CUB inflation about to be cut from 3 per block to 2 per block today
A 33% cut in the inflation rate of CUB is expected to take place today. How that will affect the price of CUB is unknown. There could be fewer buyers as the short-term gains to be made in CUB are cut. But less CUB might get sold because less is being minted.
Impact on long-term liquidity providers and stakers should be small
The CubFinance platform was launched only a week ago. The code has not been completely audited, yet. The code audits are a big thing in DeFi because no one will risk big money if the contracts and the whole platform are buggy. CubFinance is not very well known yet. But when the audits are done, the yields, which are pretty damn impressive, are going to attract more investment.
These are some of the liquidity pools a.k.a. Farms where you can provide liquidity for exchange pairs:
These are the staking pools a.k.a. Dens where you can stake coins:
The yields are so large (APR does not take compounding into account) because the inflation schedules are the same regardless of the market cap and because there aren't that much liquidity provided or that many coins staked yet.
The market cap of CUB is a little over three million dollars and the total value locked in all the pools is a $12.77 million. Those APRs are bound to attract much more investment when this platform becomes better known and when it becomes known that the code has been audited. This is not some shady operation sprung up and run by anonymous developers.
When it comes to the price of CUB which is $4.28 and down almost 90 cents from yesterday evening, there could be a round of panic selling in the cards. But it's hard to say because the community is so pumped about the long-term potential of CUB based on the roadmap.
https://docs.cubdefi.com/tokenomics/cub-token
Conclusion
Once the volatility from the changes in the CUB inflation dies down, I don't think there is very much chance of the price of CUB going too far down before rising given the stage of the overall cryptocurrency market cycle we're in. Based on the roadmap, introducing more inroads into the LeoFinance ecosystem from the rest of the space and the rising crypto market cap in the cards for at least the next six months, I believe there is cause to believe for the price of CUB to have a large upside. It's easy to earn by staking and farming right now. It will continue to be relatively easy even with the drops in inflation. I believe the market cap of CUB will be much higher in the coming months. Owning a growing piece of that pie is lucrative.