Against my better judgment I threw caution to the wind and FOMOed into the Cakepop IDO this morning.
What happened then?
OOPS!
- Who could have seen this coming?!
- But what happened?
- Did we get rugged?
Hm, yes, not great!
But also not terrible! Everyone still seems in high spirits and hopeful that a lot more liquidity is coming down the pipe in the weeks to come.
This really raises the question as to why we paired our CUB to BUSD in the first place. Wouldn't it have been better to seed a CUB/CAKE pool that transitioned to CAKEPOP/CAKE? Then the yield could come directly from the LP... that's how I would have done it anyway. Oh well!
So off to a rocky start!
If I had gone with my gut I could have just bought in today at the 50% discount. No dice! I'm an ape. Ape play money game!
What about CUB though?
With the price of CUB down 5 cents from when this all started, many users who were betting that IDOs would moon the price are starting to realize that might not happen if all the liquidity keeps coming from the kingdom. Personally, I think this is ridiculous sentiment.
There are now 4 IDOs scheduled to go live within the coming weeks.
This is not even counting the CAKEPOP IDO.
Every one of these IDOs is unique. Unique team. Unique networking connection. Unique sources of liquidity. Unique IDO parameters.
So to assume that the next four IDOs are someone going to be as lackluster as this one is a little silly imo. This first IDO captured all the boredom and FOMO that the community has been experiencing for a soon™ amount of time. Next time around will be completely different. That was our first rodeo, and likely a very poor indication of how this will continue. I personally will not invest in IDOs further until they prove they are bringing outside liquidity to the network (IE CUB price goes up). I think many others will do the same.
Fool me once.
We also have to consider what happens if CAKEPOP is actually successful at attracting outside capital to this liquidity pool. It looks like an even better deal now that everyone can buy in at a discounted price from the outside looking in. There's still a ton of liquidity here for a brand new project. The free-market will roll the dice on this one. I just hope we don't roll snake eyes, but if we do it was all just for fun anyway.
YOLO
In any case, if CAKEPOP does draw in outside liquidity, some of that liquidity is going to make it's way back to the CUB ecosystem automatically. Like if tomorrow CAKEPOP did something crazy like 10x, how much of that value would get sold back into CUB? Probably quite a bit. I know I'd like to get my original investment back into the kingdom ASAP. No one is factoring in the future of CAKEPOP and how successful IDOs can moon the CUB platform twice: once during IDO and again after further value generation. So far the speculation thus far has been painfully short-sighted. That's fine though... crypto is very 'number go up' mentality (especially when meme tokens are concerned).
With the yield distributed as CAKE, this token is automated in such a way that we don't have to do anything. Even if the CAKEPOP moons we don't have to sell CAKEPOP, because we'll be given a ton of CAKE tokens as yield reward. We can sell those instead without it costing us an insane 8% fee to do so.
Speaking of yield
I've already earned $10 and volume has been pretty abysmal thus far. It's hard to imagine how high this number would be should these Telegram connections actually prove to lure the liquidity required to FOMO pump this thing. We shall see.
Yet another thing we have to consider when it comes to CUB spot price is that BNB has also been losing value over these last few days. The CUB/BNB pair accounts for 42% of all CUB liquidity. Therefore if BNB goes up or down we must assume that CUB will also move up or down with it by some percentage (probably 42%). This implies that 3% of the 7% drop we experienced was simply due to BNB arbitrage and normal volatility.
Conclusion
You can't see the forest from the trees. This is day one of IDO one. Over-projecting and extrapolating into the future based on such limited information is bound to get us in trouble.
How long can CAKEPOP last? I may ride it out till the end of the year and hope for the best. Unfortunately, I don't think a reflection token could survive any kind of bear market situation (2022). Definitely have to cash out fully before then. Again, this is just pure gambling at this point. The only reason I'm involved with CAKEPOP is that it gives me a longshot chance to pump a bag I actually care about. Cooperative capitalism at it's not so finest. Sometimes greed wins.
Posted Using LeoFinance Beta
I think you miss the point, not all the way, just a little.
The idea is that new platforms can launch on CUB. It's not Cub's responsibility to ensure their token, it's Cub's responsibility to do the tech work and make it work.
Everyone on Cub still should evaluate any IDOs and not feel pressured to buy in. That's the work of those launching their tokens.
The Cub in exchange got burned for that service.. We will provide a platform and the audience, it is up to the guys with the new dex to sell their tokens and bring value to it.
I'm super pleased with how it went. The burning will show up in the price later.
Now as for the results of the actual Popcake, that remains to be seen! :)
Posted Using LeoFinance Beta
Very hard to hit every angle but yeah I'd say this was a success from Cub's side.
I am impressed.
Posted Using LeoFinance Beta
Agree on that!
How did I know you would FOMO? 😂
Because I'm a sucker!
Posted Using LeoFinance Beta
I'm glad you posted about this because it was hard to wrap my head around what happened today. I'm an onlooker only in the IDOs but I have my meager amount of cub in the kingdom until I learn this stuff. I'm wondering if that will ever happen lol.
Posted Using LeoFinance Beta
I didn't take part in this one but I'm still confident on what the IDOs will be doing for CUB and CubFinance.
Posted Using LeoFinance Beta
According to how I read this article, you can jump in now at a 50% discount.
I just don't have the resources to get into every new thing, so I sat this one out. Still, interesting to watch what happened, and what is happening. I'm very curious to see what happens next.
I think personally I need to give this all some more time. Especially since I don't understand half of it right now. I make the choice to stay out of this one. I want to learn what I can from this so that I am hopefully ready for the next one.
Posted Using LeoFinance Beta
No idea it will be something gort longterm, but i hope CUB does this on regular basis and we can get rid of the Cub masses. Maybe with outside attention too
I am impressed with how it all came together and am happy that it showed the leo community is supportive of the ecosystem and whatever comes to it.
I do have gripes about them only saying after that there was a minimum of 200000 to receive dividends. I do hope that this lack of information will not happen with the next ones.
Posted Using LeoFinance Beta
I just looked at it this way...
After what the leo/cub team have built and given us. Why not show the a little support and loyalty. I just put in the minimum and if it goes to zero so be it.
I don't know the team behind cakepop But i know the team behind leo/cub and i trust them. So to help make the new ido launch platform successful its not too much to ask to show them a little love.
Onwards and upwards for Leo and cub and not forgetting Hive teams
Personally... I'm just not sure I could check anything if I needed to log onto poocoin.app. I'm just not ape enough.
It is nice to know that Bart will always be relevant.
Well I wasn't really following along prices today but I am glad I did not join the IDO. I think I may also sit out the rest of the IDOs unless they can prove themselves.
Posted Using LeoFinance Beta
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My own understanding of this article, can i also buy it with discount of 50%?
Sat this one out, though I haven’t even done anything with my Cub either. Can’t pay them fees!
Posted Using LeoFinance Beta
Well @edicted, if I understand this correctly, CAKEPOP isn't a CUB DeFi "product" and the fact that they are "in partnership" with CUB DeFi merely means they are using the IDO framework created by CUB... so perhaps it is better to look at this and say that CUB DeFi functioned exactly as it was supposed to.
I reminds me of some of the sketchy "opportunities" I'd see marketed back in the '80's and '90's... don't blame the PRINTER who created the glossy, shiny brochure... they were just doing their job. The people who dreamed up the content in that brochure? That's different...
Now we could discuss the collateral "damage" — if any — of CUB DeFi being party to something that was less that overwhelming... my personal jury is still out about that. But I am still going to keep buying and HODLing CUB.
=^..^=