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Yearn Finance II, or YFII, is a decentralized finance (DeFi) platform that offers yield farming opportunities to users. The platform, which is now known as DFI.Money, acts as an aggregator that automatically puts users' digital assets to work for high-yield profits. YFII is a fork of Yearn Finance (YFI), a decentralized finance platform that is implemented through Yearn Improvement Proposals (YIPs).

When a community votes to make changes in the blockchain protocol, a fork takes place. YFII was created to protect the protocol design from being spoiled by large manipulators when a community decision was rejected in YIP-8. Unlike the earlier protocol at Yearn Finance, YIP-8 proposed a different token emission model, one that is similar to the Bitcoin halving model.

This proposal was the genesis of the YFII platform. According to the Bitcoin halving model, the number of Bitcoins issued to miners is cut in half every four years until all coins have been virtually mined. This model is designed to maintain a scarcity that will stop an endless creation of the asset. Likewise, the YFII platform proposes a weekly halving model, meaning the newly added tokens are reduced to half every seven days to facilitate a fair distribution to the community.

One of the standout offerings on the YFII platform is the vault. The vault is a farming pool aggregator that uses a set of strategy contracts to let traders earn a better APR (annual percentage rate), a measure to represent crypto returns. Traders deposit the token supported by the platform and receive the reward that the strategy farms automatically. The vault offers a decentralized mechanism that lets anyone write strategies and implements the one with the most votes. Additionally, the vault aims to cut down the gas or transaction fee as traders deposit and withdraw the tokens.

Vaults use a proof-of-deposit set of tokens called iTokens. These are interest-bearing tokens that users receive upon depositing funds into vaults. Essentially, proof of deposit serves as a mode of verification between lenders and borrowers. For instance, a deposit of XY into the vault will yield iXY, which is interest bearing. Users do not have to withdraw their principal amount from the vault when they require funds, as they can opt to exchange their iTokens directly. Additionally, these interest-bearing tokens can be used as collateral for debts and staked in the DeFi space.

The YFII token is a community-driven Ethereum-based ERC-20 token. According to the YFII documentation, there were no initial coin offerings (ICOs), pre-mining, or developer team rewards for the token. This community governance token aims to be the key to the diverse DeFi ecosystem's farming yields. As a primary objective, the YFII token seeks to provide liquidity to the pool, the sole method to obtain YFII tokens. Additionally, the YFII community utilizes the token for income allocation and voting in the ecosystem.

YFII was created in July 2020 due to a rejected proposal of erstwhile Yearn.Finance. The community created the platform to protect the idea of its initiator, Andre Cronje, from being manipulated by other traders. The CRV and BAL (crypto tokens) pools opened on July 27 and July 28, 2020, respectively. YFII tokens are created through yield farming on the platform's pools. To participate in yield farming, users can stake either CRV or BAL tokens in the pool, which earns them YFII tokens as a reward. CRV is the governance token of the Curve.fi platform, and BAL is the governance token of the Balancer.

Yearn Finance II (YFII) is a decentralized finance (DeFi) yield farming platform that is designed to allow users to determine the products they want and enjoy the yields. The platform, now known as DFI.Money, acts as an aggregator that automatically puts users' digital assets to work for high-yield profits. It is a fork of Yearn Finance (YFI), which is a decentralized finance platform implemented through Yearn Improvement Proposals (YIPs).

A fork occurs when a community votes to make changes in the blockchain protocol. In this case, Yearn Finance II, or YFII For Innovative Investment, was created to protect the protocol design from being spoiled by whales (big manipulators) when a community decision got rejected in YIP-8. This proposal was the genesis of the YFII platform.

Contrary to the earlier protocol at Yearn Finance, YIP-8 proposed a different token emission model, one that is similar to the Bitcoin halving model. This model is designed to maintain a scarcity that will stop an endless creation of the asset. In the case of YFII, the platform proposes a weekly halving model, meaning the newly added tokens are reduced to half every seven days to facilitate a fair distribution to the community.

YFII's vault is a standout offering for retail traders. The vault is a farming pool aggregator that uses a set of strategy contracts to let traders earn a better APR (annual percentage rate), a measure to represent crypto returns. Traders deposit the token supported by the platform and receive the reward that the strategy farms automatically. The vault offers a decentralized mechanism that lets anyone write strategies and implements the one with the most votes. In addition, the vault aims to cut down the gas or transaction fee as traders deposit and withdraw the tokens.

The platform also uses a proof-of-deposit set of tokens called iTokens. These are interest-bearing tokens that users receive upon depositing funds into vaults. In a general sense, proof of deposit serves as a mode of verification between lenders and borrowers. For instance, a deposit of XY into the vault will yield iXY, which is interest bearing. The user does not have to withdraw their principal amount from the vault when they require funds, as they can opt to exchange their iTokens directly.

The YFII token is a community-driven Ethereum-based ERC-20 token. According to the YFII documentation, there were no ICO, pre-mining, or developer team rewards for the token. This community governance token aims to be the key to the diverse DeFi ecosystem's farming yields. As a primary objective, the YFII token seeks to provide liquidity to the pool, the sole method to obtain YFII tokens. Further, the YFII community utilizes the token for income allocation and voting in the ecosystem.

In conclusion, Yearn Finance II (YFII) is a decentralized finance (DeFi) yield farming platform that is designed to allow users to determine the products they want and enjoy the yields. Its platform, DFI.Money, acts as an aggregator that automatically puts users' digital assets to work for high-yield profits. The platform was created to protect the idea of its initiator, Andre Cronje, from being manipulated by other traders. YFII tokens are created through yield farming, where staking one token into the pool grants another token as a reward. It offers two pools, CRV and BAL, and earns YFII by staking CRV and BAL tokens.