"Interesting strategy! Curious—how do you manage the risk of impermanent loss in the LP, especially with Zing’s market volatility?"
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"Interesting strategy! Curious—how do you manage the risk of impermanent loss in the LP, especially with Zing’s market volatility?"
The high yield compensates for any impermanent loss, but ultimately if my goal is to get 1,000,000 ZING, and I am not a huge fan of Hive as an investment then what risk is there?
Hive would have to go up to $10 and Zing would have to remain the same for there to be loss that is greater than the yield. If Hive goes up to $10, I will have a couple hundred thousand dollars worth of Hive in this wallet, so why would I care?
Alternatively, If Zing decreases by 2000% and Hive does nothing I would also have been better off not staking Zing but I don't think that will happen and if it does, it is a risk I am willing to take. One just has to follow the project to realizing they aren't trying to scam us like that.
When it is release, I think Hive will still be where it is today because Hive is a poor investment. I think Zing will lose a zero because players will want it. And worst case scenario, one million Zing will probably be useful in the game.