How I Lost 7% Of My CUB From A Pool In 30 Minutes - Things To Pay Attention To
I'm continuing my roller coaster ride, one hot, one cold and today was a day for a cold shower for me 😂
The Cold Shower
Yesterday I had the perfect plan, I knew exactly what I have to do and when, in order to exit the CUB - BUSD LP with a profit. This morning when I woke up I saw it's nearly time to act and very soon I pushed the button and exited the pool. And this is where things went terribly wrong.
CUB was at $3.258 at the time of me getting out of the CUB - BUSD LP and that price was fine for me. After I withdrew from the pool, I got a call, an urgent one and had to leave immediately, without delay. I was missing 30 minutes, not more, and when I got back, CUB was at $3.809.
Now you may think I was lucky to pull out of the farm in time, but reality says otherwise. The truth is, pulling out of a farm means more steps, not just one.
First you have to withdraw your stake, then you have to withdraw your liquidity, then you are done and safe. I had no time to withdraw my liquidity and when I did, CUB was worth $0.551 more, which means I got more BUSD and less CUB.
At first glance it may look like a loss as I got less CUB, but that's just one way to look at it and not the right one. When you're calculating results, you need to take into consideration all factors, in this case the amount of CUB I got from farming, plus the $0.551 difference/CUB that I got in BUDS.
I'm not going to give you exact numbers as I'm still a very small fish here and the stake I'm playing with is also small, but I can say I gained $25, just from the price difference, plus the CUB I got by farming. This is more that the CUB I lost and all this is in 2 days.
I'd say this was a fun game, not to mention the learning experience.
The profit I made plus the BUSD I got from exiting the pool serves me for my next project. I'm not planning to exit CUB DeFi. All I've got so far is compounded in different pools I think will do good in the upcoming period.
At the moment of writing CUB is on it's way back, it's $$3.543, which obviously would change things if I would exit the pool not, but I'm more than ok with how things turned out.
This morning when I saw CUB went crazy till I was away, I felt a bit disappointed, although it wasn't entirely my fault, but after doing the math, I'd say it's more than ok.
Not to mention I converted my BUSD into BNB at $400, which since then went to $419.9139, so it's a win again.
Big Fish Making Waves
Last night, while I was doing the math and planning what to do, I saw a big jump in APR and a sudden change in CUB price. The APR increased with 80% in a minute and possibly the price as well.
This morning I saw the same thing again. Big stakes entering and exiting the pool causes the APR fluctuation. I would be more than ok with 450 - 500% but what I want counts less in this case :)
Ok, so this is what I went through today, at the end of the day I'm more than satisfied with how things turned out and looking forward to my next adventure. This is a fun playground :)
Posted Using LeoFinance Beta
