What is Yeti Finance? Yeti Finance a protocol get a loan (borrowing) Decentralized built on Avalanche, allows users to borrow up to 11x against LP tokens, staked assets like Liquid AVAX, and underlying assets like WETH – and over 20x against other types of stablecoins. So what makes Yeti Finance stand out? Let’s Weakhand let’s find out.
To understand more about Yeti Finance, please read the articles below:
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- NFT Lending: Model, Efficiency & Opportunity
What is Yeti Finance?
Overview of Yeti Finance
Yeti Finance is a lending protocol (borrowing) Decentralization allows users to borrow up to 21 times their entire asset portfolio on Avalanche at 0% interest. Specifically:
- Allows users to borrow up to 11x against LP tokens, staked assets like Liquid AVAX, and underlying assets like WETH.
- Allow users to borrow more than 20 times for stablecoins.
Features of Yeti Finance
- Borrow: Users can borrow YUSD when pledging assets to the protocol.
- Farm: Users deposit assets into Pools and receive Rewards.
- Stake: Users stake YETI tokens and receive veYETI.
Highlights of Yeti Finance
Yeti Finance is decentralized and completely decentralized.
Yeti Finance will support loans for:
- Base Level Assets (WAVAX, WETH.e, WBTC.e, LINK.e, JOE)
- Stablecoin: USDC
- Staked assets: sJOE
- LP tokens: Trader Joe and Curve
- Collateral on loan marketplaces Benqi, Aave and Banker Joe,…
- Assets on Aave V3: aWAVAX, aWETH, aUSDC, aUSDT, aDAI.
Yeti Finance also offers cross margin feature, users on Yeti Finance can open a borrowing position across their entire portfolio instead of just one asset. This significantly reduces the risk of liquidation due to asset volatility and incidents quickly.
YUSD is stablecoin pegged in USD used to pay loans on the Yeti Finance protocol and can be redeemed at face value for the underlying collateral at any time.
Yeti Finance users can create an inventory (trove) by depositing collateral and borrowing stablecoin YUSD.
If the borrower’s collateral decreases in value, it increases risk, causing the collateral warehouse to be liquidated.
Personal mortgage ratio (ICR): The borrower suffers Liquidate collateral if the warehouse’s collateral ratio is below 110%.
Total collateral ratio (TCR): The borrower is liquidated if the Total Collateral Ratio (TCR) drops below 150%.
The borrower’s collateral is liquidated if AICR (Adjusted personal collateral ratio) of the borrower is less than the TCR.
There are two system modes, Normal mode and Recovery mode. HThe system will remain in normal mode most of the time. Recovery mode is a special case in case collateral values plummet across the system.
If the borrower keeps My ICR is over 110% and AICR over 150% the borrower’s inventory can never be liquidated in normal mode or recovery mode.
If the borrower’s stablecoin inventory is at ICR > 115%, the borrower will have low liquidation risk unless the stablecoin collateral depreciates, in both normal mode and recovery mode.
Yeti Finance Project Roadmap
Updating
Core Team
Updating
Investor/Partner
Partners who have provided financial and non-financial support to Yeti Finance from the beginning: Avalanche Foundation, GBV Capital, Trader Joe and BENQI Founders (Hansen, JD, Dan)
Tokenomics
Information about Yeti Finance Token
- Token Name: Yeti Finance
- Code: YETI
- Blockchain: Avalanche
- Contract: 0x77777777777d4554c39223C354A05825b2E8Faa3
- Total supply: 500,000,000 YETI
Token Allocation
- Community: 50%
- Core & Future Team: 25%
- Foundation: 15%
- Stragetic Partners: 1.17%
- Future Strategic Partners: 8.83%
Token Release
A higher emission rate for the first 5 months and then a constant emission rate for the next four years followed by 5,000,000 YETI emitted per month.
- Community😛Allocation of 70% to the protocol’s 6-month stablecoin liquidity, 20% to the stablecoin pool, and 10% to the Trader Joe’s pool.
- Current and Future Team: Locked for 3 months, then distributed linearly over 3 years.
- Strategic Partners: 3-month lock, then distributed linearly over 3 years.
- Future Strategic Partners: All future partners will have vesting schedules. If not used, this 9% will be divided between the Foundation and Community Incentive groups.
Token Use Case
YETI is the Yeti Finance protocol token. In the future, YETI will convert into a governance token.
YETI can be used to add liquidity to pools on Trader Joe, or stake and receive veYETI.
The veYETI model is designed to incentivize users to accumulate and stake YETI tokens through providing real utility to farmers. farmers and protocol users. When a user cancels YETI, the veYETI balance will be burned.
veYETI can be used for three purposes:
- Increased $YETI rewards for stakers of YUSD pools.
- Bet veYETI get YETI
- Access exceptional strategies through the collateral portal (GLP)
Exchanges
Currently YETI tokens are being traded on exchanges: Trader Joe, BKEX,…
Yeti Finance Project Information Channel
- Website: https://yeti.finance/
- Twitter: https://twitter.com/YetiFinance
- Discord:
Summary
Yeti Finance is an innovative decentralized borrowing protocol built on Avalanche, allowing users to use many different types of assets as collateral and loans at 0% interest, helping users use leverage when farming. .
In addition to supporting multiple collateral assets to help users unlock liquidity, Yeti Finance has a 2-token mechanism, with a governance token YETI and a stablecoin YUSD.
Hopefully this article provides information to readers about the Yeti Finance project.