Cub Finance: Entering the CUB/BUSD Defi Farm

in LeoFinancelast month

@bitcoinflood's image and link to his site to learn about Defi and Cub Finance

Cub Finance is a Defi Platform with a lot of potential so I decided to enter the CUB/BUSD Farm. With the rollout of Kingdoms where rewards are auto compounded for you, I foresee more people using either the CUB/BNB pool or the CUB/BUSD pool after they harvest their CUB rewards.

Why Cub Finance?

The reason why I choose Cub Finance is because of the team behind it. It is currently run by the @leofinance team and their actions in the past are the exact reason why I do not think there will ever be a rug pull. It was before I joined the LeoFinance community but their wLEO pool in Uniswap was hacked and they decided to reimburse the users.

@bitcoinflood's image and link to his site to learn more about LeoFinance and blogging

In the most recent post by @leofinance announcing Kingdoms, they linked to the this post that specifically talks about why most Defi projects price tends to fail after a month. The original Cub Finance before Kingdoms were added was that exact same model. With Kingdoms, I can see the Defi network under Cub Finance become economically sustainable and I believe it will change the current down trending price of CUB. You can see the current price action of CUB below and the source of this can be found on coinmarketcap.

6-13 Cub price.png

So with the new additions of Kingdoms, I foresee the price of CUB to either be stable or increase. In fact, I think it has been more or less bottoming out but its not financial advice. In fact I have a lot of confidence in the @leofinance team and the money I moved into Cub Finance is a portion of the LEO I earn blogging on leofinance.

CUB/BUSD Farm Add

After reading some posts on LeoFinance about stable coins after the drop in crypto prices, I decided that CUB/BUSD is a great hold. I can't seem to find the exact posts that made me reconsider.

So why would I really want to be in the CUB/BUSD pool? I think it works as a hedge and helps to keep part of my investments fiat stable. If CUB price goes down, I get more BUSD and when CUB price goes up, I get more BUSD. In a way, I am going to take advantage of the fact that I won't face the entire price changes and still maintain my fiat value. Of course it would mean impermanent loss could be very likely if CUB either moons or crashes. At the same time, I think this is one of the busier pools so the bonuses to the liquidity provider should be quite good. However I don't know if the high amount of liquidity provided will net me much of the pool.

6-13 CUB-BUSD after.png

As a plus of somewhat hedging my fiat value in Cub Finance, I also get a 210% APR. So even if CUB were to moon, I believe I would probably get enough CUB to make up for some of the difference. You can read my previous post on how to add to a farm for more details about how to stake.

6-13 CUB-BUSD LP approve.png

One thing I have to note though is that I actually had to approve the contracts for CUB and BUSD before adding to the liquidity pool. So if I missed it on my previous guide, I am sorry. I want to note that I sent over a portion of my LEO earnings over to fund this add to the Farm. So I highly recommend you come over to LeoFinance and blog to fund your Defi experience.

6-13 bLeo transfer.png

Cub Finance Liquidity Pool Holdings

5-17 CUB LP holdings.png

Lets review where I was last time on May 17th before I do any changes. As you can see, I thought it was doing quite well and we have currently taken quite a beating. Afterwards I did a CUB/BUSD add to the Farm to get the below value in Cub Finance. My value after adding in 299 LEO into Cub Finance is a little bit above where I ended after my last add. I did forget to harvest my CUBs since last month so there is probably another $10 or so there.

6-13 LP after.png

Conclusion

I didn't exactly keep track of how much BNB I had to start but the transaction fees took about 0.004 BNB because of all the transactions I did. So it was more or less around $1.2 which isn't that bad. I did hear rumors of a Polygon network which will have even lower fees and there is also rumors of a possible airdrop to CUB holders. I am not exactly sure whether or not the CUB/BUSD Farm qualifies but I believe it does.

My hedge in the Cub Finance network this time around is the CUB/BUSD and I believe I won't lose out in the long run even if prices start crashing due to the APR. At the same time, I stand with Cub Finance and I believe that they want to turn the common Defi model into something that is long term and sustainable. At worst, I do believe I can make back all the crypto I lose by blogging at LeoFinance.

Please make sure to invest only what you can afford to lose and nothing I said is financial advice. I don't know why but I felt like I wanted to put this in.

The sources for the Cub Finance image and LeoFinance image (first 2 images on this post) is from this post by @bitcoinflood.

Please feel free to leave a comment if you read my post. If you have any questions, feel free to ask and I will do my best to answer.

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I concluded a long time ago that it was some sort of scam. I got totally ripped off there when I left, the platform basically stole 50% of my equity!! haha it was a scam for me! CUB to 8 cents was my prediction way back then, still looks like it may happen! One more big drop for CUB coming it looks like from the chart, the capitulation candle!!

Damp eeet!

🌊 🌊 🌊 🐙 🤸🕳️ 🏃 🐙
Screenshot 2021-03-28 at 12.08.26 AM.png

https://peakd.com/cub/@coininstant/cub-token-techincal-analysis-head-and-shoulders-pattern-spotted

https://peakd.com/cub/@coininstant/cub-going-down-to-8-15-cents

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It's really frustrating to have the APR fluctuate like that. Then you'll always have to find another pool again and again.

Yea the fluctuations can be pretty hard sometimes. It just seems like the best tool to use is mycublp and it automatically shows you everything in dollar values.

!ENGAGE 10

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Cub/busd is the best choice. I am personally and part of Share_project investors are also in particularly this farm:)

Yea I think its the best way to get CUB through the APR and you are less likely to lose FIAT value since it automatically starts turning CUB into BUSD when CUB dumps.

!ENGAGE 10

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Very nice article @jafang003. Why didn't I think about this before!!! Duh me. I am going to put some money in the farm because it makes sense. Impermanent loss is not going to affect the earnings in the long run.

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Well the damage prices change does is probably going to be less in both directions. I think you still get hit but even if CUB goes up in price, it just means your depending on the APR to to make up for the CUB changed into BUSD.

!ENGAGE 10

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Thanks for the explanation J. I get it now. With Kingdoms, the impermanent loss won't matter much in the long term.

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Thank you for your engagement on this post, you have recieved ENGAGE tokens.

Kingdoms is looking very nice I have a feeling once everything is moved over there we should see a rather nice pump in price especially since towards the end of the year we should start seeing a major turn to rally. Going to be an interesting next 6 months!

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Yea its going to be an interesting 6 months and personally I am waiting for that Cub Kingdom to take off so I don't have to harvest as much.

!ENGAGE 10

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I've got the entirety of my stakes, aside from some CAKE in the kingdom, in the CUB-BUSD farm. See, farms paired against a stablecoin have the advantage of square-root behaviour. If CUB goes 4x down, your LP worth is going to come 2x down, if it's up 10x, your LP worth goes up the square root of that, which is 3.16x. Learned that one from Edicted

Since the APR is so high in this pool coupled with the advantage above, impermanent loss becomes sort of irrelevant, and CUB-BUSD becomes the brightest option to put your stakes into.

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Yea the square root effects helps quite a bit and its more stable. The best part about it when CUB increases is that the harvest CUB will make up for the difference somewhat.

!ENGAGE 10

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Thank you for this review of the Cub BUSD pool. I was in this pool before and excited it and put my BUSD in Bitcoin. I think the stable coin helps against impermanent loss as you say, and helps protect 50% of your gains. So it’s a good choice.

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It also can cut your profits as well if CUB pumps up but I think the CUB generated inside the pool will get you back that loss eventually.

!PIZZA

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This is definitely the best ROI farm for building CUB. I love this one and was in it for quite alot until I jumped into Cake.

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I have also entered the realms, but it is not what I expected, it was a minimal investment, but I plan to take it to much more.

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CUB is rising today,

all the way up to $0.74 from $0.51
which is great news for CUB wranglers like us!!

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