If you have any experience in investment strategies, you would have come across the term dollar cost averaging. This refers to the strategy of investing a set amount per a unit of time (per week, per fortnight, per month...). The benefits of DCA are well-documented, and proof of that can be found all over the Internet.
A widespread investment approach is as follows: schedule weekly purchases on an exchange and transfer the assets either to a wallet and stake it, or to BlockFi, depending on the asset itself.
A fatal flaw often overlooked when adopting this strategy is the effect of transfer fees. While one may think that "The earlier I transfer my assets off the exchange the earlier I start earning APY on them" they will have failed to consider the effect transfers fees had on their assumptions.
Upon further examination, it seems like it all comes down to the frequency of transfers - Depending on the transfer fees, the amount transferred and the APY, there exists an optimal transfer frequency and this app helps you find it.
A widespread investment approach is as follows: schedule weekly purchases on an exchange and transfer the assets either to a wallet and stake it, or to BlockFi, depending on the asset itself.
A fatal flaw often overlooked when adopting this strategy is the effect of transfer fees. While one may think that "The earlier I transfer my assets off the exchange the earlier I start earning APY on them" they will have failed to consider the effect transfers fees had on their assumptions.
Upon further examination, it seems like it all comes down to the frequency of transfers - Depending on the transfer fees, the amount transferred and the APY, there exists an optimal transfer frequency and this app helps you find it.
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