Nov 2018: Multiple Income Streams, Divestments & Passive Income Gains

Right now cryptocurrency is tanking: Bitcoin and most Alt coins are experiencing big bearish price swings, with Bitcoin reaching a low of $3,600. Similarly, my crypto mining income has taken a 50% dive. The past year I have been trying to figure out how to make more income and planning out my next steps. Along the way, I've been fighting the inner dialogue that most Entrepreneurs face when they develop any start up. Instead of giving up and going against my year-long commitment to entrepreneurship, I kept fighting, and somehow landed upon a few income streams.

For the last few months I was in a weird stage. I wasn't working as much on the Dividend Raptor brand and it was more of a part time hobby at that point. I felt a lot of the lows that most Entrepreneurs face, and wasn't sure of what to do to compound the organic trajectory this brand was experiencing. "Do I get a job to bring some cash flow stimulus to my investments? Do I keep building upon the small wins on my trading accounts? Or do I add other income streams? Should I just focus on trading?" These were some of the inner dialogue demons I was facing which prevented me from pulling the trigger on income streams, and on building content. I also had some creative bottlenecks and writers' block. On top of that, I had some societal norms pressure where I felt like a loser for not following the traditional path of getting (a) job, house, and married within a particular time period. Despite that, I had some hard decisions to make. It was already November, and I had sustained myself without having a job, so what was 2 more months? I took some time to build my mental framework, and made some hard decisions: it was time to Divest and pull the Trigger.

Most of the new income streams I introduced this November were things I already looked into but couldn't pull the trigger on for whatever reason. Some of you can identify with this, but I simply didn't want to invest the money front-end for a potential loss later on. At the time I didn't have a grasp of risk to reward, and the things that I did FOMO invest in were high-risk, big-ticket items that quickly became unprofitable (such as Genesis Mining). This time I had nothing to lose, but I was wiser. The first income stream I developed was smartphone farming:


It was a mixture of luck and happenstance that I landed upon this income stream because I was researching for a different one: retail arbitrage, which I will get into later. I was thinking about ways to retail arbitrage cost effectively and automationally. I was prospecting ideas and binging things-when I thought about goodwill. I go into their website and ponder whether they have an ecommerce store; at which they do. I was already in the market for smartphones for personal use, and products that I could arbitrage, so this was a win-win. I land on the smartphone search page, and quickly find that the prices are competitive to market.

The first smartphone I bought: the LG Optimus L9 L769 totaled $23 including shipping price. This was my first buy so I didn't cross-reference the price relative to Ebay; but next to Amazon, I saw that it was undercut. Also, the item description says it was untested but the pictures show a quickstart screen, so I made a calculated bet. When it came in the mail, I charge it and find that it works. I check Ebay and found I bought it $5 premium to market; so arbitraging it was out of the cards. So then I start testing out passive income apps and the smartphone farming journey is born.

What is Smartphone Farming?
Smartphone farming is similar to cryptocurrency mining in that it uses smartphone devices or tablets to play videos or ads. These apps pay out in the gift points that one redeems for gift cards or Paypal credits. It's much better than crypto mining because the profitability is more stable and there are less price swings since the rewards are all dollar-denominated. Also, the energy consumption is much less than crypto mining, so you can get more profit the more you scale your smartphone farm. The downside of smartphone mining is that it is less passive than crypto mining because these apps sometimes have to be restarted every once in a while should they crash. However, the apps that I recommend usually do not have much issues related to downtime since I've tested them all.

The Hard Pill 
The tough decision I had to make was selling my mining rig. The reason I did this was because I had to make room for my smartphone farming operation. Since smartphone farming is more profitable in my case, I had to make capital room for overhead. NYC electricity rate is stupid high at a variable rate fluctuating around $0.28 per KWh. Thus, it would have been more profitable to buy 20 more smartphones for an operation then carry 3 1070ti's that depreciate over time. This would be different for others living in different states especially if they have low overhead costs. If you read on, I will also break down my debt and income levels to warrant such drastic divestitures.

The Red Pill Leads to Ebay 
I was looking around for things to sell and noticed that I had a TV I barely use. I search on Ebay and found that my model still had the asking price of what I bought it for. Since mine was used and I wanted a quick sell, I sell mine for cheaper than the going rate plus shipping. I make an instant sell within an hour. This made me think: "what else can I sell that would net me some big bucks after fees?" My mining rig! From my trading experiences, I learned how to let things go especially if they are no longer profitable, and the reward for divesting my mining rig was higher than keeping it. Because I still had debt from purchasing the materials; and because the profitability of cryptocurrency is uncertain and sinking lower, I decided to sell my GPU mining parts while the prices were still high.

Income Streams Added: 
  1. Smartphone farming 
  2. Ebay store 

PASSIVE INCOME PORTFOLIO 
Income Stream Growth Challenge:
  1. Ebay/Ecommerce
  2. Affiliate marketing
  3. Robinhood & TD-Ameritrade day trading
  4. Cryptocurrency Trading
  5. Dividend Investing
Divestitures:
  • Cryptocurrency mining 

PERSONAL FINANCE
Total Debt: $25,450
  • Credit Cards: $6,950
  • Student Loans: $18,500
Projected Income Stats: $530 to $2,330/month
  1. Smartphone Farm $25 to $50/month
  2. Ebay/Ecommerce & POS Retail Arbitrage $200 to $1,000/month
  3. Affiliate Marketing$0 to /month
  4. Stocks Trading: $25 to $400/month
  5. Crypto Trading: 0.02 btc per month 
  6. 5% monthly dividend growth 
  7. Side hustle job: $200 to $800 per month
These numbers are projected because each month will be different, but the minimum numbers shown will be the benchmark that I will have to hit each month. As my numbers become more stable, I will develop truer passive income reports. This is also accountability for me to hit my metrics and will make me work even harder to meet goals as a result.

The new passive income streams I added were newly minted as of a few days ago so the numbers will be modified as new data come into play. So all the new listings on Ebay seem to be selling fast. My plan is to use the capital from sales to buy other products at discount and sell it at profit to market. Additionally, the smartphone farming operation will be scaled as well especially with the residuals received from all of my passive income sources including website farming. The goal is to keep each income stream separated so that each cashflow received from each department is used to compound their respective departments. The biggest failure I have seen was when I used resources from one source to fund debt paydowns or assets in other sources. Commingling assets have always been a source of slow growth or liquidation in my history, which I will talk about in another blog post.

Be sure to check out the corresponding YouTube & BitTube video on my channel, and sign up to my newsletter to have a first hand look into new automation tools and passive incomes I'm testing out to see whether they work or not. Thanks.


Nov 2018: Multiple Income Streams, Divestments & Passive Income Gains Nov 2018: Multiple Income Streams, Divestments & Passive Income Gains Reviewed by Dividend Raptor on 10:20 PM Rating: 5

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