An Introduction Of YAM in Project DeFi
Ever wondered what the so-called 'Supply Token' or 'Crypto Asset' is about? Perhaps you've heard that tokens supply with the YAM project varies with slim margins following market conditions? This article is a detailed read on the need-to-know on the YAM protocol in decentralized finance. Here's a complete guide to help you fully grasp the operations of this protocol and utilize its features.
Background Of The YAM Protocol
Since the launch of the YAM project on August 20, 2020, the initiative has thrived in the user community; showing significant growth. Interestingly, this project started solo by five folks named: Dan Elitzer, Will Prince, Trent Elmore, Clinton Bembry, Brock Elmore. These pioneers did not only establish the project but also crafted out the structure to which YAM runs on today.
Just after launch, the YAM protocol made some record-breaking crashing of DeFi records. We believed the entire industry was in a standstill for the first week of YAM; after recording a $600m revenue raise in less than 36hrs of launch. At first, people concluded that a lot of work went into the launch and time was going to tell how solid the project was. Undoubtedly, the YAM project still makes waves in decentralized finance today.
The YAM Project: Definition & Protocol Features
What is YAM Protocol?
To the reason why you're here; What is YAM Protocol? The YAM project is a collection of the most intriguing initiatives in the digital money market. With its simplified elastic supply token which aims for a flat $1 per YAM rate, users now have better alternatives. The stable mechanics of this protocol is run on elastic supply tokens like Ampleforth. YAM project is a product of DeFi natives with beneficial features.
One striking benefits of YAM is the 10% cut from every supply potentially used for purchasing other lucrative USD stablecoins. Beneficiaries of the yCRV can now buy USD stablecoins that they believe could fetch them better profit. yCRV is always channeled to the YAM treasury. Yes, it's safe and every fragment is being accounted for at all times. Unlike what you've heard, the yCRV has secured several YAM recipients' investments with other USD stablecoins.
Protocol Features Of YAM
Why should anyone be interested in the YAM protocol? Even with facts and testimonials out there, you should get yourself informed and up-to-date with its features. Here's a quick run through the extensive features offered by YAM;
1.yCRV YAM tokens are completely secured with the governable treasury
2.To achieve a decentralized control network, the project offers an all-time on-chain surveillance system
3.YAM offers one of the best price stability network due to its elastic supply chain
4.In providing incentives and promotional offers, the YAM project operates with total transparency
YAM Token: How Does YAM Protocol Work?
This protocol operates using the compound governance system. The compound governance module is powered by an algorithm responsible for monitoring updates on YAM. For simplicity purpose and easy access, this module ensures that these updates are carried out on-chain. Of course, this is made possible by the data from community voting. The compound governance module makes these updates in real-time with data collated from users' votes.
At first, every token had a zero value which allows uniformity between every user. However, what we had after the launch was a transfer of ownership in the governance deal which is time-bound. Now, YAM holders control the value of YAM tokens following the governance contract drafted during the ownership switch.
The zero value ground rules still hold even after launch. Every token has to be developed from scratch assuming zero value. Since the YAM token doesn't come with the benefits attached to most stablecoins, it is not advisable under any market condition to own $YAM over a long period. Clearly, $YAM still thrives on speculations, not concrete value. So, it'd be unwise to make the token your synthetic asset at this time or the nearest future.
Every token in this decentralized finance network uses yCRV which is estimated to approximately $1 as a reserved digital currency. The supply expansions in this project are often called the "Inflating Rebase". Just like a few DeFi tokens in today's market, a fraction of YAM tokens are minted and utilized when financing the treasury. When the treasury has accumulated amounts of these tokens, its ownership is then transferred to YAM holders.
Where To Buy YAM Tokens?
YAM tokens can be easily accessed from multiple stake entities. For now, there are just a few trusted entities to purchase your tokens. They are listed;
Earning coins through owning YAM tokens is as simple as it gets on this project. As a YAM holder with tokens with the above staking pools-- you can get real YAM coins by staking the tokens into the front-end of YAM. Also, after the first distribution phase, the protocol offers incentives to YAM holders through Uniswap pools. With these incentives, users now get the chance to earn YAM tokens as bonuses.
To purchase the Tokens, you'll need a migration contract which would be drafted by the YAM token exchanger. When the migration contract is completed, YAM holders now have access to start minting YAMv2 tokens. Minting YAMv2 tokens is as easy as completing a mining task within a stipulated deadline. As expected, you get a direct equivalent of YAM tokens credited to your balance for the amount of YAMv2 mined.
From observations, one of the major operations of the YAM project is the governance module and the functionality transparency of the YAM protocol. The fact that we get to check and access incentive designs, YAM treasury updates, inflation, and Oracle usage makes the protocol user-friendly. You can also review updated source codes on platforms like GitHub and Etherscan without contract screenings.
Yes, YAM protocol is pretty new to the market and only offers a series of speculations. However, the security of these tokens has been verified as well as its sustainability. Also, the transparency it offers aside other beneficial features is more reason to trust the protocol. Get investing in those YAM tokens today; to get your coins ready for a lifetime investment.
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