Debt Securities, CUB DeFi, Time & People

The latest economical problems that affect the whole world has made pretty much everyone to look for a way to make some extra money, to make ends meet, including governments.

Debt Securities

Last month the Romanian government launched a bond selling program, that will end at the end of March this year. The offer may look generous for those who only trust the government and banks, but in fact it's more like a let us use your money for free campaign.

There are three types of debt securities available at the moment and the annual interest rate is as follows: 2.85% for 1 year, 3.10% for 3 years and 3.25% for 5 years.

Bonds provide a predictable income stream, if held to maturity, you can get what it has been promised, without not much risk. The only risk you're taking is in case you lose your bonds, or someone takes them away from you. However, in times of inflation, 3.25% per year means nothing, literally nothing. These bonds were good in communist times when there was no other option than bonds and bank deposits. Now, things have changed.

CUB DeFi

It's been two or so days since I'm farming on CUB DeFi and can't stop thinking of the difference between what a government or banks have to offer right now and what decentralized finance can offer.

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This is what CUB DeFi had to offer two days ago. The screenshot above was taken on 9 March 2021, not long after cubdefi.com was launched. Comparing the APR of these pools with what debt securities have to offer ... well, you don't have to be rocket scientist to see the difference.

If you look at the risk the investor is taking, obviously you can't compare the two. Bonds have almost zero risk, while in crypto nothing is as safe.

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The above screenshot was taken while writing this post. The difference between the two screenshot is obvious and it's real as well. The APR dropped significantly as more and more users joined.

The claimdrop should have happened on the same day as the launch, but for some technical reasons (explained here) was postponed with 24 hours, which later became 48 hours. To dispel all doubts, I'm not complaining, just pointing out that without the airdrop, the only way to profit of this amazing opportunity was by wrapping some LEO to bLEO and provide liquidity in the bLEO-BNB LP pool and/or buy CUB and provide liquidity in the CUB-BUSD LP or CUB-BNB LP pools, Or choose a less profitable pool. The big obstacle for many was the necessity to put some skin in the game as you needed either BNB or BUSD. Lack of funds locked quite many people out.

Time

Time is of the essence here, being in the right place at the right time can mean the world. This is the proof the saying is true. Even a couple of hours could have costed you a few APR % loss.

Let's look at CUB price. Unfortunately I don't have any screenshot taken of the CUB den but there were others who have already covered the topic, so I'm going to borrow some from them.

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This screenshot was taken about two days ago, when 1 CUB was $11.148.

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This screenshot was taken at the moment of writing. The CUB price dropped significantly and there's a chance it will drop even more. This is both good and bad, depending on what your plans are.

For me right not it has no significance as I'm nor selling, neither buying, this is a long term project for me, so the price will only be relevant for me in a few days, but I'm not going to give out any details of why, let me be my secret.

People

The past few days the most covered topic on Leofinance is CUB, CUB DeFi and the claimdrop. Now that the claimdrop has happened, I see some people are angry for getting 1 CUB for every 200 LEO staked as they thought it would be 1:1. Some of the CUB has already been dumped. I'm grateful for every penny I get, especially because of what CUB means.

What is CUB for?

Basically any DeFi dapplication that LEO creates would likely be connected to CUB first. CUB is officially our DeFi token. LEO itself is becoming a governance/airdrop/blogging token. That may change (governance) when the next project launches (second layer consensus nodes)... not sure.

Needless to say the utility of CUB is going to be massive in a couple years if everything goes according to plan. Any DeFi dapplication LEO makes will be connected to it almost guaranteed. It's not just a pointless farm with zero endgame as many may be worried about. Already the mechanics in place blow a lot of the other farms out of the water: which is why we are getting so much general attention from the BSC/PancakeSwap network at large. source

If you're looking for investment opportunities, you obviously have a few options. I chose to showcase debt securities and CUB DeFi today but these are not the only ones available on the market. It's a no-brainer which one is more profitable, you just have to be willing to take some risks. Profit without risk is a myth and people need to learn to work for the money as nothing is for free. Free money does not exist, even the claimdrop needed some investment, that can have a very nice return. Times are changing, it's time to build the future.

Posted Using LeoFinance ^Beta