What is Dify.Finance?
Yearn Finance II (YFII), formerly known as DFI.Money, is a decentralized finance (DeFi) platform that operates as an aggregator, putting users’ digital assets to work for high-yield profits. YFII was formed as a fork of Yearn Finance (YFI) in response to a rejected proposal (YIP-8) in the YFI community. The proposal aimed to change the token emission model, moving away from the original protocol to one similar to the Bitcoin halving model. The idea behind this model is to maintain scarcity and prevent an endless creation of the asset.
YFII's vault is a standout offering for retail traders, as it offers a decentralized mechanism to earn a better annual percentage rate (APR) through the use of strategy contracts. Traders deposit their supported tokens and receive the rewards automatically farmed by the strategy. The vault uses proof-of-deposit tokens called iTokens, which are interest-bearing tokens received upon depositing funds. These tokens can be used as collateral for debts, staked in the DeFi space, or directly exchanged without the need to withdraw the principal amount.
The YFII token is a community-driven Ethereum-based ERC-20 token, with no ICO, pre-mining, or developer team rewards. The YFII community uses the token for income allocation, voting in the ecosystem, and providing liquidity to the pool, the sole method of obtaining YFII tokens.
YFII was created in July 2020 after a rejected proposal in Yearn Finance. The community aimed to protect the original idea of its initiator, Andre Cronje, from being manipulated by other traders. YFII tokens are created through yield farming in the platform's pools, where staking one token earns another token as a reward. The YFII platform offers two pools, earning YFII by staking either CRV or BAL tokens. CRV is the governance token of the Curve.fi platform, while BAL is the governance token of the Balancer platform. Providing liquidity to either pool earns YFII tokens.
Yearn Finance II, also known as YFII, is a decentralized finance (DeFi) platform that allows users to earn high-yield profits from their digital assets. The platform acts as an aggregator, automatically putting users’ assets to work for maximum returns. YFII was created as a fork of Yearn Finance (YFI) after a rejected proposal in the YFI community, known as YIP-8, proposed a new token emission model similar to the Bitcoin halving model. This proposal was the basis for the creation of YFII, which uses a weekly halving model to ensure a fair distribution of tokens to the community.
YFII’s standout offering is the vault, which is a farming pool aggregator that uses strategy contracts to help traders earn higher APRs. The vault is decentralized, allowing anyone to write strategies and vote on the best one. Additionally, the vault aims to reduce gas or transaction fees for users who deposit and withdraw tokens.
iTokens, which are interest-bearing tokens, are used in the vault as a proof-of-deposit. These tokens serve as a verification method between lenders and borrowers, and can also be used as collateral for debts and staked in the DeFi space. The YFII token is a community-governance token that was created without any ICO, pre-mining, or developer rewards. The YFII token is the key to accessing the diverse DeFi ecosystem and provides liquidity to the pool, as well as income allocation and voting in the ecosystem.
YFII was created in July 2020 after a rejected proposal in the Yearn.Finance community. The platform was created to protect the original vision of its creator, Andre Cronje, from being manipulated by other traders. YFII tokens are created through yield farming in the CRV and BAL pools, where staking tokens in the pool earns YFII tokens. By providing liquidity to these pools using either CRV or BAL tokens, users can earn YFII tokens.
The investment information, comments, and recommendations provided here do not fall under the scope of investment consulting. Therefore, making an investment decision based solely on the information and comments provided here may not yield results that meet your expectations.
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