Polycub is the best DeFi project I have ever seen. Simply because it was built with the goal of being sustainable in the long run instead of a quick cash grab like so many other DeFi and CeFi projects. Mark my words: Polycub will outperform most of the crypto market in 2022.
The project is currently in the accumulation phase, slowly building up the Protocol Owned Liquidity (POL) while using inflation to payout yield to the investors. We still have around 48 more days of accumulation before the buy-back feature becomes active. This change will be a huge milestone for the sustainability and price growth of Polycub.
Daily Print
At the current date, Polycub has an inflation rate of 0.25 PC per polygon Block. Polygon blocks per day vary a lot but to simplify I will use 40,000 Blocks per day as the benchmark.
40,000*0.25 = 10,000 PC printed per day
10,000 * Current price = 1 480 USD per day
Polycub will be printing around 1,480 USD per day until the next halving (22nd of July).
22nd of July until 22nd of August: 740 USD per day.
22nd of August to 22nd of September: 370 USD per day.
At the time the daily print goes down to 370 USD per day the buyback program will probably be deployed so the daily distribution will be: 370 + Daily buyback.
Daily Buyback
The amount of Polycub the buyback program will be able to buy will depend on how much yield the POL will be able to generate daily. Such yield comes from 3 main sources: HBD Savings, P-Hive curation rewards + Hive Power inflation, and SPS staking.
Current POL yield generation
I'm only looking at yesterday's numbers, by the time the buyback program actually starts the daily yield will be way higher as the POL keeps generating more and more funds from several different mechanisms.
HBD Savings
This is the main yield source for the buyback program. In round numbers, the POL currently has 109,500 HBD in savings generating 20% APY.
109,500 * 0.2 / 365 = 60 USD per day
P-Hive
P-Hive currently has 80544 Hive power generating an average curation yield of 9.76% on top of that it gains an additional 2.95% from inflation.
80544 * Hive Price * (0.0976+0.0295) / 365 = 11,47 USD per day
SPS Staking
P-SPS account is currently staking 118347 SPS (According to the data I was able to track on Hive Engine) generating around 34% APR.
118347 * SPS Price * 0.34 / 365 = 5,29 USD per day
V2 Vaults
These three V2 vaults are currently yielding $76.76 per day.
It is low compared to the $1,480 daily print but we still have almost two months of compounding ahead of us. Furthermore, two of the yield-generating vaults (Hive and SPS) are quite undervalued at the moment because of the bear market. SPS Airdrop is close to an ending and that should help turn around the price of the token and help the POL generate even more yield from SPS staking.
Conclusions
On top of the V2 vaults, the POL will also use the yield from the fees it has been accumulating through kingdoms. This number will be lower than the vaults but it will keep growing in perpetuity just like every other asset in the POL.
Polycub price is also likely to increase as the daily print gets halved making the buyback halving daily print higher than the 370 USD per day I showed. The buyback on top of the lower inflation will ensure Polycub will keep paying out a good amount of yield on your staked assets.
I'm thinking about updating these numbers at the beginning of each month to track how the POL growth is going month over month. Do you think it is an interesting idea?
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Dear @myfreebtc, we need your help!
The Hivebuzz proposal already got important support from the community. However, it lost its funding a few days ago when the HBD stabilizer proposal rose above it.
May we ask you to support it so our team can continue its work?
You can do it on Peakd, Ecency,
https://peakd.com/me/proposals/199
All votes are helpful and yours will be much appreciated.
Thank you!
Thanks for the numbers. It's still so early with pCUB. Anyone who look at these stats should consider taking a position in https://polycub.com to grow their portfolio !LUV !PIZZA
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