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Over time, there has been a steady growth of the blockchain space and, most notably, decentralized finance. Although DeFi isn’t new, the growth has been more aggressive since 2020, as can been seen from the chart below. The introduction of yield farming protocols and distribution of COMP - an ERC-20 governance token - that gives holders special voting rights, has indeed inspired a lot of conversations and hoisted DeFi’s stance in the blockchain industry.
Source: DeFi Pulse
Due to the flexibility, control, and ease it offers users, DeFi has created an entirely new financial system that continues to evolve and strengthen. Another incredibly important component of DeFi is the decentralized exchange (DEX). In 2021, DEXs saw over $1 trillion in trading volume.
DeFi Yield Protocol (DYP)
Unlike some DeFi user interfaces, the DYP interface is quite simplified, accommodating new and expert yield farmers. It may be used for staking, yield farming, Non-Fungible Tokens (NFTs) and a variety of other trading options. DYP has a unique protocol that not only rewards its users with Ethereum but also enables them to provide liquidity and earn DYP tokens as yield while maintaining the token price. Recently, the protocol has revealed exciting projects planned for the coming months, and these include version 2 of its NFT dAPP on Binance Chain/Ethereum/Avalanche, acting as a launchpad for this high-quality project on these three blockchains.
DYP developers developed the unique DYP staking. The DYP staking permits users to stake dAPP through the Ethereum smart contract that is front-end integrated with the digital wallets Metamask and Trustwallet. DYP, having studied some flaws of the DeFi ecosystem, gives users the best experience in open finance. Unlike the centralized finance where ‘whales’ have a huge impact on the network and can influence the price of tokens to their own advantage, the operability of DeFi is well-protected. In a bid to prevent whale attack, DYP developed an automated anti-manipulation feature that converts all pool rewards from DYP to ETH at 00:00 UTC every day. After this, the system then shares the rewards among liquidity providers. The anti-manipulation sets to maintain stability, fair access to liquidity, and provide a secure and simplified DeFi platform to all users.
The decentralized network is an open space regulated by a smart contract, and a great risk in yield farming is the smart contract bug. To prevent the risk of a smart contract bug on its network, DYP ensures all its smart contract codes are audited.
For staking: to start earning DYP rewards, one needs to deposit one’s DYP token into the corresponding list of pools. There are four staking options of the pool; they are all different and the rewards range from 20% APR to 35% APR, depending on the lock time from the minimum of 30 days to a maximum of 120 days.
The staking pool has a feature that enables you to automatically add your daily rewards to the staking pool. When you refer DYP to people, there is a benefit of referral bonus in which 5% of the referred person’s reward is automatically sent to you without any transaction fee.
DYP yield farming and the Ethereum mining network
As the Ethereum network grows in size and number, and the need for mining on the network becomes apparent, the DYP team has committed itself to Ethereum mining and also has invested more than $1 million in the mining farm. To reward users, every Ethereum miner address that interacts with the DYP smart contract earns a monthly bonus of 10% in DYP of the ETH income earned monthly. In 2021, at a time when yield farming in DeFi has become one of the major trends, the DYP platform announced to have launched its buyback, farming and staking pools. This provides investors with a better opportunity to increase their income-generating activities. $1.9 billion is currently locked in DeFi, showing that cryptocurrency owners are adding increasingly more value to DeFi applications most of which run on the Ethereum blockchain, as can be seen by the chart below.
Four of the five biggest DeFi Apps are run on the Ethereum blockchain
Source: DeFi Pulse
Indeed, one exciting component of DYP is its function in curbing the influence of whale-users by employing an anti-manipulation feature that limits the market impact on users and also converting rewards to ETH and other native platform tokens. By doing this, it helps maintain stability and fair access to liquidity, provides a secured DeFi platform for users of all sizes and demonstrates how DeFi sector is maturing and becoming more user-friendly.