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Thoughts on CubDefi, LeoFinance and LeoBridge

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runicar
@runicar
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We are all more than aware that the unsustainable yields we are lucky enough to be getting on Cub are, well, unsustainable.

The only way to keep them afloat is to increase the price of CUB by constantly pumping out new features, burning it, and adding utility to the underlying token. Rapid development is something that the team behind @leofinance have proven to be champions at. Two full weeks haven't yet passed since they launched CubDefi and we are already talking about a new feature possibly being released by the end of next week.

The impressive part, in this case, not being the speed at which they code out new features but the fact that what they are building right now is an ingenious solution to a major interoperability issue BSC has with Ethereum. A seamless, cross-chain swap service to bridge the two incompatible blockchains and open the liquidity floodgates. Some of the liquidity flowing through the bridge will be captured as value and poured back into both CUB and LEO through a token buyback/burn mechanism.

LeoBridge ETH <-> BSC

ERC20 Input -> wLEO -> LEO -> bLEO -> BEP20 Output

  • Native LEO (Hive Blockchain)

  • Wrapped wLEO (Ethereum Blockchain)

  • BEP20 bLEO (Binance Smart Chain)

Through a unique three-token solution, LeoBridge is able to establish a harmonious connection between Ethereum blockchain and Binance smart cain.

In the above example any ERC20 input can be converted into a BEP20 output by selling the input for wLEO, unwrapping into LEO, wrapping it into bLEO, and finally selling the bLEO for your desired BEP20 output.

Simply put, it takes any ETH token in and spits out a BSC token, minus fees.

It also works the other way around so users can go easily from BSC back to ETH as well. This feature is of utmost importance in a sector where liquidity is gold and it ain't loyal. Instead, liquidity is constantly on the move, trying to find and take advantage of highest yielding farms. As it keeps flowing from one value incurring activity to another, it is inevitably going to want to flow over from BSC to ETH or vice versa.

That's when it will have to find a solution to beam itself to the other chain.

Hopefully, it will choose to go through LeoBridge.

This will bring massive value to both CUB and LEO

Accomplished through a buyback/burn mechanism, fueled by swap fees, LeoBridge will increase CUB price stability, and because it's less inflationary and most of it is staked, catapult LEO into the stratosphere.

The fee LeoBridge will charge, apart from gas fees and slippage, is only 0,25%.

The 0,25% swap fee is sent to the CUB treasury from where it will be used to burn an even amount of CUB and LEO.

If you don't see how significant this is we sorry, but we can't be friends.

I won't go into exact price estimates as I'm no Nostradamus but what I can guesstimate is that by the end of the year CUB will reach the 20-50$ range and LEO will land somewhere in the 10-20$ range. Not attaining these price levels would mean that the market still hasn't started valuing use-case over marketing and hype.

Bullish on anything that has to do with Leo

Team-Leo's ability to act fast, swiftly develop and publish code is one of the main reasons I'm so pants on head retardedly bullish on their future success. They already have a proven track record of 2 years of uninterrupted dedication towards building a better future for their ever-expanding user-base and the entire Hive blockchain.

I don't see them stopping any time soon!

I expect @leofinance to keep pushing out a plethora of new killer features and even entirely new projects, indefinitely and in large quantities. Sometimes even making us wonder if they even any sleep over at the Leo HQ, or is sleep outlawed. Even more extremely, if there are even real people doing the coding stuff, or is it just a bunch of AI bots doing the heavy lifting while the guys are just the PR team ๐Ÿ˜…

It may be a little too much to ask but hey @khaleelkazi that's what you get for raising the bar so high!

I hope you and the rest of the team will manage to live up to our crazy expectations which so far, you have done an outstanding job at.

I'll be following and reporting any future Leo developments and will be hitting Twitter hard in order to spread the gospel of both Leo and Hive.