Elephant Money Futures: Not the TradFi Savings and CD accounts of old
As a young entrepreneur, I am on a mission to create TIME freedom for myself. Time freedom is accomplished by having passive income.
“If you don’t find a way to make money while you sleep, you will work until you die.” — Warren Buffet
I have different strategies on how to create passive income and accomplish this goal though.
Traditional banking systems have always been a hindrance to wealth creation, especially for those in their 20s and 30s, (unless your dad owns a Fortune 500 company). Based on statistics provided by the Federal Reserve, the average savings for the age group from 20 -35 year olds is $11,250 with a median savings of $3,240. In congruence, Forbes magazine suggests you stuff your savings into “online savings accounts” because they are accessible, have “competitive” interest rates, and they charge no fees. They also believe you should utilize locked “certificates of deposit” or CDs that earn fixed rates on your deposit until a maturity date.
What if I told you there was a better way?
What if you can accelerate your savings and accrue passive income using a mixed High Yield Savings and CD account?
Part Locked and part Liquid. Interested. Keep reading…
Elephant Money Futures is the key, but we’ll get back to what that is after I explain, WHY to avoid actual TradFi savings and certificate of deposit accounts.
-Savings account: A savings account is a bank account that allows an individual to deposit and save money while earning interest on their balance. They are made by users to increase liquid cash by continuing to deposit funds. People will deposit funds weekly, biweekly, or monthly to grow their nest egg and utilize minor compound interest due to the very low interest rates banks are giving today.
The best ones I found on Nerdwallet.com: 4% APY, 4.25% APY and 4.56% APY.
For example, utilizing the best APY above, here is a basic strategy below:
Deposit: $1,000 and $200 every month ($1,000 + $2,400):
Total Deposit $3,400 over 12 months
Interest Earned: $97.37 (4.56% APY)
Total Investment: $3,497.37
You made $97.37 dollars — Guess what! the US inflation rate is 4.98% (4/2023) — You lost money utilizing a savings account.
Moving on.
-Certificate of Deposit (CD): A CD is a financial instrument that allows a person to deposit a sum of money with a bank for a specified period (LOCKED), typically ranging from a few months to several years. In return for the deposit, the bank pays a fixed interest rate that is usually higher than a savings account.
The best ones I found on Nerwallet.com for 1 year CD: 5.1% and 4.5% APY
Deposit: $3,400 Locked (Cannot take out until your 366th day)
Total Deposit: $3,400
Interest Earned: $173.40
Total Investment: $3,573.40
You made $173.40 dollars- Congratulations- you beat inflation by $6.08! (dolla dolla bills yawl $$)
What is the big bad Inflation and why does it matter?
Future Value = Present Value x (1 + Inflation Rate)
Plugging in the numbers, we get:
Future Value = $3400 x (1 + 0.0498) Future Value = $3567.32
Therefore, the value of your money at the end of one year, adjusted for inflation, would be approximately $3567.32. The problem is that your money is less valuable because of the inflation of the USD, and the value tied to products, goods, and services.
A quick example of how inflation works:
You have $100 today and can buy 10 loaves of bread at $10 each. If the inflation rate is 4.98% and prices increase by that amount of the next year, the same 10 loaves of bread will cost you $10.50 each at the end of the year. To purchase the same amount of bread, you will need $105 as opposed to $100, which means that the purchasing power of your money has decreased.
Based on the information above, it is not rational to invest in savings accounts and certificate of deposits if you want to retain the value of your money over time. You need appreciating assets with higher interest rates or rates of return.
Back to the FUTURE:
A smart contract within the Elephant Money Web 3 Decentralized Community Bank: Elephant Money Futures.
Let me tell you how it works and why it is both parts Savings(Liquid) and CD (Locked) and a better investment than TradFi banking accounts.
Elephant Money Futures, is a high-yield cash flow engine that yields 0.5% daily on BUSD stablecoin. It requires ongoing investments of a minimum of $200 to compound the accrued rewards. Each claim deducts from your current balance like a savings account. These features are designed to help users create passive income, which can be an effective way to increase wealth. It is a low maintenance, highly flexible and innovative solution that provides a stable and sustainable return on investment.
There are no fees, has the highest sustainable rate of return (0.5% a day) in DeFi, and accrued rewards are liquid. Futures has been designed to encourage regular investing like a savings account and users can implement many strategies to grow a nest egg, smooth out cashflow, or simply grow profits.
Here are the key points and a starter strategy:
For this example, I assume you have an income, and you can support an initial investment of $1,000 with an ongoing deposit of $200 a month. You aren’t about to retire and will not utilize this money for passive income for approximately 1.5–3 years.
Lets see the results!
First we have to use the handy dandy Crypto Stu Calculator: Link Here (Make a copy to edit)
We fill in our initial information and goals for compounding.
Initial Deposit: $1,000.00
Monthly Deposits: Phase 1, 2, & 3- Minimum Deposit $200 to compound accrued (liquid) rewards
Balance Goal: $20,000 (Then we will start to claim and begin the passive income journey to time freedom, any claims will be deducted from this balance)
Phase 2: Alternate Every 15 days (I find this strategy easy to understand. Claim on the 1st of the month and Deposit $200 to compound rewards on the 15th of the month)
Note: We will focus on the first 2 years of compounding. Don’t get ahead of yourself and worry about phase 3 yet.
Here is the breakdown: We will be placing an initial locked deposit of $1,000 (think Certificate of Deposit) into the futures contract. Every month you will add a minimum of $200 (think savings account) until you have a total locked and accrued balance of $20,000.
Note: you will be able to accrue at a rate of 0.5% a day on the total value locked. Each new deposit with accrued rewards will be compounded and locked into your total balance. You will use the accrued rewards as income after you hit your balance goal.
Once you hit your total balance goal of $20,000, by only investing $4,400 of fresh capital, you will begin to do a claim and compound strategy by alternating every 15 days i.e. Claim on the 1st of the month and compound on the 15th of the month.
Note: I’m not sure if you caught that. Over 510 days you only invested $4,400.00 and now have a balance of over $20,000.00 that you will accrue 0.5% on.
Approximately 1 year and 36 weeks later you have a total balance of $22,238.70. You claim your first reward of $1,667.90 (which deducts from your total balance). You wait 15 days and deposit $200 to compound your new accrued reward of $1,542.81 (Seen in blue above).
Note: Your balance has increased ($200 + $1,542.81) by $1,742.81. From $20,570.80 to $22.313.61! Your new total balance you will make 0.5% on a day.
Another 15 days goes by and you claim your second reward of $1,673.52 (which deducts from you total balance) You wait 15 more days and deposit $200 to compound your new accrued rewards of $1,548.01. Your new balance is $22,388.09.
After your third reward collection of $1,679.11 you have received $5,020.53 and have only invested $4,800.00 into your account. That is 104% Return on investment and is liquid cash in the form of BUSD.
By the end of your second year (5/30/25) you have deposited a total of $6,200 and have claimed back $16,928.08 and have a total locked balance of $22,897.89. You are making passive income on your savings account and growing your locked CD balance.
Approximate 2 year gains:
Total Invested: $6,200
Total Claimed: $16,928.08
Total Balance: $22,897.89
ROI: 273%
Monthly Income: $1717.34 * (and growing)
All with the power of decentralized finance and the first web3 decentralized community bank called Elephant Money.
Note: Assets outpace liabilities by utilizing the constant product formula within automated market makers i.e Pankcakeswap. Current liabilities are total value locked (TVL) in Elephant Money Futures, or what is owed. TVL is $4.23 million dollars. The asset that pays out yield is the Elephant Treasury which currently sits at $17.2 million dollars. That’s 4 times more value than the liabilities of the system.
If you want to know where the yield comes from and why it outpaces the liabilities please see my other articles and the links below to Bailey EMH youtube videos! They explain the constant product formula, automated market makers and the on chain math behind the yield.
Link To Crypto Stu Futures Article- More in depth info on Futures and strategies: HERE
Link To Bailey EMH Youtube Math Series- Understanding the constant product formula and Elephant Money Tokenomics: HERE
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Note: This article is not financial advice. Please do your own research before investing in cryptocurrencies.
