Once again, I was posting a comment on @LeoMarketTalk and it turned into a novel so I decided that since I haven't had time to post for a while, I'd turn this into just that.
The question is: is defi safe?
For those of us that were around for the last bull run in 2017, scams ran rampant in the ICO world. With the sudden raging success of Bitcoin and Ethereum and Litecoin and Dash and a few others, people were putting out ICO's as fast as they could cobble together a white-paper and roadmap. It was easy money. With little to no regulation and a FOMO-filled flaming hot bull market, new coins would come out, pump immediately, and the founders would make off with millions of dollars with very little development actually taking place with their coins.
Defi is the 2021 iteration of those scams. For every solid, legit platform being built out there, there are three more that are rug pulls waiting to happen. It is absolutely VITAL to know who is standing behind these platforms and what sort of development is taking place. If it's not still being worked on and improved, be very careful. None of these things will ever be truly "done". They will constantly need to evolve and improve. It's one of the reasons I'm in #CubDefi. We know the team and it's track record and we know that they are continuously building and improving upon the platform they've created. AND they take security very seriously. Huge plusses.
In the meantime, people need to recognize how flipping early we are in the defi world. Seriously, this stuff is not even a year old yet. And we're in a bull market so people are building and opening these things up as fast as they can without putting much thought into what could go wrong. Defi is definitely here to stay. But what it looks like today will probably barely resemble what it looks like in 3 years.
I've said this before....the bull run of 2017 fueled the infrastructure development for this bull run. While we were in a bear market following that run, literally billions upon billions of dollars were being invested in crypto "companies" all around the world. Defi was born out of those investment dollars and was developed in response to the needs created by the frantic activity generated at the peak of that bull cycle.
The same thing will happen this time around. Billions of dollars will again be put into ideas and platforms that solve needs created and brought to light by this current bull cycle. We already know about the scaling and fee issues. Two others will most likely be security and probably insurance. While 2017 had ICO scams popping up everywhere, 2021 has defi platforms as the easiest way to scam people out of money.
As tempting as it is to throw big money into things returning 200%, 300%, and even more, all it takes is ONE loss of 100% and you're out of the game. Capital preservation is a must if you want to keep growing your account. I mean, what's better: something that 5x's and gets the rug pulled or making 50-100% on something that keeps your money safe. Pretty much a no-brainer, right? And you need to realize how ridiculously good 50-100% returns actually are! I mean, seriously, doubling your money every year?!? $1000 turns into $1M in less than 10 years. Insane.
Do your research and find solid teams with real track records and legitimate roadmaps and put some money there. Spread it out a little to mitigate some of your risk and then pay attention to what's going on. It's your money and it's real so it behooves you to learn about where you are investing it. #LeoFinance is a good place to do just that. There are people here far smarter than I am blogging about what's going on in the world of crypto and defi. Educate yourself.
In the meantime, there are very good opportunities here in Leo and Hive to learn while you earn. #CubLife allows you to participate in defi with very small dollar amounts so you don't get rekt by fees. #CubDefi, as I stated earlier, has a team with a documented history of caring about their users money and they are constantly upgrading the platform to include more and more opportunities with collaborations and relationships with other platforms. It very possibly could be the single best defi platform currently in existence to begin your journey into defi, and the way they're going, you may never need to go anywhere or trust anyone else.
So is defi safe? It's still in the early stages so that has yet to be definitively determined but there are places that are doing everything they can to make it as safe as possible. Those are the ones I'm sticking with at this point. Like I said, #CubDefi is one of them. Starting at home among a community of like-minded individuals where you can get questions answered and have access to the development team seems like the safest bet for me right now.
Thanks for reading!
If you have questions, feel free to visit us in #LeoMarketTalk where comments and questions are not only answered, but appreciated.
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💥Boom!💥Boom!💥
Read how this all have started with Toruk
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Thank you! It's been so long since I've posted something I almost forgot how nice it is to see you swoop down with the banners. Much appreciated!
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Thats what I hope for that even with price of cub sinking a lot lately we still have these very good returns! I hope CUB will make it in the long term, and from all what I read and heard on discord in the AMA s etc I am very confident and I will continue investing in #cubdefi lets just hope BSC holds up and we will be fine.
Well, that was my point. There are very few things we, as individuals, can control in crypto, but one of them is where we invest our money. Transparency is everything in defi in my opinion, and Khal and company are back to being as open as possible so this community knows what's going on. I really feel the value in that is almost more important than the value of the investment. If they continue to develop the platform then, in my mind, it is only a matter of time until the outside world starts looking into what's going on here. With the current returns being offered, I really think people will begin getting a piece of the action. Until then, I'm just stacking my Cub at ridiculous rates. Love it!
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I couldn't agree more. CUB is absolutely my No.1 DEFI platform :)
!LUV
@dagger212, you were given LUV from @solymi. Info: https://peakd.com/@luvshares or check wallet: https://hive-engine.com https://ipfs.io/ipfs/QmUptF5k64xBvsQ9B6MjZo1dc2JwvXTWjWJAnyMCtWZxqM
Fortunately the price seems to have stabilized for now in the 65-70 cent range, but this decline continues to be both a buying opportunity and a scary loss of value.
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I am completely ok with loosing 75% of my investment in the short term, I am in for the long term. Time and math (exponential growth) will solve it. !PIZZA
@shortsegments! I sent you a slice of $PIZZA on behalf of @solymi.
Learn more about $PIZZA Token at hive.pizza (3/10)
Yes, its still crypto, regardless of how "strong" we view the team and platform. Plus, it is still so very early in the game. I'm stacking a little fiat on the side to go in and actually buy some more at these levels. Dollar cost average down and really kick up the returns. In my opinion, this community will ultimately thrive in the overall cryptosphere. It may take a while but with everything the entire Hive platform and it's tribes are building, I really think this will attract a major audience down the road. If I can pick a bunch more up for pennies rather than dollars, I'm going to take advantage of that. The CUB will just keep building in the Den and down the road the payoff will just be that much greater.
Is this my only investment? No. I'm still stacking sats and a few other ones as well as Leo, Hive, and some of the H-E tokens. But I'm certainly very comfortable waiting and trying to continue contributing to the platform as it slowly matures. Mass adoption for crypto is coming. It's probably 5 years away yet but it's coming. Some of these early platforms are going to be very robust and ready to take on the influx of new users. I think Hive and it's tribes will be one of the best.
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I threw some money at my fair share of let downs. The good thing is it was never more than I was willing to lose, so when I did lose it all, it wasn't that big of a deal. Cub has been great. I am invested in a couple of different ways and I am really happy with how it has been doing. Not even the price of the token, just that I have consistently been earning. That has been great.
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Yes, the returns are fantastic. And the whole experience of being able to learn defi with a team you can trust is really an amazing thing. There aren't too many places out there you can say that about...
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Very informative and you made a lot of good points. I think sometimes we get so caught up in "hunting for gains" that we forget that the real value comes from supporting the growth of these DeFi ecosystems that are changing the landscape of how we interact with systems of value. Great insight and cheers! Have a !BEER on me
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Thank you for the kind words. I'm glad you found it informative. We really do have a great and unique opportunity with Cubdefi and I'm glad people are taking advantage of it. I think the entire platform will benefit greatly down the road.
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Absolutely agree. Glad to see others who are taking advantage of these littler known opportunities in the hive community. If you have any witness votes as well, I just started operating a witness a little while ago and could use some more votes so that I can help support and secure Hive!
If you are willing, you can vote for my witness at https://vote.hive.uno/@sicarius
I trust cub defi, as they have a serious and responsible development team, so even though the price is low I still invest here.
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Couldn't agree more. The low price is actually a bonus at this point. More accumulation at low levels. When it starts moving up again, the profits could be insane.
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I completely agree with you about Cub Finance as the best place to start. Without worries of a rug pull, you can see how market prices and everything affects your investment. In fact I think because of you can earn LEO and use it to fund your adventures, you can essentially test run Defi platforms.
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Yes, as I just stated to the comment above, it really is a unique opportunity we have to learn the world of defi with a trustworthy team leading the way. It makes me sleep a lot better at night knowing that they've got our best interests in mind while they're building this thing.
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I think CUB has lots of promise too, there are so many good things they are doing... probably more than they can handle at the moment. The one thing I like most about the attitude of the Dev team is they focus on sustainability, we aren't there having 50 CUB per block.. its at 1 per block, and the yields aren't 12000% only to drop to 100% the next day.. and 10% the day after, they have hovered around 100% for a while now. The one thing that CUb defi has that other defis don't is the community.. so its all on us.. the community to get the word out.. particularly outside hive.. and lets see this thing takeoff!
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It does seem to be built for long term success. The yields will definitely keep dropping though as more dollars flow into it. But, as I said, people have to realize just how good these rates still are. You can't find anything like it in traditional finance. We need to take advantage of it while we can.
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Good points, I agree that we appear to have a safe place to start in DeFi with very high returns.
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View or trade
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BEER.I think sometimes we get so caught up in "hunting for gains" that we forget that the real value comes from supporting the growth of these DeFi ecosystems.
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Love this post!
Homerun!
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That's why there are so many different investments in the world. Everyone has their own opinion. Thanks for reading and responding. I appreciate it.
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