{"id":549,"date":"2021-05-27T15:30:18","date_gmt":"2021-05-27T15:30:18","guid":{"rendered":"https:\/\/deficoins.io\/?page_id=549"},"modified":"2021-05-27T15:32:59","modified_gmt":"2021-05-27T15:32:59","slug":"yearn-finance-review","status":"publish","type":"page","link":"https:\/\/deficoins.io\/review\/yearn-finance","title":{"rendered":"Yearn Finance Review: The Most Popular DeFi Coin Explored"},"content":{"rendered":"
If you’ve been a DeFi enthusiast, you may have heard about Yearn.Finance (YFI). If you have not used the platform, you may have read about it on crypto news. The platform is one of the popular and profitable DeFi platforms that provide a good amount of returns to Decentralized Finance investors.<\/p>\n
It makes lending and trading activities easy and autonomous. The best part lies in the incentives that users take home from the platform. Also, Yearn.Finance keeps users autonomous and free from third-party interference in their financial transactions.<\/p>\n
So, if you don’t know about YFI or haven\u2019t had the chance to explore it, this review provides you with the opportunity to know everything about it. This article is a complete review for you to understand what makes Yearn.finance unique and so popular in the DeFi space.<\/p>\n
Contents<\/p>
Yearn.Finance is one of the decentralized projects running on the Ethereum blockchain. It is a platform that facilitates lending aggregation, insurance, and yield generation for users. Yearn.Finance is completely decentralized and users can transact without control or limitations from intermediaries.<\/p>\n
This DeFi project depends on its native coin holders for its governance. It also relies on independent developers to maintain and support its operations.<\/p>\n
Every decision-making process on Yearn.Finance lies in the hands of YFI holders. So, to say that this protocol is a good interpretation of decentralization, is not an understatement.<\/p>\n
A special characteristic of this protocol is to maximize the APY (Annual Percentage Yields) of crypto which users deposit into DeFi.<\/p>\n
Andre Cronje created Yearn.Finance and released the platform in the middle of 2020. The idea to create this protocol came to him during his work with Aave<\/a> and Curve<\/a> on iEar protocol. From the launch of YFI until now, its developers’ have displayed a high level of confidence about the protocol.<\/p>\n Cronje deposited the first funds ever to appear on the platform. His idea stemmed from the fact that many DeFi protocols were too complex for a layman to understand and utilize. So, he decided to create a platform that DeFi enthusiasts can use without complaints.<\/p>\n It may have started small, but the protocol has recorded a whopping $1billion plus at one particular time. According to Cronje\u2019s plans, Yearn.Finance would become the safest protocol that everyone can trust.<\/p>\n There are many features of Yearn.Finance that you should know to understand what you gain by using the protocol. The developers keep adding more and more functionalities to the projects to ensure an enhanced user experience.<\/p>\n Some of the core features of the protocol include:<\/p>\n 1.\u00a0\u00a0 <\/strong>ytrade.Finance \u00a0<\/strong><\/p>\n This is one of the features of Yearn that facilitate shorting of cryptocurrencies. You can choose to short or long stablecoins that have 1000x leverage. Crypto shorting means to sell your crypto with the intention to buy it back when the price falls.<\/p>\n Long trades involve buying crypto and expecting to sell it higher when the price rises. All these are possible on Yearn.Finance through the ytrade.Finance feature.<\/p>\n 2.\u00a0\u00a0 <\/strong>yliquidate.Finance <\/strong><\/p>\n It is a feature that supports flash loans in the money market, Aave. Flash loans help users to liquidate their funds faster and efficiently whenever they need them. These loan transactions take place without the need for collateral since they\u2019re expected to be paid back in the same transaction block.<\/p>\n 3.\u00a0\u00a0 <\/strong>yswap.Finance<\/strong><\/p>\n Many DeFi enthusiasts enjoy the fact that they can swap between crypto without any hassle. With this feature, Yearn Finance creates a platform where its users can deposit their funds and also swap them from one protocol to another.<\/p>\n Crypto swapping is the simplest method of exchanging crypto for other cryptos on one particular wallet. This method is free of transaction fees and it is a faster way of settling payments or debts.<\/p>\n 4.\u00a0\u00a0 <\/strong>iborrow.Finance\u00a0 <\/strong><\/p>\n This feature tokenizes users\u2019 debts in another DeFi protocol through Aave. After tokenizing the debt, a user can utilize it in other protocols thereby creating a new liquidity stream.<\/p>\n Tokenizing debt makes it possible to reduce the time for long settlements. Also, it removes the manual processes that drag down the issuance. By tokenizing the debts, users can automate the process instead of bearing the delays.<\/p>\n 5.\u00a0\u00a0 <\/strong>YFI Token <\/strong><\/p>\n This is the governance token for the protocol. It facilitates almost all the processes that take place on Yearn.Finance everything about how the protocol operates and runs relies on YFI token holders. The most interesting thing about the token is that the total supply is only 30,000 YFI tokens.<\/p>\nFeatures of Yearn.Finance<\/strong><\/span><\/h2>\n