With the dust settling on PolyCUB's initial launch, it's time to dive head first into what's coming.
What we've built with POLYCUB is nothing short of incredible. We've built the first-ever DeFi 2.0 Yield Optimizing platform.
At launch, we've built-in the xPOLYCUB mechanism which acts as a black hole for POLYCUB's circulating supply.
POLYCUB is being driven into this xPOLYCUB vault at a ridiculous rate. This comes from two places:
- Ongoing Emissions
- Early Harvesting Penalties
There are a few key features of the xPOLYCUB mechanism that make it so powerful for the long-term value proposition of the POLYCUB ecosystem.
Namely, we're redistributing wealth to the diamond paws of the LeoFinance community. What we saw unfold with CubFinance (CUB on BSC) was truly eye opening.
CUB has shown us through the CUB Kingdom that our community is a bunch of die hard hodlers. Our community will hodl CUB and POLYCUB till the end of time and that is truly something special.
The key with POLYCUB is to create a much deeper incentive structure for hodlers who single-stake POLYCUB as xPOLYCUB on https://polycub.com/staking.
In this post, we'll briefly overview the near-term roadmap for PolyCUB. With Bonding and PoL kicking in this week, we've got some exciting stuff on the horizon for PolyCUB.
The entire mission behind POLYCUB is to create an extremely limited supply token with forever number go up mechanics. Right now, we're in DeFi 1.0 landscape (high inflationary rate = high APY).
The purpose of this is to create an "early days of Bitcoin mining" setup where early participants can earn a large amount of POLYCUB tokens so that we can distribute it as widely as possible.
The emissions rate continues to decline. The latest drop happened just 48 hours ago and the next drop is about 5 days from today.
The halvenings of POLYCUB emissions are designed to create a hyper-accelerated version of the BTC Halvening cycle. Distributing POLYCUB widely and then capping the supply at about 7M POLYCUB tokens that will ever exist. The supply will never grow beyond that emissions rate.
In the long-run, Protocol Owned Liquidity which is built via management fees on Kingdoms TVL and Protocol Bonding (Releasing this week) will buyback POLYCUB on the open market and add it to the POLYCUB Rewards Pool. That PoL is how long-term LP APY is paid out.
Bonding and Protocol Owned Liquidity
Bonding is anticipated to be released this week. We're finalizing the UI and getting everything prepared with the treasury contracts.
Bonding is an absolute game changer. We're going to see permanent liquidity added to the protocol via POLYCUB-USDC and POLYCUB-WETH bonds.
Users will also be able to bond WBTC-WETH and other Kingdoms LP assets to the protocol liquidity.
All of these bonds are held by the PolyCUB protocol and will continually autocompound. Around July/August, the emissions rate of POLYCUB drops to nearly nothing and the Protocol Liquidity will begin to buyback POLYCUB from the market and then distribute it to the LPs across the entire PolyCUB platform.
Instead of earning from new POLYCUB emissions (since there will no longer be any past 7M POLYCUB), LPs will earn from this pool of Protocol Liquidity-driven buybacks.
It's an incredibly interesting ecosystem that we've built for POLYCUB. It ensures long-term, sustainable yields and a POLYCUB token price that goes up in perpetuity - very closely modeled after the scarcity dynamics built into BTC.
Collateralized Lending on xPOLYCUB Tokens
Many have asked what the point of hodling POLYCUB is after the emissions rate drops so low that yields are no longer hundreds (and thousands) of %.
POLYCUB is an extremely scarce token. What you're seeing today in terms of price action is the result of the early days of mining it. Similar to BTC's early days, it's extremely easy to mine POLYCUB right now.
People are buying POLYCUB and staking it as xPOLYCUB and earning 2,000%+ APY. That's insane and that is the result of these early days.
The key is where things end up in the next 3 months and further than that, the next 3 years.
POLYCUB has some interesting dynamics backing it up:
- xPOLYCUB is a long-term, forever number go up vault. The ratio of POLYCUB / xPOLYCUB will increase in perpetuity and this will drive value to all the diamond paws who buy and stake POLYCUB into xPOLYCUB. The sooner you stake, the bigger your future claim will be on POLYCUB
- Protocol Liquidity will drive continuous buying demand into the POLYCUB token and then distribute those tokens to LPs in the platform. This sends the vast majority of POLYCUB back into the xPOLYCUB vault. Eating away at the circulating supply and providing more black hole theory to xPOLYCUB Staking
- Collateralized Lending is a new feature we've been developing in the background. When it's released, users will be able to stake their xPOLYCUB tokens into the collateralized loan contract and take out a loan from the Protocol Liquidity in exchange
Collateralized Lending will come as a major surprise to everyone in the community. We haven't spent much time covering it but when we release it, it will blow your mind.
Remember that when you deposit POLYCUB into xPOLYCUB, you're given an "xPOLYCUB token". This xPOLYCUB is simply a claim on the POLYCUB in the vault.
Essentially, xPOLYCUB acts as an "LP Token" that claims your pool position on the https://polycub.com/staking page.
This is vital for the collateralized loan mechanism.
Modeled After ThorFi Self-Paying Loans
Who would we be if we didn't pull in some Thorchain inspiration?
We modeled these collateralized loans after the ThorFi whitepaper for collateralized LP lending.
Essentially, the protocol allows users to:
- Buy POLYCUB
- Stake POLYCUB into xPOLYCUB on https://polycub.com/staking
- Receive xPOLYCUB Tokens (representing their LP in the POLYCUB vault)
- Stake xPOLYCUB tokens into Collateralized Lending contract and take out an over-collateralized loan in USDC
- Loan interest is autonomously paid back via xPOLYCUB yield (self-paying)
The lending system we're building is fascinating and will require a white paper of its own. For now, this is a brief introduction to the concept before we release it.
For many reasons - namely stability - the lending infrastructure is currently set to release sometime during the Month 2 emissions halvening. The POLYCUB emissions rate will be far lower at that time and will allow the collateralized lending to take place in an environment where POLYCUB has already been widely distributed and we're in the number go up (BTC Scarce Asset) phase.
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.
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Just wow. Now this piece of information is just enough to spark some more interest in polycub.
Does that mean that the xpolycub staked into the collaterized lending contract still earns the xpolycub vault incentive? While one is still able to grab some loan of USDC?
WHICH IN THEORY
Xpolycub regenerates income
Xpolycub gets a loan
Xpolycub vault autonomously pays loan interest
Win-win-win
Fuck, that's genius...
Yes, that is exactly correct and where the "Self-Paying Loan" feature comes into play.
We will need to do a lot more content and deep-dives on how this contract that we built works. It's really fascinating but can also be complex to understand if you've never used a DeFi loan.
Self-paying collateralized loans are the future of DeFi and PolyCUB will be one of the first platforms to implement it.
Win-win-wins all around.
p.s. the interest that is paid for the loans is paid directly to the Protocol Owned Liquidity. It creates yet another mechanism for building long-term PoL and we didn't mention it in this official post to save some space. Truly amazing
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So in a nutshell, there's absolutely nothing to lose when basically, as an investor, the value keeps running back to you.
This is really a stepping stone, the numbers inevitably go up considering this. I'd say kudos, anticipating all the best.
Exactly. The key words here are value accrual. We’re creating a radical shift in the way value is accrued to xPOLYCUB hodlers.
Stability and growth over time is the name of the game for POLYCUB!
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Somehow your reply @khaleelkazi made me understand the mechanics better than the post... well both in combination is probably why really. I've never used DeFi loans, not yet and was going to look into it very soon! Funny you're rolling this out soon
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My one very simple question to all who reads this, and praising how fantastic awesome Polycub is:
If this thing is so great, why are you dumping, selling it? Why not buying?
It's the short term, short sighted and non believing investors who are dumping. We barely have any trading volume. One person selling $10,000 could have a large impact on the price triggering even more weak hands to sell.
On top of this there is always those of us who face some emergency and need to sell some cryptocurrency to make ends meet. I have bought some extra while prices dropped. I have been claiming and staking all my POLYCUB into xPOLYCUB with diamond hands. More sellers are a good thing for those of us who believe in the project. The rest will eventually come when the realize what they have missed.
!PIZZA
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I'm impressed with the buying pressure that Protocol owned liquidity will make on the circulating PolyCUB tokens. We are still getting nice amount of PolyCUB in each block. After we see below 1 per block levels, I believe the APR and liquid amount of PolyCUB tokens will be quite low to find PolyCUB around🔥
Great mechanism guys, love it!
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It's gonna be incredible to watch it unfold. POLYCUB is a truly unique platform. The first of its kind and we've all got front-row seats to see how this shakes out
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🤔 Why am I kinda scared whenever someone in this crypto space says "shake out"? 😂 😂
First time I'm hearing the phrase, lol, maybe because your mind has a funny interpretation?
Lol. If you trade futures a lot, you'll understand 😉
Nah, I love my safe zone, not ready to get a heart attack
Kikikikiki 😂 😂 😂. Nice decision
Amazing mechanics coming to the PolyCUB DeFi solution and hopefully soon some of it will be mimic also on CUB Finance. We need to have these brother ecosystems thriving and evolving at the same pace!
Posted Using LeoFinance Beta
The future of the polyCUB is really amazing that everyone can say something about 5he impact in this community, like seriously I'm accrediting the Leofinance teams for there incredible effort for bringing the polyCUB
Awesome. Will the bonding contract need to be audited all over again by Certik?
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Nope, the contracts themselves are all ready to go! We'll implement them during the halvening cycles when POLYCUB's price has stabilized (allowing for higher security - in terms of collateralization ratio - loans)
They also do not interact directly with the Masterchef for PolyCUB. Making it standalone was key when we developed these contracts a few months back
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Awesome 👏 okay then.
Leggo!!! 🚀 🚀
Boom ! A 100% BOOM. I wish I could do 500%
Read how this all have started with Toruk
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I'm DCAing at the moment and eying the upcoming halving which would sink the supply further. I think this is gonna be fun to watch. Keep up the good work guys ✌
Will the USDC loan be 100% of the PolyCUB value?
Posted Using LeoFinance Beta
Good question! Nope, they are over-collateralized loans (very similar to other ecosystems like MakerDAO) where a % of your total holdings can be taken as a loan and you must keep the ratio under a certain level
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Boom ! A 100% BOOM.
Posted using LeoFinance Mobile
Im really excited to hear about Bonding and Collateral lending. Hodling Polycub to the moon, hodlers will be the winners in the end.
Thanks to the team for delivering so much in such a short period of time.
Also marketing efforts are much much appreciated.
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PolyCUB has been in the works for 7 months now. We've had the time to research, design and develop all of these features. I'm happy that the community members like yourself are enjoying the platform. We're just getting started 🚀
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Once again appreciate the good work of the leo team with every added features to their new project PolyCub. It great to see roadmap of PolyCub collaterized leading contract.
This is EPIC! I just recently reached my goal of 5k XPolCub and now I am even more interested in the long-term growth potential for HODLing XPolyCub and PolyCub in general.
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Amazing! And I'm happy with my 100 xPolyCUB. :)
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Beat this:
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Always on the lead. The PolyCUB king!
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This is pure motivation!
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This is really terrific. COngrats man.
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Wow. xPolycub lending is pretty exciting. Looks like a very good use case and a game changer for Polycub. Can tentatively create a positive loop of Polycub purchases as long as the return on xpolycub is good.
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Patiently looking forward to the upcoming update this week as regards the token,but aside that it level of sustainability is just what is making this project the best so far
Great to have a roadmap for PolyCub. Fascinated about pol, bonding and Collateralized Lending. This features right here will totally change things for the better over at PolyCub. Can't wait for it to be integrated
Posted Using LeoFinance Beta
This piece of article right here is very intriguing. The constant development from the team is very admirable. Highly anticipating the Bonding and Protocol Owned Liquidity
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Every features about polyCUB is really incredible and amazing that we can all testify the impact in the platform which I appreciate the leo team for their wonderful effort towards promoting polyCUB
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Collateralized lending is such a big deal and I can't wait to see how it plays out. I noticed the APY of staking Polycub as xPolycub is fire right now and this is such a great opportunity to mine as much as possible. Great job Team Leo, I'll be waiting on an update on the Collateralized lending.
I wondered why Khal kept mentioning lending as a feature when talking about DeFi 2.0 and we hadn't heard about it on PolyCUB. I think this is gunna be HUGE!
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These community is very reliable by creating polycub to it user.That is while I trust the community.
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Yeah, it's not surprising but amazing we all want to be part of something great.
Truth is that we are proud of the polyCUB project and what lies in store for everyone going in.
I knew it!!! Finally, we have a use case for xPolyCUB now. :') Grat one guys. Looking forward to these two amazing features. Cheers!
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It's really great that the Collateralized Lending feature is coming. If that's what I expected, this feature is truly revolutionary. Collateralized Lending is profitable for the lender and quite convenient for the borrower. I'm looking forward to this coming.
I hope more detailed information will be provided soon. You are doing really great work, thank you.
It looks like exciting things are going to happen in the coming days.
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I love how collateralized lending will be set up on PolyCub, so that the interest on the loan will be self-paying via the xPolyCub yield.
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Damn, that collateralized lending thing sounds bullish as f*#!
Guess I'll have to be making another video a couple months from now :)
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Can’t wait for the lending system to launch, leofinance always comes up with something great.
As for POLYCUB long term hodling is the goal and I wish people will hodling and stop selling it.
What has been built and achieved through POLYCUB initially has being so wonderful and the crews behind the scene working tiredlessly without given up I say kudos to them all.
Sincerely, i kinda wait for the overview that PolyCUB have to unveiled which I vividly believe is gonna be an exciting one.
And then, if the collateralized Lending will come as a major surprise to everyone of us in the community when it's unleash then we all going to embrace and appreciate it.
You guys have done really well with Polycub and I am blown away with the amount of attention and news articles coming out. It has provided a new look into Web3 journalism and De-Fi. We can already see the growth on Leo Finance as it remains steady in a bear market. Can't wait to see what the Bull market has in stall for the platform. $2 Leo Soon
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Awesome! As this is going to be my first experience with most of those features it feels great to know that it will be done on a platform I can trust.
Way to go Lions!
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So if someone takes a loan from xPolyCUB and the interest is paid off using the APR there, does this mean the amount of xPolyCUB this person has will drop over time? After all, each xPolyCUB is worth n PolyCUB and this ratio continues to go up.
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Honestly I sincerely see more too and getting to see the level of update and progress so far really shows what the token tend to offer in years to come.
It level of stability too is what as make the token a project to give more attention to
Simply amazed with polycub and the destination in which it heading. The lending system is quite interesting. We are set for a very interesting ride. All the more bullish for the future after reading this
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At launch, we've built-in the xPOLYCUB mechanism which acts as a black hole for POLYCUB's circulating supply.
This is so amazing and lovely . XPOLYCUB has been holding ground since when they launching it now . people are being invested on POLYCUB so far now, I know that the future of this great work bright.the long term investment will surely help many people here.
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It's so incredible. I'm so glad to participate in polycub. So many things happening in the roadmap. This is really the flagship. There is so many exciting things ahead for polycub, and with the halving polycub is looking hot !
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Exactly, but that might not be the best way of doing DEFI? Or is it?
I'd like to get a #DieHardHODLer Batch, if I may :p
Boom this is a big one for me...
Was curious what was going to happen and this explains it well.
Curious to see the rest of it in action it's going to be fun!
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Interested to see how to different liquidity bondings effect the average price across all pools
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I’m going to be rich. Thank you Leofinance
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I'm looking forward to the halving, I basically think that creating this scarcity model around PolyCub will be great for the prices, overtime I guess. I'm interested in how this pans out while I buy, little by little.
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I was thinking some loan feature could be great. Having the automatically paid interest is a feature I didn't even expect to see. What do you plan next? Automation of loan repayment based on a smart contract where user can specify to pay the loan based on set of criteria like market performance and time limits? It sounds like a great idea for a Token that is set so well for value to grow up. A long term investor would be able to take a loan today and have it paid dynamically over XX months and they can set it up the moment they take the loan. That would be difficult to pull off for the developers. For now I am completely hyped for simple automated interest payments.
!PIZZA
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Interesting to understand better what PolyCUB and its economy represents.
QUESTION:
Why is the "Your Pool%" still 0.00 despite increasing my PolyCUB stake?
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Is it possible to have auto paying for both loan & interest? I'm thinking like payment plan. That's extra convenient for some people. Others might prefer to take the manual route.
!PIZZA !LUV
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Loving everything you are doing and find it absolutely fascinating!
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