What is Yeti Finance (YETI)? YETI Cryptocurrency Complete Series
Description of What is Yeti Finance (YETI)? YETI Cryptocurrency Complete Series
What is Yeti Finance? What is outstanding about this Lending & Borrowing protocol on Avalanche? Learn more about YETI Token here!
Lending & Borrowing is one of the most important pieces of the DeFi puzzle. On Avalanche, there are two leading projects in this segment, BENQI and Aave, recently, another competitor has joined the battle for market share with many new things. Let's learn more about Yeti Finance and YETI token!
What is Yeti Finance?
Yeti Finance is a decentralized lending protocol with many innovative points deployed on Avalanche, allowing users to use a variety of assets as collateral, lending at 0% interest, helping Users use leverage when farming.
In addition to supporting multiple collaterals to help users unlock liquidity, Yeti Finance has a 2-token mechanism, with a governance token YETI and a stablecoin YUSD.
Special features of Yeti Finance
You can use many different types of assets as collateral. Several types of properties can be used:
- Underlying Assets: WBTC, WETH, WAVAX,...
- Stablecoins: USDC.
- Staked asset: Liquid AVAX (BenQi's sAVAX).
- LP from Trader JOE: WETH-WAVAX,...
- Yield-bearing asset: sJOE.
Most recently, Yeti Finance has partnered with Aave V3 to bring assets deposited on Aave V3 to become collateral on Yeti Finance. Supported Aave V3 assets include: aWAVAX, aWETH, aUSDC, aUSDT, aDAI.
After depositing assets into Yeti, you can still continue to receive rewards from farming or staking , thereby opening up a lot of farming options with different leverage. With assets on Aave too, you deposit DAI, receive aDAI, use aDAI as collateral on Yeti Finance, you still receive APR lending from Aave.
Once you have the above types of collateral, you can use them to borrow Yeti's stablecoin YUSD. YUSD is an over-collateralized stablecoin, for every 1 YUSD minted, 1.1 USD worth of collateral is required.
YUSD can be used to provide liquidity to stablecoin pools on Curve, then stake LP on Yeti to receive a reward of YETI tokens. In addition, you can also stake YUSD directly on the Stability Pool to receive YETI and a little reward when assets are liquidated.
Based on the above characteristics, Yeti Finance offers many leveraged farming opportunities with stablecoins.
For example, with USDT, you can deposit 1000 USDT into Aave, receive aUSDT. Then use 1000 aUSDT as collateral on Yeti Finance, borrow at an LTV rate of about 80 - 90% (for stablecoins), get 900 YUSD. Next, swap 900 YUSD to USDT via Curve Finance, then continue to deposit 900 USDT into Aave with 90% LTV.
You can repeat the above steps to be able to farm with about 10.5x leverage, with a base APY of 4.77% on Aave, you will get a total APY of about 4x%. Yeti Finance stipulates a minimum collateral ratio of 105%, that is, when the price of YUSD stays the same, the price of aUSDT drops to 0.95, you will be liquidated.
Yeti Finance has a lending mechanism similar to the Cross Margin form that you often see on the Binance exchange , this allows you to use the whole portfolio as collateral, not an individual asset. which helps to reduce the risk of asset liquidation.
Yeti Finance's borrowing interest rate is 0%, which means that the project does not collect or accumulate any interest when you borrow properties on this platform, instead, a deposit fee is calculated once when you deposit. assets into Yeti Finance as colleteral.
With all of the above, after a week of launch, Yeti Finance has reached $850 million TVL, becoming the 6th largest protocol on Avalanche.
Benefits of holding YETI Token
YETI is the governance token of the project, however that is in the future, currently the governance and voting functions are still in development. YETI can be used to add liquidity to the pools on Trader Joe, or stake and receive veYETI, then veYETI can be used for the following main purposes:
- Increased rewards for liquidity providers of YUSD pools.
- Stability Pool bonus increased.
- Reduced auto-compounding fees.
- Access to special strategies.
If you unstake YETI, you will lose all of your veYETI, similar to vePTP and veJOE. There may also be parties racing to accumulate veYETI to create YETI Wars in the future.
Project team, investors, partners
Project team
The project team is quite anonymous and only leaves information on the Twitter page as well as a brief description of the members' experience and skills. Most of the team is described as people who:
- Been involved in the crypto market since 2016.
- Studied at the top technology companies, computer science in the US.
- Experienced working at big companies including Google.
Investors
Yeti Finance's early investors include: Avalanche Foundation, Trader Joe, Genesis Block Ventures, and several founding members of BENQI (Hansen, JD, Dan).
Partner
The project has cooperated with many other parties in the Avalanche ecosystem such as Trader Joe, BENQI, Aave, Curve,...
Roadmaps & Updates
The project has not announced a specific Roadmap, based on the update on Twitter, Yeti Finance is preparing the following updates:
- Extended utility for veYETI.
- Integrate more collateral from other projects such as Platypus Finance, new types of LP tokens from Trader JOE,...
Detailed information about YETI Token
Key Metrics YETI Token
- Token Name: Yeti Finance Token
- Ticker: YETI
- Blockchain: Avalanche
- Token Standard: ARC-20
- Contract: 0x77777777777d4554c39223C354A05825b2E8Faa3
- Token Type: Governance
- Total Supply: 500,000,000 YETI
- Circulating Supply: 12,238,733 YETI
YETI Token Allocation
YETI tokens are allocated as follows:
- Community Incentives: Incentive for liquidity mining programs, long-term liquidity providers, grant program,...
- Current and Future Team: Lock for 3 months then vesting for 3 years, the allocation will be divided according to the rank of team members.
- Foundation: Used to pay fees arising from its establishment such as audit contract fees, product development fees, partnerships,...
- Future Investors: For future Yeti Finance investors.
- Strategic Investors: The lock and unlock time is similar to the team.
YETI Token Sale
The project does not hold any token sale.
YETI Token Release Schedule
Initial 5 months need boostrap for protocol so more YETI will be emitted, after that, every month 5,000,000 YETI will be released to the community. 50% of the total supply of YETI will be issued as follows:
How to earn and own YETI Token
There are 2 main ways to own YETI Token.
Farming YETI
- Staking YUSD into the Stability Pool.
- Provide liquidity for YUSD : AVAX pool on Trader Joe.
- Provide liquidity for YETI : AVAX pool on Trader Joe.
- Provide liquidity for YUSD on Curve.
Staking YETI to get more YETI coming in the future
Swap YETI
You can swap YETI on Trader Joe via the YETI-AVAX pool.
Wallet & Exchange YETI Token
YETI token storage wallet
You can store YETI tokens at Coin98 Super App with the following simple steps:
Step 1: At the main interface, select Receive.
Step 2: Enter Yeti Finance in the search box.
Step 3: Copy the Avalanche wallet address and send the YETI token to this address.
Exchange YETI token
Currently, YETI can be traded on 2 exchanges, Trader Joe (DEX) and Bkex (CEX).
Yeti Finance's information channels
You can follow the following Yeti Finance channels to not miss updates:
- Website: https://yeti.finance/
- Twitter: https://twitter.com/YetiFinance
- Medium: https://blog.yetifinance.co/
- Discord: https://discord.com/invite/yetifinance
- Telegram: https://t.me/yetifinance
summary
Above is the latest information about Yeti Finance and YETI token, hopefully the article will help to understand the project information. Most likely, this will be a protocol reaching 1 billion TVL on Avalanche in the near future.
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