The Opportunity to Insure your DeFi project and investment with YIF Yearn Insurance Farming

2개월 전

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DeFi is shaping into a high stakes game

Defi is not for the weak hearted the stakes are high and so DeFi is turning into a high risk high reward investment.

This is the result of the fact that there are too many projects on offer and new projects are launched everyday.

What this means for the common Joe is the fact that your investment may be doing well in one project and then you see another project opportunity coming your way.

As a result one liquidates the holding and moves to the new project.

However things may not turn out the way they were projected or due to operational loopholes the project may go unprofitable and Joe may end up making a loss.

Long story short we as investors see what appears to be a good investment and invest and suddenly out of no where the good investment turns into a loss.

The sudden loss of value feels like pulling the rug from under the feet.
What if there was a mechanism to protect you from a loss?
This is what YIF.Finance aims to achieve.

YIF Finance the platform where everyone can

  • Stake
  • Farm and most importantly
  • Get an Insurance cover for our DeFi investment

To facilitate the functioning of this platform a specially designed token is required and this specialized token is the $YIF token.

The $YIF Token

$YIF is the governance token of the YIF Finance platform and it would empower the Yearn Insurance Farming platform in such a way that enables the users to become a part of the ecosystem and have a say in the future development and governance if they choose to so.

  • For starters holding the $YIF token gives the holder the right to vote and have a say in governance and the future course of the project.

Is the YIF project token a ready candidate to Moon ?

When most investors look for a project they want to want to invest in is a new or different type of project which brings some real world value and solves a real world problem.

So does a project that provides your investment an insurance cover so that your investment does not fall and get hurt can sure look as an interesting concept for investment.

So how does it work?

$YIF token is a limited supply token and to understand the functioning of the token one has to understand how the project would work.

The Insured Swap

Different projects have implemented different protocols and YIF introduces the concept of "Insured Swap" This is a first of its kind protocol.
Here a pool of limited supply is maintained.

The pool creator would offer a swap
This swap is for a fixed ratio or a dynamic ratio.
The amount raised goes to the insurance pool. Here it gets locked for a definite period of time.
This insurance pool is to support the early investors.

Think of a situation of a smart contract failure. In such a case they can claim compensation from the pool.

By design the insurance pool has a minimum amount to be locked however the pool operator has the option to lock a higher amount and this would increase the level of trust of those investors in that pool.
The theory is that increase trust = Pulls more investors
The locked amount gives the pool creator an additional yield with high APY.
This yield can be used by the pool creator to fund their project.
Example Suppose the pool creator wants to swap 10000 tokens for 1000 ETH @0.1 ETH per token.

As the swap gets completed 1000 ETH are raised.
50% of this that is 500 ETH are locked in the insurance pool.

The rest of the 500 ETH is available to the pool creator.
The locked fund of 500 ETH acts as the insurance for the early investor.

So if the smart contract were to fail the investors can claim compensation from this insurance pool.

For the pool creator this locked fund provides an yield which is additional income and which can be used for the project.

This works as an incentive for the pool operator.
This provision makes it an attractive opportunity for the investors as well as the developers.

The Yield farming Pool

The YIF project would have a number of pools where users can earn by way of staking stable coins and maximum yields are generated by a combination of staking and arbitrage.
The earning are paid in $YIF tokens.

The Insurance farming pool

The YIF would provide an insurance for other smart contracts as well.
Anyone would have the option to purchase an insurance cover for the duration and the amount that they wish to choose.

An investor contributing to the pool would get a reward.
The reward for contributing to the pool would be paid in $YIF tokens.

This amount would come from the insurance fee that is paid by those who buy the insurance.

The YIF Vault

This is a governance vault. The idea behind the governance vault is that a YIF token holder can stake their tokens in the vault.
The staking reward is paid out in YIF tokens.

The staked tokens would be used to farm other protocols for yield.
Here a part of the profits would be used to purchase the $YIF tokens.
Some of purchased tokens would go to the farmers, the insurance pool.

$YIF token Matics

Total Supply: 190000
Initial circulation: 100000
Pre-sale amount :90000
Pre-sale price: 1 ETH/90 YIF
Hard cap: 1000 ETH
Uniswap Liquidity: 10000 YIF
Initial Uniswap Listing Price: 1 ETH/33.3 YIF
Team: NONE
Marketing: NONE


Presale :23 sep 2020 live on
ETH used in presale will be used for Uniswap liquidity and for the development and expansion of the YIF protocol.
The remaining YIF tokens would be distributed gradually as yield rewards in the farming pool

The Project roadmap


For more information refer the following links below



Please do your own due diligence and research before making an investment.
The purpose of this post is for education purpose only. It is not financial advice.

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Basically, this operates as insurance in case something bad happens?

Hello @thetimetravelerz
Every day new projects, also pseudo-projects, emerge that we have no idea how reliable they will be. The possibility that we can in some way back up our money with insurance, makes us see it as exhaustive that for people it is already known, i.e. insurance. So it's an advance. It's up to us to see how it develops.
Thank you for the information.

It really look like a great project having the prospect to succeed but how do the staking really works