Yearn Finance Promises Higher Returns
The current boom in the decentralized finance (DeFi) market does not seem to end anytime soon as more new protocols and projects have been announced, drawing even more attention from crypto traders and investors. There have been quite a few bullish statements about Yearn Finance’s yETH, one of the new products that looks promising for Ethereum (ETH) holders, especially in yield farming .
yETH Promises Higher Interest
Announced Monday, yETH is a new efficient yield farming product launched by Yearn Finance. The DeFi protocol claims that the new product will enable Ethereum holders to earn the best yields available on their coins by staking their ETH assets. Yearn Finance yETH is said to be a “vault”, meaning the returns will be earned together by users.
Reports indicate that the development of Yearn Finance yETH has been accepted and voted on by community members. A few statements from industry analysts regarding yETH are quite optimistic and expect most products to attract more Ethereum tokens. This means that more ETH will be locked in DeFi protocols.
Alex Saunders, founder of Nugget News, says the following about Yearn Finance:
“Anyone who has ETH can automatically gain the best efficiency thanks to yETH HODLing. It may also mean that other protocols have difficulty competing with Ethereum when offering staking rewards. “
More ETH Can Be Locked In On DeFi
More people constantly crypto-currency savings by earning money as it ran from the defense area, Yearner Finance yeth’n the ‘high yield’ emergence with the tag probably will cause more ETH crash in the product.
I'm long both and I'm fucking excited.
— Bluntz (@SmartContracter) August 31, 2020
Commenting on this issue, a trader noted:
“The massive amount of ETH that will be locked in this @iearnfinance YETH vault will be astronomical, not only for the $ yfi but also for the $ eth itself.”
But some people have bad feelings that the product could cause a supply-side liquidity shock for Ethereum. For example, Anthony Sassano of Set Protocol states:
“@Iearnfinance’s YETH vault will be a black hole for ETH. So when ETH comes into play, it will be very difficult to get out. “