Odaily Frontline | DeFi launched another new currency, and the annual income has exceeded 1000%

念银思唐

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2020-07-20 17:30 (UTC+8)

This article is about 1900 words, reading the full article takes about 3 minutes

YFI, the governance token launched by yEarn Finance, has become the new favorite of yield farmers.

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YFI, the governance token launched by yEarn Finance, has become the new favorite of yield farmers.

This article comes fromCrypto Briefingsecondary title

Odaily Translator |

Summary

- yEarn Finance launched an automated market maker, aiming to solve the pain points of Yield Farmers in the DeFi field;

- To further democratize the governance process, yEarn launched a governance token with no pre-mining;

iEarn Finance has now changed its name to yEarn Finance and provides investorsroll outA governance token with no pre-mining and an annual yield (APY) of more than 1000%, was dubbed "the most profitable pool in DeFi".

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Before the DeFi boom ushered in in June 2020, iEarn Finance at that time served as a revenue aggregatorroll outroll out

, to maximize interest rate yields by redirecting tokens to the best lending market.

This week, it joined the yield farming movement in DeFi, whose returns beat all other protocols.

In addition, he also reorganized all the projects they are currently developing: iEarn Finance (renamed as yEarn Finance), an aggregation income agreement, currently has a management scale of 8 million US dollars, with a comprehensive annualized return of 10.58%, and supports dYdX, Aave and Compound; itrade .finance (renamed to ytrade.finance) has not yet been released, supports 1000x (need to provide initial fee) and 250x (no initial fee) leverage trading stablecoins (DAI, USDC, USDT, TUSD, sUSD); iliquidate.finance is An automated liquidation engine for Aave; ileverage.finance supports the use of USDC for 5x leveraged trading of DAI, currently has a short position of 9 million US dollars, with an average return of 16%; ipool.finance is the first y.curve.fi The meta fund pool of sUSD curve.fi has been decommissioned; yswap.exchange has a management scale of 75,000 U.S. dollars since its release yesterday, which can be used to aggregate annualized and liquid mining income; and an automated market-making tool that is currently An undisclosed project that is used to carry out credit entrustment agreements for smart contracts.

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The protocol's product suite is nowincludeinclude

Tools to short DAI and restore the peg when trading at a premium, liquidate undercollateralized Aave loans, and the latest release of a new type of Automated Market Maker (AMM).

First, let's take a look at the farming dynamics of Compound.

When yield farmers deposit tokens into Compound, they earn interest and COMP rewards on their token holdings. To maximize returns, these investors deposit their cTokens (Compound deposit tokens) into Balancer to earn liquidity supply fees and BAL mining rewards.

However, it is the pool, not the investor, who earns the corresponding COMP, BAL, and interest from Compound. The solution to this problem is to build a "yield aware" liquidity pool that does not distinguish between cBAT and BAT.

yEarn's new AMM, ySwap.exchange, is yield-aware and introduces a transfer token that represents all the liquidity of an asset, regardless of whether it is aBAT, cBAT or BAT.

Unlike all pools on Uniswap between an ERC-20 token and ETH, all ySwap pools will be linked to this transfer token. This allows yield farmers to overcome pain points with other AMM platforms.

Despite the official statement that the token has no value and its sole purpose is to facilitate governance, DeFi has done what it does best — drive up the price of tokens.

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Source: yEarn Finance

YFI holders may make any proposal within reason to change any aspect of the protocol. The current supply limit of YFI is 30,000 pieces, so the price of YFI is high. However, a majority of YFI holders can increase this supply cap as long as the token contributes to the governance of the project.