When I got into Cub Finance a couple of weeks ago like everyone else I chose the farm CUB-BUSD obviously because APY was the greatest. I kept harvesting and adding it back to the farm. I also was investing a portion my other portfolios into this farm gradually. When the second halvening happened yesterday I decided to move to CUB-BNB farm because of the fear of potential impermanent loss. Because in my mind since CUB price was fluctuating, going down or up, I didn't want to lose that much because the other side of the coin, BUSD was stable (even though that's precisely the reason why I would lose less).
So when I moved to CUB-BNB farm yesterday my reasoning was that if I either coin should move to either direction I would not suffer too much of impermanent loss because both coins have the potential to be more valuable in the future.
CUB can go 10x and BNB has the potential to go 10x in price. But after staying in the CUB-BNB farm for a few hours yesterday I decided to move my funds into the den instead of staying in the farm and here's my reasoning.
The APY has been reduced in all of the farms and dens so it's not really about that anymore but I asked myself a question, which coin has more potential to double in price sooner? Like yesterday CUB was worth around $2.70 USD and BNB was worth exactly 100x more, so around $270 USD per coin.
So my question was, what would happen first hypothetically? Would CUB double in price from $2.70 USD to $5.40 USD earlier than BNB would double in price from $270 USD to $540 USD?
In crypto anything can happen overnight, right? We've seen big price swings, that's not uncommon. But it seemed more plausible scenario for me to choose CUB den instead of BNB den not only because of 4% fee but also because I hope we will see CUB price increase to $5.40 USD much earlier than we will see BNB price increase to $540 USD.
I mean we've already seen this happening, only in reverse direction. It was $5.40 USD just a few days ago, right? And later the price dropped to where it is right now.
With LeoBridge coming up and constant burn (over 13% of the total CUB supply was burned), this is a good scenario to choose CUB den, at least short term. I'm not thinking about 10x or 100x yet about CUB and BNB. My point is which coin would double in value first.
Even though this is just speculation, I hope I'm right. It's interesting what you are guys thinking about all of this. Please leave a comment.