Firstly, I have no idea what would qualify as a ZING whale, so the title may not be accurate, but anyway...
For those that may be unaware, Spinvest is an investment club, of sorts. Basically, the SPI token on Hive Engine is an asset backed token, with a few of us running wallets on behalf of the club. The @spinvest-leo branch is managed by @jk6276. We have been around for years and years, and built a suit of other holdings over the years.
I had been slowly scaling the @spinvest-leo account into the ZING/swap.HIVE pool on Beeswap and Tribaldex. But I've recently reshuffled some funds around and added a decent chunk of money into the pool. It has moved us into the top 10 LP participants.
As you can see we have moved in to P8, right behind the one and only Onealfa, and ahead of other notable hivers. @spinvest likes to take positions in HIVE based projects, and aside from some off chain holdings including 1 $BTC, we have positions in many HIVE based dApps. @spinvest-leo has held positions in Splinterlands for ages, through the SPS/ETH, SPS/BNB and SPS/HIVE pool, and the yield on the ZING pool has been too tempting.
The main goal for this wallet is yield. SSUK who runs the main Spinvest assets looks to the long term, and focuses on asset growth over time. Me, I just play with a small portion of the fund and chase yield to contribute to the weekly dividend that SPI issues to its holders. You can see in our last update post where our funds are invested and what we get up to.
So why ZING?
Well the TLDR of it is yield. The token has had time to settle down after early launch days, and while it likely still has further to drift lower. Obviously the high yield, mainly now in the LP will attract farmers, and to be completely honest that is a goal of this position. However, I am also keen to back the development of a new game on HIVE, and will carry this position on our balance sheet for the foreseeable future.
The @spinvest-leo wallet does not carry a lot of Hive Power, so the best way for us to support and back the project, and enjoy a nice yield in the process, is by putting funds into the pool. LP's serve a very important purpose for projects, and providing liquidity into these pools (even if done for selfish reasons) is of benefit to the project. A deep LP helps stabilize the price, and gives access to investors looking for a decent sized position. Decent yield is a necessity, as liquidity providers are taking on a big risk in the form of impermanent loss (IL).
The notable Hivers developing and backing the project has made me feel more comfortable in setting up this investment. Time will tell if this has been a good move or not. In the short run at least, the amount I send each week to Spinvest to contribute to the weekly dividend ahould increase (I usually send roughly half of the yield generated, with the other half being re-invested).
I'm not sure if this account will end up playing the game, we have another branch of Spinvest that focuses on gaming assets. I just felt it would be a good idea to move some funds in to give us some early exposure. Maybe it was too soon, and the price of ZING will continue to slide leading to much IL. Time will tell.
What do you think, is it too soon to have plonked funds in to ZING, or is the yield a good tradeoff for the IL risk? I'd love to hear your thoughts in the comments below.
Thanks for reading,
JK.
This post was authored by @jk6276, who will receive a 50% beneficiary from any post payout.
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