Rug pulls, Bank Runs, and Impermanent Loss, but Leofinance Lions are holding strong.

Tales of danger and woe abound

The recent news is filled with calamities. Rug pulls, Bank Runs, Impermanent Loss, Bear or Bull market and Altcoin devaluations. Many investors are writing about how they are leaving DeFi because of its problems. While many new investors are entering DeFi because of its potential.

Token Devaluation

Our beloved project Cubfinance is not immune from these pressures and these realities of impermanent loss and token devaluation. These are real occurrences and I have experienced the joy of both Leo and Cubs ascent to all time highs, and also the pain of their decline.

Impermanent Loss

Additionally, and painfully, the concept of impermanent losses, is real and tangible to me. I was invested in the Cub-BUSD pool and I am invested in BLEO-BNB, where I have experienced both the euphoria of Cub gains and the sting of impermanent loss. But I still have overall positive ROI over time.

Knowledge is Priceless

But while I have both gained and lost, I have also learned priceless lessons on taking profits on the way up, investing in stable coins, and that simple strategies can be the most powerful ones.

I am a witness

I feel like a witness to both the pain and the pleasure of DeFi, and oddly enough I am planning to increase my investment in the WLEO-Eth pool LOL 😂...Some of you may view my plans as the equivalent of jumping out of the frying pan and into the fire! LOL Impermanent loss is real there also, by most accounts. But the ROI is still positive 25-50% by Khal’s calculations.

Short term versus Longterm perspective and accumulation.

I think it’s important to have an understanding of both the short term, and longterm. I am not a 10-year veteran of cryptocurrency, but at 4.5 years I have some experience on my side. I have accumulated most of the Leo tokens, and longterm they could be very valuable, despite the apparent short term losses. So while it’s true that the current total value of my investments is much lower than it was once. I believe it’s potential future total value is very high, and I truly expect its value will rise longterm.

Why do I believe in longterm appreciation?

My perspective is that longterm the value of Cub and the all the versions of Leo will rise. Leofinance is composed of many projects, including Leofinance.io, Leobridge and Cubfinance. I believe these projects will be very successful in the future.

Leonance Future Success

Leofinance.io, the tokenized blogging site will continue to grow its community and improve the user experience. Leobridge will become a popular cross blockchain bridge between the three DeFi ecosystem giants Ethereum, Binance and Polygon. Those investors, called LPs or Liquidity Providers, who invest in the WLEO-ETH, BLEO-BNB & PLEO-MATIC liquidity pools will earn revenues; as transaction fees and other reimbursements of CUB, BNB, ETH, MATIC and LEO. Cubfinance as a DeFi project, will continue to evolve and become more stable in terms of value and sustained profitability.

I am enjoying short term gains now. But the utility and ease of use of these projects, has longterm value. Leofinance will prosper, and it’s tokens, in all their variations will have value, because these projects have utility and they are designed to be user friendly. I think utility and beginner-friendly interfaces will win longterm.

In the beginning...

At the beginning of Cubfinance, I unstaked over half of my Leo, and invested it in Cubfinance. So I also understand why many say I gave up the safe, consistent, daily profits of curation on Leofinance. They are right, I could have kept my money there and it would be safe from potential losses investing in DeFi. But I also would not have the potential to multiply my gains like Cubfinance has provided. Most importantly, I would not have the invaluable experience of cross-blockchain trading, token wrapping, smart contracts and understanding of DeFi Cubfinance has taught me. I think that knowledge is priceless.

Pain and Pleasure

I think this is truly the road to knowledge and riches we hear about in cryptocurrency, which many romanticize. But those who travel it know it’s a journey characterized by both pain and pleasure. Plus there’s no absolute guarantee of the ultimate goal; financial independence. But the goal is worth it, and so we travel the road, crossing its small gulches and big valleys, traversing the little streams and big rivers, and climbing the small hills and big mountains. All in search of the ultimate goal, Hodling and trading our way to the prize.

Leofinance Lions

We are members of the Hive Community, and we chose the community Leofinance. So we are Leofinance Lions, we are learners, we are teachers, and we are those who are in between; both teachers and learners.

We are in this both together and by ourselves. It is not a lonely journey, but each of us alone must deal with our reactions to the stress of the journey. And we each have our own tolerances for risk and losses.

We must choose our own path and take responsibility for our own decisions.

As they say amongst the fabled Mandalorians of Star Wars, This is the way.

@shortsegments

Shortsegments is a writer focused on cryptocurrency, the blockchain, non-fungible digital tokens or NFTs, and decentralized finance.

Read more of shortsegments articles here: https://leofinance.io/@shortsegments

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