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Defi - Go Hard or Go Home?

avatar of @revisesociology
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Zebedee
@revisesociology
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3 min read

I'm really enjoying being in several Cub dens and pools - currently I'm in mainly six Dens and farms, with my funds split fairly evenly across all of these

  • The Cub Den (obviously!)
  • The BTCB Den
  • The Eth Den
  • The Cub-BUSD farm
  • The bleo-BUSD farm
  • The BUSD-DAI farm

And I have smaller amounts in the USDT-BUSD and DEC-BUSD farms, and my next target is to increase the amount in the USDT-BUSD farm.

Most of my Defi allocated funds are staked in Cub, and I've got sufficient funds to make it worth harvesting from every pool every farm or Den around every 36 hours (it's somewhere between every day and every other day I harvest) and that allows me to harvest sufficient Cub and exchange for other assets and meet my $100 minimum stake rule. I have that minimum to make sure the BNB fees aren't too outrageous!

In short it's VERY NICE (thank you!) having a fairly decent amount Vested into Cub because I make chunky returns on a daily basis.

I've also diversified small amounts of my earnings into other Defi Platforms, namely:

  • Pancake (or more like LEFT money in here rather than having transferred it to Cub!)
  • Swamp Finance - an aggregator (so via Panda Swap) - mainly as it was an alternative place for me to stake my SXP while I pulled it out of BEP pending the Rune Pump.
  • Neon - a pure and utterly degenerate PUNT - I bought some on the financial advice of @tarazkp and just chucked it straight in the neon pool.

When I say I've diversified small amounts, I mean small, the allocation is as follows, with CUB remaining as 90% of my Defi Investments:

Too small amounts in the non-Cub pools to make a difference?

The reason I've put (or kept in the case of Cake) 10% of my DEFI assets into other projects is the following:

  1. The INSANE returns - the NEON pool is floating around 100% APY and the SXP farm on Swamp was 300% when I went in, now around 250%, but the main reason is...
  2. Because of the potential for Swamp and or NEON to go on the rampage and grow 5-10 times (I can't see cake mooning too hard, but you never know, that's the problem with DEFI, you NEVER know!)

However the problem I've got is that the amounts I've got in Cake, Neon and Swamp mean it's only worth harvesting about twice a week, if that, and then it's only worth swapping for stables and pooling them, guess where: in Cub, because I'm not buying any more Swamp or Neon.

Of course if these alternative Defi coins do pump then I can harvest more often, but as it stands I'm going to have to leave my funds where they are for a few weeks to make sure I cover the entry and exist costs!

I'm now wondering if this 10% of my wealth in is worth it - I may have been better off just keeping it in Cub!

Then again, my 10% into 'risk assets' has worked well so far - it's kind of cascading:

  • 10% of fiat assets into crypto
  • 10% of crypto assets staked into Defi
  • 10% of Defi earnings staked into degenerate Defi.

If it all goes tits up and Swamp and Neon end up being a loss, that's 0.1% of my starting wealth, so in the grand scheme of things, does it really matter, it's worth it just for a bit of a play!

Of course Cub could increase in Price too, but ATM it's still very obviously a Hive bubble and hardly anyone outside of the ecosystem investing.

Posted Using LeoFinance Beta