A Synthetic Token On Hive-Engine Representing Funds In LP Pools Would Be Great

What I'm talking about here is a Hive-Engine token that representing shares in a fund that provides liquidity to pools on Cub Finance.

Buying such a token would have some very significant upsides:

Easier onboarding of non-technical users

Dealing with the tokenomics of a liquidity pool, transferring funds from Hive to Binance Smart Chain or whatever chain one uses can be a bit overwhelming for some investors. Wallets need to be set up, fees need to be paid, passwords need to be stored and all that good stuff.

In contrast, buying a token on Hive-Engine is a very simple and straightforward matter. One does not need to leave the comfort of this platform.

Vastly simpler tax calculations and reduced liabilities for holders

How does the taxation of liquidity pool income even work? Not every country has issued a guidance on that. What about staking if one does not want to provide liquidity? That generates a large number of taxable events. One has to meticulously record all of them including the fiat cost basis of every single transaction. Fluctuations in the fiat value of the token being staked complicates this.

In contrast, investing in a single token that may or may not appreciate that hides all of the above details from the investor would be killer app. One simply purchases the token and later sells it, hopefully having gained a lot.

I recall seeing a television interview of a young investor in Tesla stock some time ago. This guy is a former poker pro who invested much of his winnings in Tesla in the early days (not too many years ago). These days, his portfolio is worth hundreds of millions of dollars. Yet his tax records showed nothing out of the ordinary at the time of the interview last year. (Tesla does not pay dividends on its common stock). This year they will because he says he bought an expensive car and a home.

Anyone would prefer buying into a fund that hid all the complications including a ton of taxable events. If the fund were controlled by smart contracts only, it could run without human intervention and wouldn't even be an entity of any sort in the eyes of the law. Just a synthetic token traded on the free market.

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