Some people can work a job and find it some place else."

This part of the quote makes more sense to me. If you don't find happiness in your job, that's okay. You can always find happiness outside of it and that's fine.

I think this job=life happiness thing is really dependent on your personal outlook in life and what you value.

If you really treasure your job and working hours a lot, especially for people in skilled and craft jobs, it is extremely natural to have this equation that your job = your life. Bruce Springsteen was a musician, it's no wonder he equates his job to his life.

However, for the majority of white collared workers, that's kind of lame. Hi, I am Bob and identify as a tax accountant? Meh. For white collared workers, it becomes about personal ambition and what you find fun in your own life.

If I was working in a bank, I'd find it extremely fun killing all my colleagues, piling their dead bodies up and climbing the corporate ladder. But I do not work in a bank, so I find my fun elsewhere.

I think it's a slightly more uncommon way of thinking, but I see work as a black box where I step into at the start of the day, time warps by, and I walk out of the box feeling more tired and more agitated, but with a fistful of money. And then, my life starts. I spend my life, my time, doing the things I enjoy outside of working hours - after work and on weekends and holidays. Funded, of course, by the money I receive in compensation for my working hours and effort.

Let's be real. Most people don't end up with jobs that they love. They end up with jobs that pays them enough money to come to work. And that's totally okay. Jobs and careers do not have to be romanticized. There's just something so "millennial" about that sort of fairy tale thinking that pisses me off. It's like the world somehow owes you, not only a job, but a well-paying one that you enjoy doing. Lol wtf?


Newsflash buddy. Nobody owes you a job.

If you had a job you love, they probably wouldn't need to pay you that well, since you'd turn up anyway.

You're probably getting paid for doing shit that nobody else wants to do, likes to do, or has the skill to do. You don't get paid extra for loving your job.

Maybe I have a older, very corporate, THE COMPANY SEES YOU AS A STATISTIC, sort of mindset, but you know what?

I'm pretty darn happy with my life, even though my job isn't what I love. I go to work because I have deadlines due and at the end of the month my bank account gets a top up.


Sounds bleak, but don't be sad for me. I enjoy my non-working hours very much and I am not defined by the job I work at. I am defined by the things I do, people I interact with, my interests and my hobbies.

Why do all these folks want to FIRE anyway? Because they want to escape their jobs which they love so much? Most people don't enjoy working, so welcome to the club with 99% of the working population.

I guess if your job = your life, you will never retire in that sense. Well, if you love it, you don't have to worry since it's not burdensome to work.

For me, FI is not about retiring early and spending the rest of your life travelling. Most people are not born travellers and almost everyone will be worn out after a year or two of travelling around. It's a downright fantasy that you're going to retire and be permanently on overseas holiday until you die.

FI to me is about having enough money that I no longer need to go into my black box to trade in my time and energy for money. I can do whatever I please - do nothing, pursue personal interests, try out other black boxes, whatever.

It is about freedom of choice and just being plain happy.

And PS. some people can have tons of money, be financially independent, but yet still be unhappy.


Just some food for thought on a Monday to start off your week, haha.

Saturday, April 28, 2018

Invest in a Crypto Exchange or a Bank?




Weird.

I could've sworn some people told me that crypto is a tulip ponzi bubble scam.

Friday, April 27, 2018

GMGH Crypto Portfolio Apr 2018

At the start of the year, I posted my portfolio for 2018.

However, the crypto market is extremely dynamic and fast-moving. Information gets outdated so quickly, and so does thesis regarding investments.

I'm just penning my thoughts down to justify (to myself!) why I have made certain adjustments to my portfolio.

1. DigixDAO (DGD) Reduced

DigixDAO has been a beast and I've profited MASSIVELY from it. Lucky me it was my biggest position too.

However, I felt that it was time for me to take some profits and rebalance my portfolio because my portfolio was becoming DGD + supporting crypto.

DGD has gone live with DGX and they are steaming ahead with building out governance for its DAO, along with integrating into partnerships that they have forged, as well as making new ones (as usual).

DGD and their mission to tokenize goal is something to speaks to my heart as a fan of precious metals and my distrust for fiat currency. It quite possibly marries precious metals and cryptocurrency to produce one of the best contenders as a store of value and a transfer of value.

While I hope to see DGX adoption go mainstream, it is also poignant to understand that most people don't give a shit about gold, don't have enough mental computing power to rebase from local currency or USD to grams of gold, or simply just don't give a shit about fiat printing (as usual).

I sold near peak price in ETH, but I still have a sizable position and I am looking forward to take part in the DAO governance.

2. Kyber Network (KNC) Removed

Kyber Network is a utility token with a pathetic velocity sink and usable by only one group of people - the Reserve Managers, who probably have a ton of KNC to burn in the first place.

Don't take my word for it. Go and see the Kyber tracker. How much KNC have they burnt and deflated from the network to make the token more scarce and valuable?

While the thesis of Kyber as a service that kills other utility tokens is still valid, their KNC burn rate is a joke as a token that will increase in value. With their main partners still not fully integrated and burning KNC by the boatload, I really don't see any reason to own KNC now.

I made a lot profits from Kyber and I am at peace with my returns. I'd likely never again be a KNC holder again in the future, although I would be a happy Kyber exchange user.

3. TenX (PAY) Reduced

TenX has been pretty shit in releasing their card.

While their business model still makes sense, I can see stablecoins and technological progress slowly chop away at their value proposition.

They seem very adamant in pushing their COMIT idea (which I think is silly and EXTREMELY far away). They also seem to want to push this silly notion of 1-click diversified crypto purchasing.

Meh. Sorry Julian, crypto wallet doesn't count as a product. Still props for remaining so positive even in light of all the negativity and FUD around the project and the viability of the idea.

But it's simple, really. No card, no talk.

Strictly speaking, valuation wise, PAY actually looks like a rather decent long trade at this price though.

4. Raiblocks / Nano (XRB/NANO) Reduced

Raiblocks has rebranded to Nano, and the explanation of this will be below with Bitcoin. While I did reduce my position, it was only slightly. I still like the idea of Nano a lot.

5. Bitcoin (BTC) Increased

I did talk about BTC's investment thesis improving, and that unfortunately also weakens the investment thesis of Nano. I find BTC and Nano competing in the exact same space, which is why I see-saw between allocation for the two.

However, BTC does have better "store of value" properties, while Nano has the advantage of being snappy and free immediately on its base chain, without any funny 2nd layer shenanigans. But 2nd layer solutions look like they are progressing extremely well. It remains to be seen if the adoption and usage of BTC 2nd layer is simple enough to further weaken the thesis for Nano.

Even if BTC is usurped by Nano to be the unhedged crypto of choice for transfer of value, BTC will always still retain its "store of value" property, and that still counts for something. Gold is a terrible medium of exchange for daily goods and services, but its market is still worth trillions.

Finally, with cryptos getting recogniztion and legitimacy, it's a no-brainer that the institutional money has to pour into BTC first before even trickling over into any of the other alts. Buying BTC is a classic and straight forward front run of institutional investors who are willing but unable to enter.

6. Ethereum (ETH) Increased

I still believe that the biggest public smart contract chain will be Ethereum. While other chains are promising higher TPS, their significantly more centralized nature is a turn-off for most people who are in crypto for the technology.

While BTC is unstoppable in its store of value, censorship resistance and network security, ETH has a real chance of being the more useful version of that. The Casper monetary policy has already been proposed by Vitalik and inflation will drop significantly. Trivial hard forks for fund rescues also look set to be rejected by the community as a whole. I would see EIP999 getting merged as extremely negative though, but that outcome remains to be seen.

With like 10 different scaling solutions being worked on and the community being so massive, I find it hard to imagine that any competitor can offer something unique and significantly better enough to get the inertia of the entire community to move over. However, if they do, I'd glady shift over a portion over to back any serious contender.

7. Monero (XMR) Increased

Same thesis as the last time around - there is NO other competitor when it comes to privacy.

Once people starting actually using crypto and governments and banks starting doing chain analysis, privacy is going to get a lot more important.

Following BTC, XMR has the strongest store of value claim in the cryptocurrency space. I believe that soon, that property will be realized and highly prized, especially as XMR development continues to improve with Ledger integration and bulletproofs.

8. Aion (Aion) New

The thesis for this crypto is a bit more complicated. It's like a backup plan. For ETH scaling, for inter-chain communication, for deploying customizable blockchains. The roadmap is long, so I'd be wary and keep that in mind if deciding to dive deeper into this crypto. Here's a good place to start to learn more about AION.

9. Augur (REP) New

One of the few tokens with a structure that actually makes sense and is addressing a massive market.

Only question is how successful will they be with getting people to actually use their platform? It remains to be seen, but their mainnet is launching soon and I am looking forward to sitting on my lazy ass, clicking around here and there to fulfill my reporting requirements, and collect money for my work.

If Augur becomes the defacto prediction and gambling market, it'll be enough to make bank for me.

10.Havven (HAV) New

Havven's token structure is very similar to REP and DGD in that they are work tokens - tokens that award you the RIGHT to participate by adding in inputs, and consequently get rewarded for your contributions. It's not a dividend token - it's a work permit.

Havven is a direct challenger to other fiat stablecoins in the space. While Maker's DAI has been picking up steam, the Havven-Nomin design is much more intelligent to me. The team has been chugging along with development, deployment and pushing up milestones. The team is friendly and I chat with them frequently about the niche stablecoin space.

They are trying to tackle a huge market, but I think they've got what it takes to offer an excellent stablecoin to be used widely throughout the ecosystem.

Conclusion

And that's it folks. 97% of my portfolio is here. The remainder are in positions too small and inconsequential to mention and really not that fantastic.

My goal moving forward it to try and increase my portfolio in terms of ETH. I've been doing a good job the past few months. Realizing a lot of my DGD gains, which was such a massive position in my portfolio, is the main reason.

Please do not be mistaken, my strategic moves are not calls to take similar action. Almost all of these positionings were done more than a month ago. I sold high when I reduced my position, and I bought in low when I increased my positions. I've been consistently making strategic changes to my portfolio that helped me outperform the general market, so that's been going quite well for me.

Anyway, just wanted to share the reasoning I have behind my portfolio positions. Hopefully this sheds some light into the main thesis of certain crypto I hold and that helps you to consider your own holdings as well.

Good luck and remember to stay safe out there. Crypto is still as vicious as ever.

Wednesday, April 25, 2018

The Crypto Path to Tens of Trillions

I adapted the title from this extremely illuminating article by Kyle Samuni.

I actually hesitated about sharing these scared texts. The less people in the markets know, the easier it is for me to profit at their ignorance. But good ol' GMGH got your back (and already has taken up positions in whatever he wanted). Here's me dropping some free knowledge bombs to blow your mind. To my faithful readers with their own functioning brain, I hope you enjoy this brain digest.

First up is this is an EXCELLENT post by Tony Sheng. Very brief, but very good.

Credits: Tony Sheng

To cut a long story short, this is almost the exact same framework that I have been subconciously using to evaluate ICO projects and even post ICO projects. He verbalized these ideas and put it very nicely in a framework, so I'm quite glad to have read this very short, but concise article about utility tokens.

FYI, 95% of utility tokens are worthless pieces of shit. High chance that most of yours are crap. 95% chance that a token isn't even required in the project and it's just forced into the ecosystem so that there is justification to create a token. So that they can sell it to you.

If you want to know why utility tokens are usually crap (hint: I believe that it has to do with velocity), you can take a read on this article also by Kyle. It is a bit more high level, but still readable and understandable.

TL;DR - "Most utility tokens don’t provide a compelling reason for token holders to hold the token for more than a few seconds. Absent speculation, assets with high velocity will struggle to maintain long-term price appreciation."

The only missing piece to these great articles in fulling fleshing out your own framework is: valuations. While easy to conceptually understand (buy stuff cheap and sell it expensive), I myself haven't come across a really good valuation module to fit into framework (although I have read a lot of different takes on the subject). It's more art than science at this moment for me.

To my own credit, I have done well from every single ICOs that I have ever taken part in. I'm also doing rather well for my overall crypto portfolio. But take my blog articles and the ones I share for what you will - you are the final judge to what opinions you decide to keep and the executor of the decisions that you make.

For all the crypto skeptics out there, continue believing that crypto is all about "luck", "hype" and "getting in early at the top of the pyramid". For the crypto believers, research and study hard and don't buy nonsense crypto. If making money will give you enough validation, this would be how you go about to do it.

As a side note, Multicoin Capital pumps out great articles from a fundamental perspective, I'd encourage anyone looking for a healthy alternative perspective to give all their articles a read.

Tuesday, April 24, 2018

Crypto is Back?!


HEELLOWWW IM BACK

Actual real life picture (okay, not really) of crypto shorts getting smashed by bulls.
Source: bmashina

Sup my fellow degens.

Crypto is back, simply because it's above my average buy in price during the recent market crash, lol.

Why is that significant?

Because obviously, if crypto is below your entry price, it is a scam. Everyone knows that. /s

Buying at $740 down to $686? STUPID.

Buying at $645? IDIOTIC.

Buying at $540 down to $466? DUMB.

Buying at $398? MORON.

Buying at $378 and leveraged long at $377? REKT.

My average price of all my buys during this dip is $571.18.

(BTW, I'm talking about ETH prices, if you didn't already get that)

Come on now, short the market now and rekt me.

You know what happens if I don't get rekt right? I become fabulously rich and I'll shitpost about it for months.

SO COME AND GET ME I AINT SCARED OF YOU.

I DARE YOU. I DOUBLE DARE YOU. YOU FIAT WUSSY PANTS.


I'm eagerly waiting for $740.17 ($0.01 above my highest buy in price) to engage "FULL SHITPOSTING" mode.


Yes, I know crypto just had a rally after a way worse crash.
And yes, it'll actually probably drop a bit very soon to digest these sick gainz (80% in 2 and a half weeks).
But hey, what if I told you that this whole rally and more was and is totally inevitable?
Naw, you wouldn't believe me anyway.

Friday, April 20, 2018

The Only Game I Play Now

The only game I play now is crypto.

The score is how well I do.

I used to play a lot of games. Heck, I think I was a top tier player for some of the games that I played.

I like playing FPS, since it requires way less thinking. I have dabbled is some RTS, but I am terrible, my brain processing is too slow to play on a pro level. I was playing some mobile RPGs too, but after the initial phase, I find them so pointless and meaningless.

Actually, that's the whole problem with playing games. I can dedicate hours to this "craft" and become a top ranked player with a familiar handle that other vets respect and the noobs fear, but what else is there to it? The hours I spent and the achievements I got are not tangible and non-transferrable and are pretty much stuck and locked into the game forever.

Thinking about games like that make them feel quite meaningless from the big picture. Of course, while playing the games, I enjoy myself in those moments. For the other people like me that can waste hours or even a whole day or weekend playing games to realize, "omg what did I just waste all my time on", I think it is quite relatable to feel that games are quite meaningless after a while, especially when considering how much more life can and is about.


So recently, I deleted all my games, save for the one FPS game for me to in indulge in when I get very stressed out. I just like to log in anytime I want, pop into a pub, shoot shit, destress and log out. This is usually played alongside with EDM and trap mixes. Really gets the stress out of your system.

I'm now re-focusing my life so that I can better allocate the most important finite resource that we all have to deal with - time.

With my crypto knowledge plateuing and 95% of new projects being total shit, crypto has strangely allowed me a breather and has stopped consuming the bulk of my life. With my excellent positions, I'm not worried about crypto. I'm in it for the long, fat, massive gains anyway. These short term moves are all just noise and opportunity to pick up some cheap crypto if you already don't have a position.

And with crypto almost completely replacing my entire financial syllabus, I don't need to worry about much else. Stocks? Probably won't ever touch it again. SSB? Good way to help my low-risk parents zhng their FD returns. Bonds? SG has such shit retail bonds, it's not worth the effort. Perp bonds, preference shares? Same thing. SRS, CPF VC? At the rate I'm going, I'm retiring before 40. Insurance? Pretty much done and settled for life.

What's left? Bank accounts and credit cards to zhng interest rate and maximum cashback? Meh, I just do whatever is easy and low-stress for me now. I hate hitting monthly spending minimums. I cancelled all my cards. I'm back to just using my POSB Passioncard as my EZ Link and my OCBC 365 card, which is getting an average of 3-4% monthly cashback on my spending. Coupled with OCBC 360, I get a pathetic return on my bank balance of 1.85%. Most of my liquid cash is actually in the Citibank Maxigain account which is spitting out 2% with me doing diddly shit. I would strongly recommend people to open up and use a Citibank Maxigain account for emergency funds savings.

With crypto being my only focus with regards to investments, and crypto getting easier and easier for me, alongside the rest of my personal finances getting so streamlined - because I frankly don't give a shit anymore - life is becoming much more simpler for me.

Some people like fancy and complicated lives.


I like simple stuff.

Because I'm a simple man.

(some might say also with a small peanut brain)

Things don't need to be so complicated for me, especially for the big picture.

I'll be taking things easy from here on out. One of the things that I've come to realize is that, what's the point of having all this money if I'm not going to spend it enjoying the things that I like?

Lucky for me, since I'm a simple man, most of the things I enjoy are relatively inexpensive and easily attainable stuff.

Spending time with people I cherish. Making them happy. Looking after myself, physically and mentally. Learning new things. Challenging myself. Travelling when I start to feel stifled. Eating delicious food ever so often. Giving back once in a while.

Zen.

Relax.

What needs to be rushed? Other than work deadlines, nothing, really.

I think I might be reaching peak "I Don't Give a Shit" enlightenment very soon.

This post makes it sound like I'm retiring from blogging, but I can assure you that I'm not - yet. One of the things that I really quite do enjoy is blogging and getting out all these thoughts into writing. It is strangely therapeutic for me, and hopefully amusing, entertaining and maybe even educational for you.

Plus, I can't retire just yet until my crypto portfolio is worth millions, because I need to pleasure myself by annoying the shit out of all the haters.

Here's to me living the simple crypto life, and enjoying the hell out of it.

Wednesday, April 18, 2018

World's 14th most popular site now accepts cryptocurrency

Boasting monthly pageviews of 3,608,000,000 views per month, this is a massive website.

Ranked 7th in the USA and 14th globally based on SimilarWeb (Alexa puts it at 16 and 34 respectively), this website is only trailing behind mega global heavweights like: Google, Facebook, Youtube, Baidu, Yahoo, Twitter, Wikipedia, VK and Instagram.

It is actually ahead of websites like Yandex, Live.com, Amazon, QQ, Taobao, Reddit, Ebay, Netflix and Naver.

I think you might know it.

It is....



Pornhub.

I would show you the sign up page, but it's super NSFW. You still can click it if you want (NSFW).

As much as I shit on Verge (XVG) as a shitty currency (it still is), this partnership is huge and impressive.

*cue the "that's what she said" joke*


Seriously.

I mean, 3.6 BILLION monthly pageviews, that's pretty sick. That's 120,000,000 pageviews a day. That's freaking 83,000 people every damn minute. People that don't know or haven't been exposed to cryptocurrencies might slowly find their way into crypto now with this big partnership. Plus, with XVG considered a "privacy" coin, I can see how people would prefer to pay for their premium porn subscriptions to something that cannot be easily linked back to them.

As Ivan on Tech was saying, this is a pretty big thing for the crypto space. You don't need to like or to own XVG to be able to admit that this is a pretty big deal. The porn industry have been pushing the frontiers of a lot of technology, such as VCRs, e-commerce, streaming services and affiliate marketing. It's not surprising that porn has been quite accepting of cryptocurrencies and have embraced this seriously mindblowing technology.

Slowly but surely, cryptos will be adopted.

Not just for paying for premium porn, but for everything.

Not because I say they will be, but because it just makes sense.

"You don't have to understand it or like it. You just have to accept that this is the future"

What the IMF Head thinks about Crypto

Even the IMF Head understands that there are good stuff about crypto.

Summarized:

1) Fast and inexpensive financial transactions
2) Self-executing and self-enforcing smart contracts eliminates the need for some intermediaries
3) Secure storage of information (ability to give permissioned access to confidential data)
4) Increases asset ownership rights in places with subpar record keeping

Admittedly, she did come out with another post a month ago about the negatives of crypto, it is clearly obvious that the IMF have been studying virtual currencies quite intensely.

One important point that I find her post missing, almost on purpose, is regarding that view that (at least the legit ones) virtual currencies are a form of private money, which is free from government intervention. The monetary policies of these currencies are fixed and abided by, and they can, and (in my opinion) probably will be a superior form of money and store of wealth compared to fiat and many non-tangible assets.

In my view, I think that her "vision" of the future is rather accurate, where both traditional finance and future fintech ideas will co-exist and neither will reign supreme and eliminate the other. We have propertyguru and online insurance portals, but for goodness sake, we still have property and insurance agents. Why? For the uneducated, the lazy or the people that are willing to pay a premium to not do it themselves, of course.

However, I do believe that before I die, virtual currencies will be the preferred currency for international trade and wealth saving. It is only natural for people to gravitate to the actually scarce and limited asset compared to the infinite one, if both offers extremely similar utility (which obviously, virtual currencies have not reached those levels of utility yet, but they are catching up, FAST).

I'm way past the "It's okay to speculate, just put in a small sum" stage of crypto investing.

I am unashamed to say that the majority (more than 50%) of my networth is in cryptos and I am happily keeping it that way.

Tuesday, April 17, 2018

Does IMDA think that crypto is a scam?

MFW people say crypto is a scam.


IMDA would like to disagree with you and offer hundreds of thousands of dollars for winning blockchain ideas.

Here's the PDF factsheet which is more detailed.

Got a good idea? Toss it to them and make it to get $50k or $100k.

Here I am spreading the good word about crypto and people look at me like I'm the crazy one.



I personally find it amusing how the MAS Managing Director spoke about Gresham's Law during his speech last month. That does explain a lot why people hoard the most valuable cryptos instead of spending them, doesn't it? Hehe.

People ask me, is crypto a scam?

I'm not sure. What do you think?

Monday, April 16, 2018

Sold some DGD

Just btw fyi.

Sold some DGD a while ago.

Yes, my previously most bullish position that I have shit tons of.


+225.93% profit in ETH.
Lowest lot sold was 202% profit, highest was 336% profit.


Why am I highlighting this?

In Jan I said that : "To be completely frank, I have almost no ETH. I spent it all buying DGDs at ridiculously cheap prices. Stupid move? We shall see about that soon. After DGD finally makes it move and it is no longer cheap, I will continue stacking ETH."


This is me doing just that.

I'm not abandoning DGD. I still have a lot of DGD left, but I decided to rebalance my portfolio because my DGD position had ballooned too big. This is a happy problem of making too much money. The ETH gainz were too sick to resist not banking some profits.

200-300% returns in ETH for a 3-6 month "fixed deposit"?

Not bad.


"GMGH, are you selling to USD?"

Nope, I've sold to ETH, because imo ETH is deliciously cheap af. You do know that my average USD buy in price was $60, right? You can do the math yourself to calculate the fiat gains. Even now at these depressed $200-$250 prices, it's pretty respectable.

Admittedly when DGD was at $600, I could have sold for more than double the current fiat price, but then the ETH ratio was only ~0.5. I managed to sell at a ratio approximately 35% higher than that, which means I got 35% more ETH.

Don't get me wrong, both USD and crypto returns are important. Obviously it's best to win on both fronts. If I was cashing out, USD returns is more important. If I'm a happy stacker and think that crypto prices will go up in USD, I'll gladly take the crypto profits. As long as I'm not down on both fronts, things aren't that bad.

In a nutshell, I'm keeping my profits in ETH because I think ETH is gonna go up from here.


Can ETH go lower to $300? $250? $1? $0?

Sure, why not? (Possible and probable are 2 different things.)

This is crypto after all. It's a dangerous world out here.

Don't get rekt like me lads, do stocks or some other stuff.

Sunday, April 15, 2018

Guide: How to Self Leverage with MakerDAO's Dai

Background Context: I wrote this post and drafted it out a while ago, didn't have time to proof read it until now. Not sure if anyone is still interested, but here you go anyway. As mentioned in the last post, I went leveraged long on ETH at $377, and this is how I did it trustlessly.


I'd say that I'm not an expert and I opened up my first leverage position today.

The beauty of the Maker system is that you can decide how much to leverage and when.

Anyway, it was a rather confusing and complicated process, but a learning journey all the same. This is highly NOT recommended for anyone that is not familiar with making on-chain transactions and have a low risk tolerance.

Opening up a CDP
1) Have ETH in your Metamask account
2) Go to dai.makerdao.com/
3) Enable all the token allowances on the right (each is 1 transaction)
4) Wrap ETH to WETH
5) Convert WETH to PETH
6) Open a CDP
7) "Lock" PETH into CDP

Boom, now you have deposited collateral into the Maker system, and this allows you to draw out the Dai stablecoin.

Leveraging up
8) "Draw" out Dai
9) Trade Dai for WETH

That's it. Boom, you're leveraged.

Protips:
- use the Gas Station to figure out how much gas you should be using. I recommend "Standard" setting
- trade Dai for the best rate by comparing Oasis and Radar Relay
- remember to set Dai trading allowance on Oasis or Token trading permission on Radar Relay
- at 150% collateralization ratio, your leverage determines your max drawdown before you get liquidated
- 10% leverage affords you a 85% drawdown
- 20% leverage affords you a 70% drawdown
- 30% leverage affords you a 55% drawdown
- in my humble opinion, 30% leverage is already risky and above that, you're just asking for it

Closing your position
10) Trade WETH for enough Dai to close your position
11) Buy some MKR to pay the governance fee
12) "Wipe" will clear off Dai debt position and pay the MKR fees
13) "Shut" will close off the CDP
14) Excess / Deficit of WETH or DAI will be the profit / loss of this entire process.

*Back to 15 Apr*

The process of self-leveraging with Maker is pretty complicated and I can see massive hurdles from them scaling up and increasing supply in the future since the demand for Dai stablecoin creation is the by-product of self-leveraging. However, their partnerships and first mover advantage cannot be overlooked. With both Havven's Nomins and DigixDAO's Digix Gold going live, 2018 may very well be the start of the stablecoin revolution!

Anyway, price of ETH is already 30% above my entry price, things are looking good for my position. In my humble opinion, I think the worst is over and the markets have formed a pretty decent bottom.

I'm waiting for ETH to recover back over $800 and then I will begin my obnoxious gloating, please stay tuned for that. Probably by July.