Earlier this week, people were waiting on 1 YFI to be equal to 1 BTC.
And the weekend isn’t even here, and already YFI’s value has surpassed that of Bitcoin. As we said, it is only a matter of time before YFI hit bitcoin’s all-time high $20,000 before BTC does.
This week, while the largest digital asset with a market cap of $217.5 billion went downwards, breaking $12,000 level only to crash down to $11,650.
YFI, which has a market cap of $440 million, moved in the exact opposite direction. This past weekend, YFI was trading around $4,000, and today it jumped over 40% to its all-time high of $14,861, as per CoinGecko.
At the time of writing, Bitcoin has been trading around $11,830, while YFI is sitting just inches away from $15,000.
“Imagine buying Bitcoin a month ago at $2k and it shooting up to its current $12k value. Everyone would die for that opportunity. Well, YFI just did that,” noted trader Josh Rager.
You going to listen to me next time? 1 $YFI > 1 #bitcoin.
— Arthur Hayes (@CryptoHayes) August 20, 2020
In the past month, this community loved DeFi token, which started as a zero value token with no pre-mine has achieved astronomical returns of 42,695%.
Even more interesting is the fact that this increase in the coin’s value is also reflective of the growth of the platform, Year.Finance, is seeing.
The total value locked in this money-making protocol is also skyrocketing, nearing $700 million, up from $9.3 million about a month back, as per DeFi Pulse.
🥳 $824,666,812 TVL
— yearn.finance (@iearnfinance) August 20, 2020
Yearn.Finance has also launched a YFI vault, yVault today, which, within 5 hours of going live, bought $7,252 worth of YFI off the market. However, the team cautioned, “highly unsustainable APY of 71.24% currently, do not expect this to maintain.”
These yVaults automates all the opportunities that generate yield and provide the highest yield available — in the world of Defi, the yield is achieved by providing the asset for lending, LP, or farming strategies.
https://t.co/Tm4Su0BzFk updated
New vault added for YFI
Disclaimers
– 0.5% withdrawal fee
– Do not risk your fundsyVault initialized at block 10695309, will provide APR measurement over next 24 hours pic.twitter.com/wgrOgU9w1G
— yearn.finance (@iearnfinance) August 20, 2020
YFI is the governance token of the Yearn.Finance that manages all the fees generated by the system. However, it is not needed to achieve the yield, and neither is YFI earned by providing liquidity. With a limited 30,000 YFI supply, as decided by the community, “there is no more YFI available.”
This DeFi protocol is also working on tokenizing insurance with informal proposals for splitting YFI into a 10: 1 ratio as well.
