Yearn Finance is a financial aggregator platform based on the Ethereum blockchain network. The protocol, which began operating in 2020, was built by Andre Cronje with the aim of being a solution in optimizing the return or returns on crypto assets owned by its users.
Yearn Finance itself is included in the DeFi platform protocol, where users can store and pledge their ERC20 tokens or what can be called their YFI tokens. Then, in return, the user will receive daily interest.
This project allows its users to no longer need to open multiple DeFi sites to make a profit, as Yearn Finance can solve this problem by integrating many different blockchain protocols. So, users only need to stake their token once with Yearn Finance to gain access to the many interest-earning blockchain protocols.
So why did YFI make this possible? This is because YFI has yToken which is designed as a token that connects one blockchain protocol to another. It also aims to compare which tokens generate the highest return by integrating the yields of the various DeFi tokens available automatically.
For example, when a user stores a token through Yearn Finance, the token will then be converted into yToken, such as yUSDC, yUSDT, and yDAI. From this yToken, users will get results from loan fees and trading fees for the selected protocol. This system allows Yearn Finance to generate annual returns with higher returns to its users.
The YFI token is an ERC-20 token that regulates this yearn.finance ecosystem. The purpose of these tokens is not to be used as a medium of exchange within the protocol, but as a vote when the protocol engages in consensus. This YFI token price has also managed to surpass the value of Bitcoin as the crypto asset that has the highest price today!
There are 5 main services in the yearn.finance protocol since its inception, namely Earn, Zap, Vaults, Yinsure.Finance, and stableCredit. Its founder, Andre Cronje, does not focus on the value of the YFI token alone. Instead, he hopes that Yearn Finance can be more widely adopted and can make it easier to use it in managing their crypto assets.
Until this video was made, there are around 29 thousand YFI tokens that have been circulating in the world and are planned to reach up to 30 thousand tokens. YFI tokens can be obtained through the Yearn Finance protocol, however, Indodax is here as a place for traders who want to have Yearn Finance easily and quickly. Want to have YFI? Come on, buy now at indodax.com, and don’t forget to subscribe to our YouTube channel!