Stablecoins were created to reduce the high volatility that characterizes a lot of cryptocurrencies. The beauty of this stability is more evident during the bear season as we presently experience.
The price of stablecoins are expected to be pegged to a cryptocurrency, fiat money, or to exchange-traded commodities. The US Dollar has been the reference point for the peg of some Stablecoins USD Coin (USDC), Binance USD (BUSD), Tether (USDT) etc which hold their value around $1. Other stablecoins derive their value by converting another digital asset. These are algorithmic stablecoins some of which are pegged to the dollar equivalent of other cryptocurrencies. Hive backed Dollars (HBD) is a beautiful example of such stablecoin, being pegged to $1 worth of Hive.
Mass adoption/investment into crypto will happen when we have more trusted stablecoins that retain the value of an investor's investment while paying good returns. As the bear season gets longer, the Hive blockchain has witnessed a good base of stability with $HBD staying strong through the bleeding markets.
There is a growing trust by both content creators and traders. This was not the case months ago when HBD was not stable. With 20% paid to those who save their HBD, that is already a huge reason to stick around the Hive blockchain through this season.
While 20% APY is a decent and best return on a decentralized stablecoin in the caliber home HBD, there is more. @Leofinance has provided an option for HBD investors to earn as much as 52% on HB in a DeFi farm known as CubFinance built on the Binance Smart Chain.
Out of the three HBD DeFi vaults, one of it pairs it with BUSD as bHBD-BUSD. This amazing pair of two stablecoins with a record 32% APY is second to none in th DeFi world. While investors may be afraid of impermanent losses associated with asset volatility in DeFi, the bHBD-BUSD pool provides an option with no guile nor fear.
Combining the duo of bHBD and BUSD in a DeFi pool is an intelligent investment that an investor can consider for a long term value accrual especially for growing asset like $CUB.
Providing liquidity for the bHBD-BUSD pool can be done without looking back as both assets are strong enough and holding a firm gird around the $1 USD value.
If you have an obsession for stablecoins, then you should not miss this rare returns on HBD and BUSD.
How to Provide Liquidity on your Favourite Stablecoin - HBD
We have some simple to follow tutorials to help you providing liquidity. Some are as follows:
- video tutorial on 3speak.
- Doc on how to wrap HBD
- Doc on how to wrap Hive
- Doc on how to provide liquidity
The steps simplified for Hive user to add liquidity for HBD follows thus:
- Wrap HIVE or HBD to bHBD using https://wleo.io
- Visit https://cubdefi.com/farms and select the farm drop down that you want to add liquidity to
- Click "Get bHBD-bHIVE" (or whatever "get asset pair you selected") and it will direct you to the correct vault page on Pancakeswap
- Add liquidity
- Return to https://cubdefi.com/farms, approve the deposit LP contract and deposit the LP tokens to start earning yield instantly!
What is CubFinance?
A farming platform built on the Binance Smart Chain (BSC) that is part of the Leofinance umbrella of cryptocurrency and Web 3.0 applications.
What is LeoFinance?
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.
Let's Connect
Hive: https://leofinance.io/@uyobong
Twitter: https://twitter.com/Uyobong3
Discord: uyobong#5966
Posted Using LeoFinance Beta