4 days after the launch of the BFG Farm, it is still more profitable to put your BFG in the farm than to stake it on the platform if we look at the APR alone.
Farming APR is still sitting at 180%, while the staking APR on the platform is hovering at 88% currently.
The effect of the Farm
We knew to expect two things after launching the Farm; Diminished amount of staked BFG on the platform and an (temporary) increase in the price of BFG.
We saw the price go up strong right after launch, mainly due to people wanting to take quick advantage while the APR was still crazy high. Furthermore, the delay in BFG withdrawal made a lot of people impatient and they went on to buy BFG as well as withdrawing.
As expected price has come down again since then and is almost back to pre-launch levels.
Unstaking BFG in on the platform has been strong the first day, with a decline of 75 million. The 2 days after that we still saw some small declines, but the last day we actually saw some BFG return to the platform already.
In total the staked amount dropped around 85mil, before gaining 9.7mil again. With a typical increase in the staked BFG of around 4.5 mil we can assume a total of 85+(4*4.5)-9.7 = 93.3 mil left the platform.
If we look at the current amount of BFG in the Farm we can see a total of 168.7mil
I'm not sure where the additional BFG is coming from. Some of it will be compounded BFG, but since the total rewards of the Farm is only 25mil, this can't be the whole story.
Could it be that the team itself is staking in the pool as well? The address that was holding 70mil BFG as the reserve allocation for the team, has now only 29mil. So it seems some of it might be staked in the farm now?
I'm not sure what to think of this.
Dividends decline
Dividend payouts are decline since the end of Euro2020. We should be careful drawing any conclusions from this just yet, but to me it seems to indicate how strong sports betting is on the platform. But also, how reliant we are for special sporting events. I sure hope the Olympics are drawing in more bets again ;)
APR
So all things considered and added together, we are in a situation now where the BFG Farm is still giving twice the return as BFG staking on the platform. Considering this it is surprising to me that not more BFG is leaving Betfury and entering the farm.
One can only speculate what this means. A lot of 'dormant' BFG/players on the platform? A lot of true gamblers who need/want the dividends to play with each day? ... let me know what you make of this in the comments below!
