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RE: My Thoughts About The Near-Term PolyCUB Roadmap!

in LeoFinance3 years ago

I never did get an answer but I know that the yield can be self-paid back by xPolyCUB but doesn't doing this dilute your shares in xPolyCUB? I think xPolyCUB was built to not change and the ratio to go up. By taking away some interest, doesn't think mean your xPolyCUB amount drops?

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Great question. I don't know the answer since the mechanics BTS has not been released yet. Here's my best guess.

You submit $1000 worth of xPolyCUB today as collateral. You get a $500 value loan in USDC. Once that loan (plus interest) is paid off with your xPolyCUBs, you will get $1000 worth of xPolyCUBs back. Now obviously the number of xPCs would reduce since some of them will be used to repay the loan. But the $ value of your principal will remain the same.

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