The core community on PolyCub comes from CubFinance via the airdrop.
But on every new platform there is a special kind of short term investors called yield farmers. They come in close to the platform launch when the APR are super-high, usually with big investments, farm intensively for a few days, maybe weeks, then they dump (taking the 50% penalty on PolyCub, which is good for us) and leave for the next one.
The idea to jump into a new platform - like PolyCub - as early as possible to benefit of the impressive, but temporary, APRs is not bad, not at all. That's why everyone should do it ON THE PLATFORMS THEY TRUST.
But after the initial hype wears off, that's when consistency matters the most. And, on the long term, someone consistent on the long term will always be in a great position.
PolyCub has VERY interesting mechanics, which all point to a very likely continual appreciation of both its tokens - POLYCUB and xPOLYCUB - on the long term (with fluctuations on shorter and even medium intervals, of course).
POLYCUB is deflationary and that will lead to scarcity from one point forward. Moreover, the Protocol-Owned-Liquidity (PoL), which is being built as we speak from LP rewards, 50% penalties incurred to early harvesters and management fees on kingdoms, will at some point begin to buy POLYCUB from the open market. Those POLYCUB will be distributed as rewards to liquidity providers (including to itself, I presume, since PoL will likely be the biggest LP), once inflation stops on POLYCUB.
I believe these are sufficient reasons to think the price of POLYCUB will have a floor and then rise over time.
On xPOLYCUB the reasoning is even simpler. It is a multiple of POLYCUB, and that multiple ONLY GROWS over time. There is absolutely NO WAY for this multiple to lower over time, because the value of xPOLYCUB derives from direct buys with POLYCUB + inflation + 50% penalty fees.
The ratio between xPOLYCUB and POLYCUB started at 1:1 when PolyCub was launched. It only went up and it is currently 6.164:1, like you can see in the screenshot.
While the price of POLYCUB is at the time of writing $1.58, the price of xPOLYCUB is $9.736. And they both started at the same price. Remember, the price of POLYCUB fluctuates and has seen a much higher ATH close to launch. The mechanics is there to see it again one day and make new ATHs.
Now, let's get to the question in the title. Why do I prefer to take the 50% hit on my harvests?
Well, for several reasons.
If we look at Cub Finance or other platforms to see where the APRs tend to stabilize, we can understand there's still a long way down. Half of 10000% is 5000%. Way better than 100%. Half of 4500% is 2250%, still way better than 100%. Same goes for every other yield, including for stables.
So, why take half when I can take the full yield in 3 months?
The answer for me is xPOLYCUB. Another half yield in 3 months (the penalty is not declining as time goes, by the way!) won't make up for the increase in the xPOLYCUB:POLYCUB ratio. Not even close this early on! Maybe later, we will see.
The side benefits are that a portion of that penalty goes to me, as a holder of xPOLYCUB and that I help grow PoL, which will help stabilize the platform (by providing liquidity that is never taken out) and make it sustainable for a very, very long time through the rewards after the inflation runs out.
That's what I do right now, you should of course do your own research and analyze what's best for you.