Subme migrates liquidity to a new SUB/BUSD LP pool
We would like to announce that we are moving our liquidity from SUB/BNB to a new SUB/BUSD pool as a part of the preparations for the launch of our launchpad V. 2.0. The Subpad is almost ready — we are just a few steps ahead of its official release.
SUB/BUSD LP tokens from the new LP pool — as well as our SUB tokens — will be available for you to stake for public sales allocations. Users will be providing the liquidity to the new LP pool in SUB/BUSD. Let us delve more into the details standing behind our decision.
Why are we moving our liquidity to BUSD?
The main purpose is to mitigate the price volatility of the pool. Ethereum network will most likely switch from Proof-of-Work to Proof-of-Stake and implement sharding this year. What does it mean to BNB? BNB is a strong cryptocurrency, but if the ETH solves the scalability problem of their network, it can have a negative impact on the BNB price. The BNB price may also skyrocket, but it is hard to predict it right now.
On the other hand, providing liquidity to a pair with a stable coin such as BUSD (backed 1:1 by real US dollars) makes it less vulnerable to cryptocurrencies’ price fluctuations. This solution is safer for the assets of all SUB liquidity providers, including the Subme company itself, which is the biggest liquidity provider in the pool. The LP pool assets price stability will be really important as SUB and LP tokens will be lockable from 7 days to up to 3 years for the crypto investors.
If you do not want to remove your liquidity due to the Impermanent Loss — do not worry, we will not remove the old pool — you can still keep your LP tokens in it and wait for a better SUB/BNB price ratio to minimize the IL. We expect that the SUB token price will increase after launching our long-awaited Subpad, not to mention the launch of our e-commerce Subme App, which is an independent project utilizing the same SUB token.
What about the Farming Rewards?
We will decrease the farming rewards slowly on the current farming panel beyond the point, where the farming rewards are not available anymore. The process will begin in April and should last 4 weeks — each week we will reduce the available rewards for farming. We do it to decrease the inflation of SUB tokens. This should positively affect the SUB price and be suitable for long time SUB holders. The main incentive for providing SUB/BUSD liquidity will be access to the fundraising allocations on our Subpad.
Wen Subpad sir?
We know how anticipated our new launchpad is and we do understand that many SUB holders just cannot wait to use it. Our product is almost ready, and we scheduled the release for April. We are working hard on the final adjustments to deliver the revolutionary go-to fundraising platform for launching the hottest startups on the market.
We strongly believe that these changes are good for the whole Subme ecosystem. It is not financial advice, however, we think that now is a good moment to buy and hold SUB. Together with the promising projects being launched on our platform, the price of the SUB token should continuously steadily increase.