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CyberPunkMetalHead

CyberPunkMetalHead

3 years ago

195 countries want Terra Luna founder Do Kwon

More on Web3 & Crypto

TheRedKnight

TheRedKnight

3 years ago

Say goodbye to Ponzi yields - A new era of decentralized perpetual

Decentralized perpetual may be the next crypto market boom; with tons of perpetual popping up, let's look at two protocols that offer organic, non-inflationary yields.

Decentralized derivatives exchanges' market share has increased tenfold in a year, but it's still 2% of CEXs'. DEXs have a long way to go before they can compete with centralized exchanges in speed, liquidity, user experience, and composability.

I'll cover gains.trade and GMX protocol in Polygon, Avalanche, and Arbitrum. Both protocols support leveraged perpetual crypto, stock, and Forex trading.

Why these protocols?

Decentralized GMX Gains protocol

Organic yield: path to sustainability

I've never trusted Defi's non-organic yields. Example: XYZ protocol. 20–75% of tokens may be set aside as farming rewards to provide liquidity, according to tokenomics.

Say you provide ETH-USDC liquidity. They advertise a 50% APR reward for this pair, 10% from trading fees and 40% from farming rewards. Only 10% is real, the rest is "Ponzi." The "real" reward is in protocol tokens.

Why keep this token? Governance voting or staking rewards are promoted services.

Most liquidity providers expect compensation for unused tokens. Basic psychological principles then? — Profit.

Nobody wants governance tokens. How many out of 100 care about the protocol's direction and will vote?

Staking increases your token's value. Currently, they're mostly non-liquid. If the protocol is compromised, you can't withdraw funds. Most people are sceptical of staking because of this.

"Free tokens," lack of use cases, and skepticism lead to tokens moving south. No farming reward protocols have lasted.

It may have shown strength in a bull market, but what about a bear market?

What is decentralized perpetual?

A perpetual contract is a type of futures contract that doesn't expire. So one can hold a position forever.

You can buy/sell any leveraged instruments (Long-Short) without expiration.

In centralized exchanges like Binance and coinbase, fees and revenue (liquidation) go to the exchanges, not users.

Users can provide liquidity that traders can use to leverage trade, and the revenue goes to liquidity providers.

Gains.trade and GMX protocol are perpetual trading platforms with a non-inflationary organic yield for liquidity providers.

GMX protocol

GMX is an Arbitrum and Avax protocol that rewards in ETH and Avax. GLP uses a fast oracle to borrow the "true price" from other trading venues, unlike a traditional AMM.

GLP and GMX are protocol tokens. GLP is used for leveraged trading, swapping, etc.

GLP is a basket of tokens, including ETH, BTC, AVAX, stablecoins, and UNI, LINK, and Stablecoins.

GLP composition on arbitrum

GLP composition on Avalanche

GLP token rebalances based on usage, providing liquidity without loss.

Protocol "runs" on Staking GLP. Depending on their chain, the protocol will reward users with ETH or AVAX. Current rewards are 22 percent (15.71 percent in ETH and the rest in escrowed GMX) and 21 percent (15.72 percent in AVAX and the rest in escrowed GMX). escGMX and ETH/AVAX percentages fluctuate.

Where is the yield coming from?

Swap fees, perpetual interest, and liquidations generate yield. 70% of fees go to GLP stakers, 30% to GMX. Organic yields aren't paid in inflationary farm tokens.

Escrowed GMX is vested GMX that unlocks in 365 days. To fully unlock GMX, you must farm the Escrowed GMX token for 365 days. That means less selling pressure for the GMX token.

GMX's status

These are the fees in Arbitrum in the past 11 months by GMX.

GMX works like a casino, which increases fees. Most fees come from Margin trading, which means most traders lose money; this money goes to the casino, or GLP stakers.

Strategies

My personal strategy is to DCA into GLP when markets hit bottom and stake it; GLP will be less volatile with extra staking rewards.

GLP YoY return vs. naked buying

Let's say I invested $10,000 in BTC, AVAX, and ETH in January.

  • BTC price: 47665$

  • ETH price: 3760$

  • AVAX price: $145

Current prices

  • BTC $21,000 (Down 56 percent )

  • ETH $1233 (Down 67.2 percent )

  • AVAX $20.36 (Down 85.95 percent )

Your $10,000 investment is now worth around $3,000.

How about GLP? My initial investment is 50% stables and 50% other assets ( Assuming the coverage ratio for stables is 50 percent at that time)

Without GLP staking yield, your value is $6500.

Let's assume the average APR for GLP staking is 23%, or $1500. So 8000$ total. It's 50% safer than holding naked assets in a bear market.

In a bull market, naked assets are preferable to GLP.

Short farming using GLP

Simple GLP short farming.

You use a stable asset as collateral to borrow AVAX. Sell it and buy GLP. Even if GLP rises, it won't rise as fast as AVAX, so we can get yields.

Let's do the maths

You deposit $10,000 USDT in Aave and borrow Avax. Say you borrow $8,000; you sell it, buy GLP, and risk 20%.

After a year, ETH, AVAX, and BTC rise 20%. GLP is $8800. $800 vanishes. 20% yields $1600. You're profitable. Shorting Avax costs $1600. (Assumptions-ETH, AVAX, BTC move the same, GLP yield is 20%. GLP has a 50:50 stablecoin/others ratio. Aave won't liquidate

In naked Avax shorting, Avax falls 20% in a year. You'll make $1600. If you buy GLP and stake it using the sold Avax and BTC, ETH and Avax go down by 20% - your profit is 20%, but with the yield, your total gain is $2400.

Issues with GMX

GMX's historical funding rates are always net positive, so long always pays short. This makes long-term shorts less appealing.

Oracle price discovery isn't enough. This limitation doesn't affect Bitcoin and ETH, but it affects less liquid assets. Traders can buy and sell less liquid assets at a lower price than their actual cost as long as GMX exists.

As users must provide GLP liquidity, adding more assets to GMX will be difficult. Next iteration will have synthetic assets.

Gains Protocol

Best leveraged trading platform. Smart contract-based decentralized protocol. 46 crypto pairs can be leveraged 5–150x and 10 Forex pairs 5–1000x. $10 DAI @ 150x (min collateral x leverage pos size is $1500 DAI). No funding fees, no KYC, trade DAI from your wallet, keep funds.

DAI single-sided staking and the GNS-DAI pool are important parts of Gains trading. GNS-DAI stakers get 90% of trading fees and 100% swap fees. 10 percent of trading fees go to DAI stakers, which is currently 14 percent!

Trade volume

When a trader opens a trade, the leverage and profit are pulled from the DAI pool. If he loses, the protocol yield goes to the stakers.

If the trader's win rate is high and the DAI pool slowly depletes, the GNS token is minted and sold to refill DAI. Trader losses are used to burn GNS tokens. 25%+ of GNS is burned, making it deflationary.

Due to high leverage and volatility of crypto assets, most traders lose money and the protocol always wins, keeping GNS deflationary.

Gains uses a unique decentralized oracle for price feeds, which is better for leverage trading platforms. Let me explain.

Gains uses chainlink price oracles, not its own price feeds. Chainlink oracles only query centralized exchanges for price feeds every minute, which is unsuitable for high-precision trading.

Gains created a custom oracle that queries the eight chainlink nodes for the current price and, on average, for trade confirmation. This model eliminates every-second inquiries, which waste gas but are more efficient than chainlink's per-minute price.

This price oracle helps Gains open and close trades instantly, eliminate scam wicks, etc.

Other benefits include:

  • Stop-loss guarantee (open positions updated)

  • No scam wicks

  • Spot-pricing

  • Highest possible leverage

  • Fixed-spreads. During high volatility, a broker can increase the spread, which can hit your stop loss without the price moving.

  • Trade directly from your wallet and keep your funds.

  • >90% loss before liquidation (Some platforms liquidate as little as -50 percent)

  • KYC-free

  • Directly trade from wallet; keep funds safe

Further improvements

GNS-DAI liquidity providers fear the impermanent loss, so the protocol is migrating to its own liquidity and single staking GNS vaults. This allows users to stake GNS without permanent loss and obtain 90% DAI trading fees by staking. This starts in August.

Their upcoming improvements can be found here.

Gains constantly add new features and change pairs. It's an interesting protocol.

Conclusion

Next bull run, watch decentralized perpetual protocols. Effective tokenomics and non-inflationary yields may attract traders and liquidity providers. But still, there is a long way for them to develop, and I don't see them tackling the centralized exchanges any time soon until they fix their inherent problems and improve fast enough.


Read the full post here.

Crypto Zen Monk

Crypto Zen Monk

2 years ago

How to DYOR in the world of cryptocurrency

RESEARCH

We must create separate ideas and handle our own risks to be better investors. DYOR is crucial.

The only thing unsustainable is your cluelessness.

DYOR: Why

  • On social media, there is a lot of false information and divergent viewpoints. All of these facts might be accurate, but they might not be appropriate for your portfolio and investment preferences.

  • You become a more knowledgeable investor thanks to DYOR.

  • DYOR improves your portfolio's risk management.

My DYOR resources are below.

Messari: Major Blockchains' Activities

New York-based Messari provides cryptocurrency open data libraries.

Major blockchains offer 24-hour on-chain volume. https://messari.io/screener/most-active-chains-DB01F96B

Chains Activity providced by Messari

What to do

Invest in stable cryptocurrencies. Sort Messari by Real Volume (24H) or Reported Market Cap.

Coingecko: Research on Ecosystems

Top 10 Ecosystems by Coingecko are good.

https://www.coingecko.com/en/categories

What to do

Invest in quality.

  • Leading ten Ecosystems by Market Cap

  • There are a lot of coins in the ecosystem (second last column of above chart)

CoinGecko's Market Cap Crypto Categories Market capitalization-based cryptocurrency categories. Ethereum Ecosystem www.coingecko.com

Fear & Greed Index for Bitcoin (FGI)

The Bitcoin market sentiment index ranges from 0 (extreme dread) to 100. (extreme greed).

How to Apply

See market sentiment:

  • Extreme fright = opportunity to buy

  • Extreme greed creates sales opportunity (market due for correction).

https://alternative.me/crypto/fear-and-greed-index/Trend of FGI over a period of time. https://alternative.me/crypto/fear-and-greed-index/

Glassnode

Glassnode gives facts, information, and confidence to make better Bitcoin, Ethereum, and cryptocurrency investments and trades.

Explore free and paid metrics.

Stock to Flow Ratio: Application

The popular Stock to Flow Ratio concept believes scarcity drives value. Stock to flow is the ratio of circulating Bitcoin supply to fresh production (i.e. newly mined bitcoins). The S/F Ratio has historically predicted Bitcoin prices. PlanB invented this metric.

https://studio.glassnode.com/metrics?a=BTC&m=indicators.StockToFlowRatio

Utilization: Ethereum Hash Rate

Ethereum miners produce an estimated number of hashes per second.

https://studio.glassnode.com/metrics?a=ETH&m=mining.HashRateMean

ycharts: Hash rate of the Bitcoin network

https://ycharts.com/indicators/bitcoin_network_hash_rate

TradingView

TradingView is your go-to tool for investment analysis, watch lists, technical analysis, and recommendations from other traders/investors.

https://www.tradingview.com/markets/cryptocurrencies/ideas/

Research for a cryptocurrency project

Two key questions every successful project must ask: Q1: What is this project trying to solve? Is it a big problem or minor? Q2: How does this project make money?

Each cryptocurrency:

  • Check out the white paper.

  • check out the project's internet presence on github, twitter, and medium.

  • the transparency of it

  • Verify the team structure and founders. Verify their LinkedIn profile, academic history, and other qualifications. Search for their names with scam.

  • Where to purchase and use cryptocurrencies Is it traded on trustworthy exchanges?

  • From CoinGecko and CoinMarketCap, we may learn about market cap, circulations, and other important data.

The project must solve a problem. Solving a problem is the goal of the founders.

Avoid projects that resemble multi-level marketing or ponzi schemes.

Your use of social media

  • Use social media carefully or ignore it: Twitter, TradingView, and YouTube

Someone said this before and there are some truth to it. Social media bullish => short.

Your Behavior

Investigate. Spend time. You decide. Worth it!

Only you have the best interest in your financial future.

Rishi Dean

Rishi Dean

3 years ago

Coinbase's web3 app

Use popular Ethereum dapps with Coinbase’s new dapp wallet and browser

Tl;dr: This post highlights the ability to access web3 directly from your Coinbase app using our new dapp wallet and browser.

Decentralized autonomous organizations (DAOs) and decentralized finance (DeFi) have gained popularity in the last year (DAOs). The total value locked (TVL) of DeFi investments on the Ethereum blockchain has grown to over $110B USD, while NFTs sales have grown to over $30B USD in the last 12 months (LTM). New innovative real-world applications are emerging every day.

Today, a small group of Coinbase app users can access Ethereum-based dapps. Buying NFTs on Coinbase NFT and OpenSea, trading on Uniswap and Sushiswap, and borrowing and lending on Curve and Compound are examples.

Our new dapp wallet and dapp browser enable you to access and explore web3 directly from your Coinbase app.

Web3 in the Coinbase app

Users can now access dapps without a recovery phrase. This innovative dapp wallet experience uses Multi-Party Computation (MPC) technology to secure your on-chain wallet. This wallet's design allows you and Coinbase to share the 'key.' If you lose access to your device, the key to your dapp wallet is still safe and Coinbase can help recover it.

Set up your new dapp wallet by clicking the "Browser" tab in the Android app's navigation bar. Once set up, the Coinbase app's new dapp browser lets you search, discover, and use Ethereum-based dapps.

Looking forward

We want to enable everyone to seamlessly and safely participate in web3, and today’s launch is another step on that journey. We're rolling out the new dapp wallet and browser in the US on Android first to a small subset of users and plan to expand soon. Stay tuned!

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Alexander Nguyen

Alexander Nguyen

3 years ago

How can you bargain for $300,000 at Google?

Don’t give a number

Photo by Vitaly Taranov on Unsplash

Google pays its software engineers generously. While many of their employees are competent, they disregard a critical skill to maximize their pay.

Negotiation.

If Google employees have never negotiated, they're as helpless as anyone else.

In this piece, I'll reveal a compensation negotiation tip that will set you apart.

The Fallacy of Negotiating

How do you negotiate your salary? “Just give them a number twice the amount you really want”. - Someplace on the internet

Above is typical negotiation advice. If you ask for more than you want, the recruiter may meet you halfway.

It seems logical and great, but here's why you shouldn't follow that advice.

Haitian hostage rescue

In 1977, an official's aunt was kidnapped in Haiti. The kidnappers demanded $150,000 for the aunt's life. It seems reasonable until you realize why kidnappers want $150,000.

FBI detective and negotiator Chris Voss researched why they demanded so much.

“So they could party through the weekend”

When he realized their ransom was for partying, he offered $4,751 and a CD stereo. Criminals freed the aunt.

These thieves gave 31.57x their estimated amount and got a fraction. You shouldn't trust these thieves to negotiate your compensation.

What happened?

Negotiating your offer and Haiti

This narrative teaches you how to negotiate with a large number.

You can and will be talked down.

If a recruiter asks your wage expectation and you offer double, be ready to explain why.

If you can't justify your request, you may be offered less. The recruiter will notice and talk you down.

Reasonably,

  • a tiny bit more than the present amount you earn

  • a small premium over an alternative offer

  • a little less than the role's allotted amount

Real-World Illustration

Photo by Christina @ wocintechchat.com on Unsplash

Recruiter: What’s your expected salary? Candidate: (I know the role is usually $100,000) $200,000 Recruiter: How much are you compensated in your current role? Candidate: $90,000 Recruiter: We’d be excited to offer you $95,000 for your experiences for the role.

So Why Do They Even Ask?

Recruiters ask for a number to negotiate a lower one. Asking yourself limits you.

You'll rarely get more than you asked for, and your request can be lowered.

The takeaway from all of this is to never give an expected compensation.

Tell them you haven't thought about it when you applied.

middlemarch.eth

middlemarch.eth

3 years ago

ERC721R: A new ERC721 contract for random minting so people don’t snipe all the rares!

That is, how to snipe all the rares without using ERC721R!

Introduction: Blessed and Lucky 

Mphers was the first mfers derivative, and as a Phunks derivative, I wanted one.

I wanted an alien. And there are only 8 in the 6,969 collection. I got one!

In case it wasn't clear from the tweet, I meant that I was lucky to have figured out how to 100% guarantee I'd get an alien without any extra luck.
Read on to find out how I did it, how you can too, and how developers can avoid it!
How to make rare NFTs without luck.

# How to mint rare NFTs without needing luck

The key to minting a rare NFT is knowing the token's id ahead of time.

For example, once I knew my alien was #4002, I simply refreshed the mint page until #3992 was minted, and then mint 10 mphers.

How did I know #4002 was extraterrestrial? Let's go back.

First, go to the mpher contract's Etherscan page and look up the tokenURI of a previously issued token, token #1:

As you can see, mphers creates metadata URIs by combining the token id and an IPFS hash.

This method gives you the collection's provenance in every URI, and while that URI can be changed, it affects everyone and is public.

Consider a token URI without a provenance hash, like https://mphers.art/api?tokenId=1.
As a collector, you couldn't be sure the devs weren't changing #1's metadata at will.
The API allows you to specify “if #4002 has not been minted, do not show any information about it”, whereas IPFS does not allow this.

It's possible to look up the metadata of any token, whether or not it's been minted.
Simply replace the trailing “1” with your desired id.


Mpher #4002

These files contain all the information about the mpher with the specified id. For my alien, we simply search all metadata files for the string “alien mpher.”

Take a look at the 6,969 meta-data files I'm using OpenSea's IPFS gateway, but you could use ipfs.io or something else.


Use curl to download ten files at once. Downloading thousands of files quickly can lead to duplicates or errors. But with a little tweaking, you should be able to get everything (and dupes are fine for our purposes).
Now that you have everything in one place, grep for aliens:


The numbers are the file names that contain “alien mpher” and thus the aliens' ids.
The entire process takes under ten minutes. This technique works on many NFTs currently minting.

In practice, manually minting at the right time to get the alien is difficult, especially when tokens mint quickly. Then write a bot to poll totalSupply() every second and submit the mint transaction at the exact right time.

You could even look for the token you need in the mempool before it is minted, and get your mint into the same block!

However, in my experience, the “big” approach wins 95% of the time—but not 100%.
“Am I being set up all along?”

Is a question you might ask yourself if you're new to this.
It's disheartening to think you had no chance of minting anything that someone else wanted.
But, did you have no opportunity? You had an equal chance as everyone else!
Take me, for instance: I figured this out using open-source tools and free public information. Anyone can do this, and not understanding how a contract works before minting will lead to much worse issues.

The mpher mint was fair.

While a fair game, “snipe the alien” may not have been everyone's cup of tea.
People may have had more fun playing the “mint lottery” where tokens were distributed at random and no one could gain an advantage over someone simply clicking the “mint” button.

How might we proceed?
Minting For Fashion Hats Punks, I wanted to create a random minting experience without sacrificing fairness. In my opinion, a predictable mint beats an unfair one. Above all, participants must be equal.

Sadly, the most common method of creating a random experience—the post-mint “reveal”—is deeply unfair. It works as follows:

  • During the mint, token metadata is unavailable. Instead, tokenURI() returns a blank JSON file for each id.
  • An IPFS hash is updated once all tokens are minted.
  • You can't tell how the contract owner chose which token ids got which metadata, so it appears random.

Because they alone decide who gets what, the person setting the metadata clearly has a huge unfair advantage over the people minting. Unlike the mpher mint, you have no chance of winning here.
But what if it's a well-known, trusted, doxxed dev team? Are reveals okay here?
No! No one should be trusted with such power. Even if someone isn't consciously trying to cheat, they have unconscious biases. They might also make a mistake and not realize it until it's too late, for example.

You should also not trust yourself. Imagine doing a reveal, thinking you did it correctly (nothing is 100%! ), and getting the rarest NFT. Isn't that a tad odd Do you think you deserve it? An NFT developer like myself would hate to be in this situation.

Reveals are bad*

UNLESS they are done without trust, meaning everyone can verify their fairness without relying on the developers (which you should never do).
An on-chain reveal powered by randomness that is verifiably outside of anyone's control is the most common way to achieve a trustless reveal (e.g., through Chainlink).

Tubby Cats did an excellent job on this reveal, and I highly recommend their contract and launch reflections. Their reveal was also cool because it was progressive—you didn't have to wait until the end of the mint to find out.

In his post-launch reflections, @DefiLlama stated that he made the contract as trustless as possible, removing as much trust as possible from the team.

In my opinion, everyone should know the rules of the game and trust that they will not be changed mid-stream, while trust minimization is critical because smart contracts were designed to reduce trust (and it makes it impossible to hack even if the team is compromised). This was a huge mistake because it limited our flexibility and our ability to correct mistakes.

And @DefiLlama is a superstar developer. Imagine how much stress maximizing trustlessness will cause you!

That leaves me with a bad solution that works in 99 percent of cases and is much easier to implement: random token assignments.

Introducing ERC721R: A fully compliant IERC721 implementation that picks token ids at random.

ERC721R implements the opposite of a reveal: we mint token ids randomly and assign metadata deterministically.
This allows us to reveal all metadata prior to minting while reducing snipe chances.
Then import the contract and use this code:

What is ERC721R and how does it work

First, a disclaimer: ERC721R isn't truly random. In this sense, it creates the same “game” as the mpher situation, where minters compete to exploit the mint. However, ERC721R is a much more difficult game.
To game ERC721R, you need to be able to predict a hash value using these inputs:

This is impossible for a normal person because it requires knowledge of the block timestamp of your mint, which you do not have.

To do this, a miner must set the timestamp to a value in the future, and whatever they do is dependent on the previous block's hash, which expires in about ten seconds when the next block is mined.

This pseudo-randomness is “good enough,” but if big money is involved, it will be gamed. Of course, the system it replaces—predictable minting—can be manipulated.
The token id is chosen in a clever implementation of the Fisher–Yates shuffle algorithm that I copied from CryptoPhunksV2.

Consider first the naive solution: (a 10,000 item collection is assumed):

  1. Make an array with 0–9999.
  2. To create a token, pick a random item from the array and use that as the token's id.
  3. Remove that value from the array and shorten it by one so that every index corresponds to an available token id.

This works, but it uses too much gas because changing an array's length and storing a large array of non-zero values is expensive.

How do we avoid them both? What if we started with a cheap 10,000-zero array? Let's assign an id to each index in that array.

Assume we pick index #6500 at random—#6500 is our token id, and we replace the 0 with a 1.

But what if we chose #6500 again? A 1 would indicate #6500 was taken, but then what? We can't just "roll again" because gas will be unpredictable and high, especially later mints.

This allows us to pick a token id 100% of the time without having to keep a separate list. Here's how it works:

  1. Make a 10,000 0 array.
  2. Create a 10,000 uint numAvailableTokens.
  3. Pick a number between 0 and numAvailableTokens. -1
  4. Think of #6500—look at index #6500. If it's 0, the next token id is #6500. If not, the value at index #6500 is your next token id (weird!)
  5. Examine the array's last value, numAvailableTokens — 1. If it's 0, move the value at #6500 to the end of the array (#9999 if it's the first token). If the array's last value is not zero, update index #6500 to store it.
  6. numAvailableTokens is decreased by 1.
  7. Repeat 3–6 for the next token id.

So there you go! The array stays the same size, but we can choose an available id reliably. The Solidity code is as follows:


GitHub url

Unfortunately, this algorithm uses more gas than the leading sequential mint solution, ERC721A.

This is most noticeable when minting multiple tokens in one transaction—a 10 token mint on ERC721R costs 5x more than on ERC721A. That said, ERC721A has been optimized much further than ERC721R so there is probably room for improvement.

Conclusion

Listed below are your options:

  • ERC721A: Minters pay lower gas but must spend time and energy devising and executing a competitive minting strategy or be comfortable with worse minting results.
  • ERC721R: Higher gas, but the easy minting strategy of just clicking the button is optimal in all but the most extreme cases. If miners game ERC721R it’s the worst of both worlds: higher gas and a ton of work to compete.
  • ERC721A + standard reveal: Low gas, but not verifiably fair. Please do not do this!
  • ERC721A + trustless reveal: The best solution if done correctly, highly-challenging for dev, potential for difficult-to-correct errors.

Did I miss something? Comment or tweet me @dumbnamenumbers.
Check out the code on GitHub to learn more! Pull requests are welcome—I'm sure I've missed many gas-saving opportunities.

Thanks!

Read the original post here

Greg Lim

Greg Lim

3 years ago

How I made $160,000 from non-fiction books

I've sold over 40,000 non-fiction books on Amazon and made over $160,000 in six years while writing on the side.

I have a full-time job and three young sons; I can't spend 40 hours a week writing. This article describes my journey.

I write mainly tech books:

Thanks to my readers, many wrote positive evaluations. Several are bestsellers.

A few have been adopted by universities as textbooks:

My books' passive income allows me more time with my family.

Knowing I could quit my job and write full time gave me more confidence. And I find purpose in my work (i am in christian ministry).

I'm always eager to write. When work is a dread or something bad happens, writing gives me energy. Writing isn't scary. In fact, I can’t stop myself from writing!

Writing has also established my tech authority. Universities use my books, as I've said. Traditional publishers have asked me to write books.

These mindsets helped me become a successful nonfiction author:

1. You don’t have to be an Authority

Yes, I have computer science experience. But I'm no expert on my topics. Before authoring "Beginning Node.js, Express & MongoDB," my most profitable book, I had no experience with those topics. Node was a new server-side technology for me. Would that stop me from writing a book? It can. I liked learning a new technology. So I read the top three Node books, took the top online courses, and put them into my own book (which makes me know more than 90 percent of people already).

I didn't have to worry about using too much jargon because I was learning as I wrote. An expert forgets a beginner's hardship.

"The fellow learner can aid more than the master since he knows less," says C.S. Lewis. The problem he must explain is recent. The expert has forgotten.”

2. Solve a micro-problem (Niching down)

I didn't set out to write a definitive handbook. I found a market with several challenges and wrote one book. Ex:

3. Piggy Backing Trends

The above topics may still be a competitive market. E.g.  Angular, React.   To stand out, include the latest technologies or trends in your book. Learn iOS 15 instead of iOS programming. Instead of personal finance, what about personal finance with NFTs.

Even though you're a newbie author, your topic is well-known.

4. Publish short books

My books are known for being direct. Many people like this:

Your reader will appreciate you cutting out the fluff and getting to the good stuff. A reader can finish and review your book.

Second, short books are easier to write. Instead of creating a 500-page book for $50 (which few will buy), write a 100-page book that answers a subset of the problem and sell it for less. (You make less, but that's another subject). At least it got published instead of languishing. Less time spent creating a book means less time wasted if it fails. Write a small-bets book portfolio like Daniel Vassallo!

Third, it's $2.99-$9.99 on Amazon (gets 70 percent royalties for ebooks). Anything less receives 35% royalties. $9.99 books have 20,000–30,000 words. If you write more and charge more over $9.99, you get 35% royalties. Why not make it a $9.99 book?

(This is the ebook version.) Paperbacks cost more. Higher royalties allow for higher prices.

5. Validate book idea

Amazon will tell you if your book concept, title, and related phrases are popular. See? Check its best-sellers list.

150,000 is preferable. It sells 2–3 copies daily. Consider your rivals. Profitable niches have high demand and low competition.

Don't be afraid of competitive niches. First, it shows high demand. Secondly, what are the ways you can undercut the completion? Better book? Or cheaper option? There was lots of competition in my NodeJS book's area. None received 4.5 stars or more. I wrote a NodeJS book. Today, it's a best-selling Node book.

What’s Next

So long. Part II follows. Meanwhile, I will continue to write more books!

Follow my journey on Twitter.


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