The Tomb Fork Saga : Chapter 14
Leaving 2omb for Platinum
Sorry all, it’s been a few days since Le Zèbre has kept you up to date with his investigations … the thing is, he is currently undercover, getting his hands dirty in this strange land of degen defi.
He listened to people twitting in the streets, he visited bars he had found on Discord. Open or more closed communities, talking, arguing, confronting ideas, tactics. There are groups in the shadows of degen defi that foment strategies.
Of course, a lot of people try to make the most for themselves, with these Tomb Forks. But there are also squads, (not yet armies) that coordinate to save them, to raise them from the grave where their peg had been lying at around 0.1 of the target asset value …
Magik, Scarab, Kitty, … some forks that just looked finished, or in a really bad corner, suddenly find a new life, a new strength with people flowing in their capital to rebirth a protocol from its ashes. Their war cry: “repeg !!!”
Of course, the scams carry on, … we are in an era of rugs, Boozer for example. And sometimes, a simple mistake fucks a smart contract up and blows of a protocol like Specter.
I’ve had enough of 2omb. It only rewards you 800% APR now. Who can be content with that? (sic) So it only took a few transactions to quit the protocol:
You have to read it from bottom to top:
- The first transaction was when I staked 2shares in the BoardRoom.
- The second is when I exited the boardroom, claiming my 2omb reward and retrieving my 2shares
- I allow SpookySwap to manage my 2omb in order for me to sell them
- Sell all my 2ombs for FTM
- Sell all my 2shares for FTM
These 4 exit transactions cost me less than 15 cents in all. That’s how cheap Fantom Blockchain is.
Interests ... at the price of the capital
The problem with 2omb was also that the rewards were ok, but the price of 2shares was declining. What good was it to get interests over a capital that is melting … maybe my “just skate shares in the boardroom” tactic was not that clever after all.
I had been around 230 FTM, and was now down to 198 FTM. Still up from 100 FTM two weeks ago. I could have done much much better, as you know from Shitcoins and panic selling, but 98% return in two weeks was still not that bad.
I wanted to try something different, I wanted to test another Basis fork. (Most people call them Tomb Forks, but as you know from The Walking Deadcoins: Basis.cash, Tomb is actually a fork of an older dead project Basis.cash).
I looked around, and my eyes were caught by a shimmering bit of platinum.
Platinum looked juicy. It had been launched just a few days ago. The Platinum Shares (SPLAT) where swinging like crazy, but the peg was just fantastic: around 6 to 8 FTM per PLAT.
Platinum’s money printer was not going to stop any time soon.
I was thinking of doing my just stake shares in the boardroom strategy again, but I wanted to get an idea of the gains for staking. Maybe my simple tactic was not that clever after all.
But I did not want to stake on the PLAT-FTM pool, because I would have to buy PLAT to do that, and I was surely not going to pay 6 or 8 FTM for a plat that is supposed to worth 1 FTM.
Here was my strat:
- put half my FTM into SPLAT
- stake halft of my SPLAT in the boardroom
- put the other half in the SPLAT-FTM pool, and stake my LP tokens in the farm (called the cemetery in Tombspeak.)
Here, all my actions are on display on any blockchain explorer:
- I swap 100 FTM for 0.37 SPLAT (so my entry price in 270 FTM/SPLAT)
- I allow Platinum Finance to manage my SPLAT
- I stake 0.2 SPLAT in the board room
- I allow SpookySwap to manage my SPLAT
- I provide liquidity to the SPLAT-FTM liquidity pool. In return, I get 2.62 LP tokens
- I allow Platinum Finance to manage my LP tokens
- I stake these tokens
In a few days, we’ll compare the rewards I’ll get from both strategies … and I’ll tell you, after two weeks mulling over the question, if I still think Tomb Forks are ponzi or not.
You can read the next episode: 5 epochs in Platinum Finance.