YFDAI Finance
8 min readSep 14, 2020


The next evolution in DeFi: YFDAI Finance

YFDAI is a new token offering that intends to maximize the potential of blockchain technology to revolutionize the availability and access to banking services to the masses. By removing the middle men from financial transactions YFDAI is able to pass the earnings the banks would usually capture on to the token holders in a sustainable trustless and decentralized manner. On the surface, many who are unfamiliar with blockchain technology see cryptocurrency and the DeFi craze as simply the next “hot investment” to get in on, like the “dot.com” bubble. Others are keen enough to see the potential behind Satoshi Nakamoto’s vision coming to fruition. YFDAI’s vision is to reduce the fraud in the new token issuance market with its Safeswap exchange and Launchpad services and finally achieve the manifestation of true decentralization by restoring power to the people through access to banking services like lending, borrowing, and saving and earning respectable returns on their investment.

The cryptocurrency space has seen many trends and fads come and go over the years. While many of the differing cryptocurrency models and projects did catch on in initial popularity, few were able to stay the course and become a daily “necessity” for everyday users. A new opportunity has brought a new era of decentralization to blockchain and cryptocurrency utility, in the form of Decentralized Finance (DeFi). Now most banking services are becoming available on the blockchain. The DeFi movement in general and the YFDAI protocol in particular promises to disrupt the existing monopoly on traditional financial products held by the legacy economy banking cartel.

DeFi — The Next Frontier For Decentralization

The DeFi market has proven its use case by generating astounding growth over the past few months. DeFi services will soon be the next “necessary app” for blockchain users with decentralization of traditional banking functions like lending, borrowing and saving.

YFDAI Finance — The next evolution in DeFi

Being able to access banking services that were originally only offered by centralized financial institutions is YFDAI’s main use case. Basically anyone with crypto and an internet connection can now have access to banking services. YFDAI Finance is a fully audited protocol packed with a plethora of features built with the user in mind. With YFDAI Finance, users will be able to securely borrow, lend, stake, and farm with ease and confidence.

Why YFDAI Finance?

YFDAI Finance has many perks which make it an attractive DeFi protocol including:

1. Accessibility- The YFDAI protocol is structured in a way that allows for multiple pools and staking options to be offered over a longer period of time. With an easy-to-use user interface coupled with detailed instructions, YFDAI promises a delightful and intuitive user experience.

2. Security- Project security is one of the primary goals for the YFDAI protocol. To ensure a secure protocol, YFDAI leverages its unique “Launchpad Management” system where tokens are secured through a series of time locked smart contracts. The YFDAI ERC20 Smart contract has been audited and fully certified by the Blockchain Consilium, a renowned blockchain auditing firm to further ensure the highest level of security.

3. Intuitive Governance Model- A flourishing community is vital to the YFDAI platform. To facilitate a healthy ecosystem, YFDAI incorporates a unique on-chain voting mechanism that will introduce flexible voting parameters. This governance model is a first of its kind and allows for cost free voting that’s publicly verifiable by YFDAI holders.

4. YFDAI Trustless Protocol- YFDAI is one of the few DeFi protocols that stores tokens in fully audited, time locked smart contracts to eliminate all possible smart contract exploits. The developer’s tokens are also locked up in a 1 year vesting smart contract so the investor can be certain no exit scam is possible.

5. Staking- The YFDAI Finance protocol allows users to stake YFDAI to earn a generous ROI of either 72% annually, 6% per month, or 0.2% daily on their stake amount.

On the surface it may appear that many yield farming pools offer a seemingly higher APR return, however, these rewards are like an “introductory APR rate” that are usually diminished over time due to an increase in token circulation from minting which debases the existing tokens. With this factor in mind, many of these platforms will typically yield only 45% per year (net). Through YFDAI, users will enjoy the benefits of having a fixed return rate on their stake of YFDAI tokens at the rate of .2% per day (72% annually / 6% monthly). These returns are guaranteed to be sustainable and delivered by virtue of YFDAI’s tokenomics. There will only ever be 21000 YFDAI tokens as the contract does not contain a provision to “mint” more tokens. 35% of the 21000 total tokens are stored in a staking rewards contract calculated to cover the first 3 years of operations. This fund will be replenished over time from fees generated by the platform along with other features to be released which will generate fees, thereby making these rewards sustainable over time.

YFDAI Finance was designed to be as simple as possible. The protocol only requires a 72 hour lock up which begins at the commencement of staking. The user can withdraw tokens at any time after the initial 72 hour lock up plus interest earned. The interest can be withdrawn without any fee any time while tokens are staked in the platform encouraging users to continue staking their tokens. Staked tokens also reduce the available circulating supply increasing the price of the token based on supply and demand metrics.

The breakdown of the staking mechanism works as follows:

Fixed Fees:

Stake Entry Fee: 1.5% (used for YFDAI buyback and burn)

Unstake Fee: 0.5% (used for YFDAI buyback and burn)

Minimum Stake Lock: 72 hours

6. Farming- Farming has been one of the primary attributes accelerating the boom in the DeFi space. To put it simply, farming is a way to generate rewards with cryptocurrency holdings. Farming through YFDAI will allow you to earn rewards by providing liquidity in a variety of pools soon to be released.

7. Lending- YFDAI will support a community made of depositors and borrowers. Depositors earn a passive income by providing liquidity while borrowers have access to over or under collateralized loans. Simply deposit your desired asset and amount and begin earning passive income based on the demand of the borrowing market. Naturally, deposited assets also double as collateral when borrowing. The interest earned from your deposit will help to offset the accumulated interest from borrowing. All funds circulating through the lending protocol are secured through fully audited smart contracts for extra security. Lending with YFDAI offers a plethora of benefits as users are able to receive fixed interest rates, partial liquidations in case volatility strikes, and convenient access to loans.

8. Token Burn- Both staking fees (1.5%) and unstaking fees(0.5%) will be used to buy back and burn YFDAI tokens. Additionally, transactions conducted through Safe Swap and Launchpad are also considered a burnable event further adding to the burn mechanism set in place by YFDAI Finance. This deflationary system will noticeably increase the value of the YFDAI token over time.

9. SafeSwap Exchange by YFDAI Finance- Unlike the free for all that Uniswap has unleashed with more fraudulent offering than legitimate ones, the Safe Swap exchange will only list and support projects that have met the same strict criteria as YFDAI Finance. Some of these requirements to list on Safe Swap include but are not limited to, pre-locking tokens, pre-locking liquidity, and passing protocol and smart contract audits. Additionally, transactions through this service are completed using the YFDAI token, this in turn will trigger the burn mechanism of the token. Overall, transactions through this service will naturally ensure the highest level of quality and protection for all listed projects. Furthermore, the principal behind the YFDAI burn mechanism organically fosters the value proposition of the project and token. This model guarantees a sense of confidence for all who trade and list on the platform.

10. YFDAI Launch Pad- The YFDAI Launchpad ecosystem aims to promote up and coming projects that wish to contribute legitimate services to the crypto space by helping to build their token platform. With a plethora of advisory and development services, YFDAI finance will help build these new start up projects reach the highest standards by helping to secure their tokens in fully audited smart contracts as well as upholding the best tokenomic system for the project. Projects that pass these strict standards are then granted access to the SafeSwap exchange and other exclusive services.

Launchpad Project Sale Mechanics:

65% of the ETH raised in the project’s presale will be used to provide liquidity on both Uniswap and Safe Swap from YFDAI Finance. YFDAI will also lock the tokens for a minimum of 2 years.

20% of the ETH raised will be reserved for platform development as well as the Safe Swap listing fee.

10% of the ETH raised will be used to buy back and burn the project’s token.

5% of the ETH will be used to cover the Launchpad fee.

The Launch Pad packages a multitude of services to ensure quality, security, and efficiency for all listed projects in order to foster the highest potential of growth and success.

11. Insurance- YFDAI Finance plans to offer users extra peace of mind with optional insurance to mitigate risk.

12. Low Market Capitalization- DeFi has proven its case to be among one of the staples for a decentralized future. One of the main goals for DeFi fans is to find legit DeFi projects in the early stages to maximize profit potential. With ease of accessibility and maximum security, YFDAI Finance is poised to become the next” low cap” to “DeFi juggernaut” in the space.

13. Low Token Supply- With an initial circulating supply of only 7,770 tokens, which varies in available supply based on how many tokens are deposited to or removed from the staking contract, YFDAI will be one of the easiest and most profitable coins to invest in and hold. Since YFDAI works on a deflationary model, token supply will continue being decreased as time goes on.

YFDAI Tokenomics:

Total Supply- 21,000

Circulating Supply- 7,770 (At time of publishing)

Uniswap- 7,770 (37%) fully distributed.
Staking & DAO- 7,350 (35%) Locked under smart contract.
Development- 2,100 (10%) Used for development and exchange liquidity.
Marketing- 1,050 (5%) 6 month lock. 175 tokens released per month. Locked
Team & Advisors- 2,520 (12%) 1 year vesting. Slow release of 210 tokens per month. Locked
RESERVED- 210 (1%) used for incentives and emergency fund. Unlocked


Whether you’re new to the space or already a DeFi veteran, YFDAI Finance presents an excellent DeFi opportunity. From its low token supply and deflationary measures, to its generous staking rewards and Safe Swap exchange and Launchpad, YFDAI is set to become a well known project in the space. YFDAI understands its important to lead by example, that’s why its strict and secure practices will resonate through the sector with its innovative Launch Pad infrastructure and SafeSwap exchange. Through the YFDAI protocol, users will find a suite of services ranging anywhere from farming, borrowing, lending, staking and much more. Investing in YFDAI is investing in more than just a protocol, its an entire ecosystem.

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YFDAI Finance

YFDAI is a community centric, innovative DeFi project developed by the people, for the people.