Three (3) Reasons why every Hive User should Stake pHIVE-POLYCUB

It's about 2 days since the wrapped HIVE on Polygon network (pHIVE) came live. It is beautiful how LeoFinance DeFI branch has succeeded in bridging the Hive and Polygon ecosystems together through Polyogn vaults that started with pHBD and now pHIVE. This means that the two major assets of the Hive blockchain now has a representation on the Polygon network and it is a big win for Hive blockchain as a whole.

For Hive, it creates an onramp and offramp for users to flow in and out of the ecosystem. Yet another exchange listing on a decentralized exchange (Sushiswap) where users can freely transact and provide liquidity to earn yield in the form of POLYCUB. source

While the PolyCUB development team is helping to creating sustainable wealth for POLYCUB investors through vault value accrual systems, it is also helping to significantly take Hive to more eyes in the cryptoVerse.

pHIVE generates a ton of wrapping fees, arbitrage revenue and overall value accrual for the PolyCub protocol. In exchange for this value accrual, PolyCUB protocol pays POLYCUB to all liquidity providers on https://polycub.com/farms.

As I pen this post, the pHIVE-POLYCUB pool on PolyCUB has grown to a liquidity size of $44k and it can only grow bigger in the coming days, weeks and months to the betterment of all who are involved. Moreover, pooling pHIVE on PolyCUB generates an APR of 134% and this is excluding the vault APY which is about 30%.

Every Hive user, whether content creator or Investor/curator earns HIVE for every content creation and curating activity on the blockchain. Both categories of users earn HIVE in terms of Hive Power (HP) which is staked HIVE to enable a user participate in Hive governance while also voting other posts for curation rewards. Staking Hive gives one a flat APY of 3% while curating adds 7% to average at 10%.

In this post, I try to justify why every Hive user should stake pHIVE-POLYCUB. My three valid points are that:

pHIVE is 1:1 backed by HIVE
pHIVE gives 1-2% arbitrage profit over HIVE
pHIVE LP bonus is 10x HIVE staking/curating rewards APY

1. pHIVE is 1:1 backed by HIVE

Just as with pHIBD, that wrapping HIVE into pHIVE poses quite a lesser risk since the oracle account for pHIVE (Hive account@p-hhive) holds the HIVE in a cold wallet. While we yet d not know what the HIVE would be used for, but, hopefully, a proportion would be pushed into curation on the Hive blockchain while the remaining 50% is available for daily pHIVE unwrapping to HIVE.

One can verify the supply of HIVE to pHIVE on the Hive and Polygon blockchains via the following links:

2. pHIVE gives 1-2% arbitrage profit over HIVE

Some time ago, I made a post explaining the arbitrage opportunities that PolyCUB infrastructure brings to HBD and potentially to other Hive communities and their tokens. This also would apply to pHIVE. So far, pHBD still stays ahead of HBD in price with $0.1 to $0.2 price increase.

We are going to see this also hold valid for pHIVE. In fact, the arbitrage profit would be larger since Hive is a volatile token and there are many factors in-Hive that can make the price changes steeper. Every trader knows the value of arbitrage profits and it cannot be over emphasized.

3. pHIVE LP bonus is 10x HIVE staking/curating rewards APY

Staking and curating with HIVE on Hive blockchain affords you a 10% APY. This when compared to over 124% APR and over 30% APY that is drawable from Stake pHIVE-POLYCUB, shows a 10x better returns.

It would certainly be more profitable providing liquidity for pHIVE o PolyCUB than staking it for curation rewards on Hive. This does not in any way undermine the value of governance participation that holding a Hive stake on Hive blockchain affords. However, we're looking at it from the investor's perspective.

HODLing POLYCUB is a gaining access to Bitcoin-like DeFi Asset

While this post has concentrated on pHIVE in the pHIVE-POLYCUB pool and how it would better Hive and Hive users, we shouldn't forge that POLYCU was designed to be a scarce DeFi asset. POLYCUB was modelled after Bitcoin and it's not wrong to view it as a DeFi BTC.

There are only 7 million POLYCUBs that would ever exist, and with the coming 7 more PolyCUB vaults which will utilize POLYCUB, we see millions locked up shortly and the price would have been heading top its design $5.

Learn more about POLYCUB - the Best Sustainable DeFi?

These posts would be of benefit in explaining more on the DeFi 2.0 pioneered in PolyCUB and how it plays out as a game-changer in the DeFi space, optimizing yield and serving long term decent profits to investors. They are:

Are you yet a part of this fast evolving change in the cryptocurrency industry. The earlier the better!

What is LeoFinance?

LeoFinance is a blockchain-based Web3 community that builds innovative applications on the Hive, BSC, ETH and Polygon blockchains. Our flagship application: LeoFinance.io allows users and creators to engage and share content on the blockchain while earning cryptocurrency rewards.

LeoFinance | CubFinance | Hivestats | LeoDex | LeoFi

Delegate HP & Earn 16% APR, Paid Daily. Currently @ 2M HP

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What is Hive?

Hive is an innovative and forward-looking decentralized blockchain and ecosystem, designed to scale with widespread adoption of the currency and platforms in mind. By combining the lightning-fast processing times and fee-less transactions, Hive is positioned to become one of the leading Web3 blockchains used by people around the world. source

About me...

I am a called teacher, a serial entrepreneur and a Graduate of Agricultural Engineering. Nigeria is my root and a place full of opportunities. I dropped out of a Master's Degree program due to funds, yet I do not regret growing the courage to start my business from the scratch. Today, I've built layers of Businesses on the Hive blockchain in terms of Curation and it's a sustainable passive way of earning crypto while learning.

I am your favourite Hive Tribes Promoter and Curapreneur!
I am @Uyobong.
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