Attack of the Forking Clones!
The Fantastic Rise & Anticipated Fall of DeFi Protocol DinoBUSD
I love DinoBUSD. It’s my most productive passive-income pocket-change crypto investment this year. It has a smart dashboard, returned my ROI on time, & continues to pay me above that, weekly. After witnessing heinous rug-pulls early Summer, the success of DinoBUSD helped restore my faith in these projects. However…
That said, I am no longer investing into the protocol. I encourage folks reading this to do the same.
No worries though & no panic — there’s plenty of time. DinoBUSD is not a rug-pull. My expectation is that anyone who invested up until around this time — mid-to-late-month August — will likely not only receive their full ROI back, but will also probably fulfill the length of the contract, receiving the full 5x ROI, as written into this protocol. It may even run for quite a long time still — more on that below…
What’s happening?
Market forces can be brutal, especially in the crypto space — not simply the daily up/down price of the coins, but the market forces of extreme competition.
Before they can compete with you, you need to become successful…
People love success. Ever been at an art opening & see a red dot next to a few pieces displayed on the wall? A red dot means that the piece has been sold. Watch what people do: they enter the gallery & tend to gravitate over to the art piece with the red dot — that’s already sold — just to see what other people liked enough to purchase. It’s called Verified Taste & it allows people to quickly know what other people think.
DinoBUSD has been successful. As mentioned above, it’s been a very good investment for anyone who has invested up til now. Dino got a lot of press at the beginning — the cool Dashboard Investment Portal is probably why — & folks naturally gravitated to the project. I watched the Total Value Locked increase from around $79,000 to almost $800,000 in 6 weeks. It was a pretty phenomenal scene…
Extreme competition…
Success has its imitators, though. Within 6 weeks of DinoBUSD’s successful coming out party, a new competitor landed on the scene: the fork — a clone of the original, with some adjustments — is called SoccerBUSD.
See the Deep Dive for SoccerBUSD.
Where Dino (still) delivers a whopping 8% daily ROI, this new competitor doubles that to an uber-whopping 16% daily return. The new fork is stiff competition. Its TVL began shooting up, just as Dino had weeks earlier.
Meanwhile, DinoBUSD’s TVL continued to rise, briskly still running up that hill at an incredible pace. I continued to invest, always daily scraping the top of other pocket-change miners.
Cognitive dissonance:
I’m skeptical of any 16% daily return-on-investment. Period. They can’t be sustainable at that rate — simple tokenonics seems to prove that: I’ve watched as DOZENS of defi pocket-change investment projects with exorbitantly high daily return rates came crashing down, quickly.
However, Verified Taste was telling me that folks are very excited about SoccerBUSD, with its quickly increasing TVL & some other protective longevity features, like a higher exit tax.
I explore & dissect new pocket-change crypto staking protocols. I’ll either tear them apart, or decide to invest into the project, encouraging their sustainability & longevity. Very few of these miners will rise to the top; those are what I’m looking for.
I put SoccerBUSD through my tests & researched what I could. By the 3rd fork or so, projects seem to copy each other’s Whitepapers word-for-word, so reading a clone document can be a lesson in wasted time. With everything else checking out, though, it was time for the Buddy account.
Why are we here?
Naturally, investors are going to strive for the higher return of 16%, over the once remarkable 8%. I did.
It’s why we’re all in this corner of the crypto world — to make some extra pocket-change. If I appreciate & trust the platform, it doesn’t make financial sense to continue to invest in an 8% project, when I could be doubling my money at a project next door.
The Death Blow
And then there were four…Two more stiff competitors have recently entered the market & clearly, DinoBUSD does not now stand a chance.
BNBTheLostWorld came out 7 days ago & offers 10% daily. They work with the Binance Smart Chain native token, BNB.
And similar to Soccer — the next new thing on the block — SpaceBUSD is offering 16% daily return-on-investment, with a slightly different tax structure from Soccer.
Supply & Demand
Why is my favorite miner doomed? Because there are only so many investors in this corner of the crypto market. I’ve watched the TVL for all of them shoot up several hundreds of thousands of dollars in a few weeks — which is great, as hopefully more folks are discovering these pocket-change investment projects.
However, DinoBUSD, with its formerly fabulous 8% return, is now obsolete. It’s time to move on…
There is now a large SUPPLY of these Dashboard Investment Portal-designed miner protocols. Because of their success, I expect more to hit the interwebs within a few weeks. That’s an awful lot of the same thing…
And there is only so much DEMAND — apparently not enough to sustain all of these pocket-change miners.
The previous life expectation of pocket-change crypto protocols was about 3 months (BNBMiner the exception). You had better get in early then, or you would miss out, because when the TVL begins to level out or go down, the ride is slowing down, too, & soon it’s time to get off.
However, the times they are a’changing. Modern miners like the Dino/Soccer/Lost/Space Miner protocols — based on the Dashboard Investment Portal design — are created for the longer-haul.
DinoBUSD is close to 3 months old. Yet look at the graph, below. It’s not collapsing or acting erratic. It’s doing what it should do for now — it’s walking comfortably up that hill. However, I’m watching the daily transactions spreadsheet found under the Analytics tab at BscScan, & I feel the protocol is slowing down; leveling out at the moment, & I see the writing.
So it’s not a sad thing, or a bad thing, that DinoBUSD is (perhaps) starting to wind down. It initiated a new generation of crypto miners that I’m very comfortable investing into. Here’s what I expect coming up…
The Foot-Traffic graph for DinoBUSD will be a natural & beautifully unwinding chart, initially resembling a brisk walk up a nice unhurried hill; then a long, slow descent for many more months to come, as the contract comfortably unwinds. If you’ve read earlier missives, you know I love charts & graphs. Below is a mock-up graph of what I expect the lifespan of DinoBUSD to be. Actual results may vary…
Why will it take so long to unwind?
That’s a good, but kinda sad, question. You’re reading this, so you know the possible fate of this miner.
However, unsuspecting investors, with pocket-change to spare, are going to accidentally stumble upon the website, see the cool dashboard & decide to invest.
They will not have read this; they will not have done the requisite research; they will lose their money.
Meanwhile, their type of foolish jump-1st-&-hope-to-land-standing-later investing is what will prop up the contract for months to come, allowing everyone else time to receive their return on investment plus, except them.
Good news
Unlike crypto miners with fluctuating daily return rates, Dino & her three current cousins — Soccer, Space & BNBTheLostWorld — have a fixed return. So as the contract TVL ultimately begins to decrease, the returns remain the same, until the funds in the contract are gone.
Here’s why that’s big:
I have several decreasing-return pocket-change miner investments where my take has dropped to less than a dollar per withdrawal — The Crops Miners, Baked Beans & Amoeba are just a few examples. I compound these dead-ends for maybe a week, to produce maybe a dollar. I use these miners to pay for gas fees, so I never have to consider those fees, as they are washed out by the still-slightly-productive miners.
The fixed return rate from the Dino & her sisters clone protocols removes the burden of reduced returns. I expect to receive my full daily returns, provided to me weekly, until there are no more returns.
What now? Diversify…
After walking away from DinoBUSD (smiling), what next?
Again, the 16% daily ROI from SoccerBUSD & BNBTheLostWorld still feels pretty risky. However, with what I’m making from Dino, I am willing to take the higher risk. That’s just me…
That’s why I always encourage friends to play with only what they don’t need.
To diversify my windfall, I’ve invested in all three of the Dino clones. I will continue to chronicle my passive-income defi pocket-change miner adventures.
Whew…That was lot. Thx for getting this far. I hope you found something valuable in this opinion article concerning the crazy crypto world we live in.
Always glad to have you follow me…
Shameless Plug:
Some of my recent investments are below…
DinoBUSD
I’m thrilled I invested into DinoBUSD & will continue to ride this platform out until the natural end, enjoying the rewards along the way.
I invested a total of $1,360 into 3 accounts with Dino. Multiply that by 5x & my expectation is that I will enjoy the full rewards of $6,800. So far I’ve gotten over $2000 of that back. The contract may be slowing, but it still has a long way to go. I’m excited to be there until the end, or when I hit 5x my return-on-investment, whichever comes 1st.
Note: When I’ve successfully made money from a protocol — not necessarily my full return-on-investment, just yet — I write about my experience. If you like the protocol & decide to invest into it, that’s my goal & I’m thrilled. Using the referral link from my articles will provide me a small compensation & is a fantastic way to let me know that these conversations are beneficial. If you do use my referral link, thx!
Notice that there is no link for DinoBUSD. The links from all posts are removed when I no longer feel that it is a solid investment.
SoccerBUSD.finance
With a 16% daily return, I’m halfway to my full return-on-investment with this clone of Dino, & it’s only been a little over 1 week. I will keep adding to my stake in Soccer until it begins to level out…
SpaceBUSD.finance
Again, 16% daily ROI is risky. Half of that is recycled back into the protocol, so it’s not quite as impressive — read the deep dives into these protocols to see how they work.
BNBTheLostWorld.finance
BNBTheLostWorlds is the miner I have the most confidence in succeeding longer than most.
I like receiving BNB, as the coin seems to be improving a bit recently. I’ve opened 2 BNBTheLostWorld accounts — my Prime & Buddy accounts — & will continue to invest weekly until signs point me in another direction. Stay tuned…
Sometimes I can’t get into a miner protocol…I’ve learned to always have my VPN connected when browsing, especially as I want access to sites from across the globe. I use the Opera VPN Extension & will discuss why, upcoming…
My Buddy draws on everything! I call them his Ledger Series. I like the scene below…
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Attack of the Forking Clones! was originally published in Coinmonks on Medium, where people are continuing the conversation by highlighting and responding to this story.