HELLO CAPPIES! Today we shall do an update of our Live Yield Farming: Episode PolyBunny
Day #3: PolyBunny probably dead on Day 3?!
NOTE: Take caution of the farm lessons I put myself through. I made these so you dont have to go through these “episodes” . Money lost is a small matter, time lost on the wrong strategy is way more costly..
As expected, (as a new farm) the APR crashed from 2million to about 111%! On top of that, USDT has higher APR rates too, probably because they have lower liquidity numbers… Note that the price of the Polybunny also crashed to ~$18 at time of writing.
ALL NATIVE TOKENS (OF FARMS) WILL EVENTUALLY DROP OFF TO ZERO. SO THERE IS LITTLE OR NO UTILITY IN HOLDING THEM
What does this mean for us? Did we lose money?
Yes and no. We did pay a 4% deposit fee which works out to around $4 so let's at least get that back. Provided Polybunny price stays at the $18 levels, we should be able to get back our deposit fees within 12 days.. 12 days is an INSANE amount of time in the crypto world, 12 days just to BREAKEVEN, 12 days of opportunity costs, 12 days of various farms and/or pools we could have participate to generate some yields.
What should we do now? Whats next?
Will Polybunny price shoot back up? If it shoots up we should be in profit mate! That is the wrong mindset. KILL THAT THOUGHT. All native farm tokens will eventually drop off to zero. If the APR did not drop too drastically, we should have been able to make the 4% deposit fees back within 24–36 hours; we can then start counting our profits from the 37th hour and exit the entire farm completely once the APR drops to <100%. Now that we are faced with this situation, these are my next few steps;
Step 1: Harvest my rewards and sell them to USDT. Get the money into our pockets first
Step 2: Let the ETH remain farming til we get our deposit fees back.
Step 3: Time to shift our attention and eye our next few farms (I will share those in the next few days!)
Not an ideal situation to be but neither am I surprised by the numbers. Staying focused and eyeing the next farm CAPPIES!
