Yearn.finance is built with DeFi Zap, 1inch, Defisnap, DeFi Pulse, Curve, bZx, Aave, Compound, dydx, HydroProtocol, LendfMe, Uniswap, Kybernetwork, Synthetix, Ethereum, Truffle Suite, Etherscan, and Alchemy.
Yearn.finance functions in an ecosystem made up of vaults, earn feature, zap, apr, and cover.
Vaults follow a unique strategy which is designed to maximize the yield of the deposited asset and minimize risk.
The Earn feature performs profit switching for lending providers by moving funds between dydx, Aave, and compound anonymously.
The cover is provided with Nexus Mutual from yinsure.finance. All of the features can be used by connecting to the wallet; however, most of the features are now in the beta stage.
The YFI is a cryptocurrency token which operates on the Ethereum Platform. YFI currently has a market cap at $604,767,633 USD with a volume of $322,301,479 USD per 24 hours with 29,967 YFI in circulating supply out of 30,000 YFI in Total supply.
YFI is currently trading actively in 151 active markets. YFI being an ERC-20 token which became well known after a massive price rally. There was a 300% price hike, which had investors look keenly at YFI.
They recently launched yInsure Finance, which is a tokenized insurance product which made it well known.
Maheen Hernandez, Writer at the The Currency Analytics opined: “Access to liquidity is very important for businesses to keep going. Yearn.finance(YFI) are doing a great job facilitating improved APY for investors.”
Yearn.finance (YFI) Optimizing Token Lending
It all started when Andre Cronje developed yearn.finance (yEarn) as a yield aggregating platform on Ethereum. Ever since it has evolved to be an ecosystem with protocols which focus on improving on the APY (annual percentage yields). Yearn makes use of several protocols to optimize the token lending process.
Andre Cronje recently tweeted: “yearn’s goal is long term sustainability and symbiosis. That’s why participating and mutual optimized settings are so important to the ecosystem. When a proposal is made, the goal is not to benefit yearn but to tweak all the systems engaged for the benefit of all.”
The yPool on Curve process is very famous. When a user deposits the tokens they get converted to “yield optimized tokens” known as (yTokens) like as yUSDC, yUSDT, and yDAI. This permits the users to be able to earn not only the usual lending fees but also the trading fees off of the Curve. Thus the yEarn routes the liquidity to different sectors in the DeFi space and therefore the yPools make it possible to earn some of the best lending rates.
High APY for early adopters and all is made possible with true decentralization at Yearn.finance.
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