We are pleased to announce a new bonus income stream exclusively for YFDAI Farmers!
As stated in the Whitepaper, there is a fee to exit farming of 0.5%. This is the only income stream that has not yet been allocated to any other platform product or burn function.
We are pleased to confirm that 100% of this fee will be rewarded as a bonus to long term farmers!
This is a last man standing event !
To qualify for the bonus, you must have entered any of the ETH/YF-DAI farming pools by 00:00 UTC on the 15th November 2020 when the first snapshot will be taken. You will need to farm continuously for 120 days without lowering the initial amount farmed. Any withdrawals of the initial amount farmed will disqualify you for this bonus. Additional snapshots will be taken every 30 days, so you can deposit more LP tokens without causing the duration to reset on existing farmed LP tokens, however your initial deposit amount by November 15, 2020 is the maximum you you will be awarded in any 30 day period to increase the pool share you will ultimately be entitled to on day 120.
It does not matter which pool you enter your LP tokens to farm, whether the 72 hour, 30, 60, or 90 day pools. Provided you hold the original amount for 120 days, you will qualify for this lifetime Farming fee bonus. The fees collected will be converted to YF-DAI and will be distributed on a quarterly basis.
Those remaining after the 120 days (5th snapshot will be taken at 00:00 UTC on the 15th of March 2021) will then receive a Non-Fungible Token, or (NFT). This NFT will unlock your profit share of the .5% farming withdrawal fee for life!
This will include all fees for the YFDAI Farming and also for the LaunchPad projects farming once those farms open. There will be 1% from all LaunchPad tokens that will be allocated according to the Whitepaper with 40% going to Staking rewards, and 40% going to Farming rewards and 20% to marketing the projects. The LaunchPad token Farming fees will be pro-rata disbursed to those holding the NFT’s for having farmed YF-DAI for 120 days.
The NFT will have a resale value linked to the residual income. Those who hold the NFT can either receive the ongoing profit share, or they can sell the NFT on to other users on the YFDAI marketplace who are seeking an ongoing residual income!
A Non-Fungible Token is an asset which is unique and cannot be interchanged with other assets of the same type. Historically NFT’s have included everything from trading card games to digital art to video game avatars and add ons.
Non-fungible tokens are used to create verifiable digital scarcity, as well as digital ownership, and the possibility of asset interoperability across multiple platforms. NFTs are used in several specific applications that require unique digital items like crypto art (rare art), crypto-collectibles, like CryptoKitties, crypto-gaming, and now with YFDAI NFT 2.0 as a bonus for long term farmers.
Specific token standards have been created to support the use of blockchain in gaming. These include the ERC-721 standard of CryptoKitties, and the more recent ERC-1155 standard.
YFDAI’s unique perspective on the NFT sector can be described as NFT 2.0 since it is designed to steadily rise in value over time thanks to the value capture of the fees that have been allocated to support the NFT holders from the LaunchPad projects. YFDAI’s community oriented products will soon include an NFT that not only has real world utility and use cases in giving the holder a lifetime fee share, or passive income over and above the usual farming rewards, but also it will have value as a tradable asset.
As the fees generated by the farmers withdrawing from the pools increase over time, so will the value of these unique NFT’s. Besides using them or selling them, they potentially could be used as collateral to secure loans of stable coins if the owner doesn’t want to part with them, but wants to extract value without using the fee share bonus function.
While there are many variables that are unknown at present, there are several ways that the market could value the YFDAI NFT’s. As personal property that is connected to a fee generating algo, traditional methods of valuing a business could be applied. The annual revenue that is generated by the bonus multiplied by 3 for tech companies might look like this:
($10000 annual revenue X 3 years = $30,000 NFT value)
Besides the Comp method shown above, the second is the discounted cash flow method or (DCF). The first method requires you to apply the multiple of revenue of EBITDA [earnings before interest, taxes, depreciation and amortization] at which NFT’s were sold and multiply it to your latest EBITDA or revenue. The DCF requires you to forecast your earnings into the future (normally five years) and calculate a net present value.” Currently there is approximately $1,200,000.00 locked in farming after just a few weeks and it is expected that this amount will grow rapidly. Once LaunchPad opens this month, it is expected that there will be 4 Launchpad farming pools opening per month or 48 in a year. There would currently be over $5000 in revenue from the .5% withdrawal fee which if the TVL were to increase by a factor of 10 or even 100 would result in a total profit share of $50,000 and $500,000.00 respectively.*
This will be just the start for NFT’s in the YFDAI marketplace, we have several new products/services in development, all of which are income producing and NFT’s will be the key to unlocking the profit shares!
*Legal Disclaimer: The statements contained herein may contain certain forward-looking statements with words such as “anticipate”, “believe”, “could”, “expect” etc, relating to the YFDAI Ecosystem (YFDAI) that are based on the beliefs of YFDAI’s volunteer management as well as assumptions made by and information currently available to YFDAI’s team.. These forward-looking statements are, by their nature, subject to significant risks and uncertainties. These forward-looking statements are not guarantees, and include, without limitation, statements relating toYFDAI’s business prospects, future developments, trends and conditions in the industry and geographical markets in which YFDAI operates, its strategies, plans, objectives and goals, its ability to control costs, statements relating to prices, volumes, operations, overall market trends, risk management and exchange rates.
All forward-looking statements herein are qualified by reference to the cautionary statements set forth in this section.
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