Altcoins Talks - Cryptocurrency Forum
Cryptocurrency Ecosystem => DeFi tokens => Topic started by: EAA-ALLAH on June 16, 2021, 07:05:16 PM
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Some of DeFi’s best-known protocols are debating the impact of their yield farming strategies. The discussions center on Alchemix, Yearn Finance, and Curve Finance.
DeFi Projects in Conflict
A group of DeFi’s leading protocols has come to blows as Alchemix, Yearn Finance (Yearn), and Curve Finance (Curve) discuss Alchemix and Yearn’s yield farming strategies built on top of Curve’s liquidity pools. To get an understanding of why this conflict is taking place, it’s necessary to explain how these DeFi protocols interact with one another. Curve is a decentralized exchange specializing in stablecoin pools and pools between assets of the same value. Curve incentivizes liquidity provision by distributing CRV tokens on top of the fees made by the liquidity providers. One of Curve’s most substantial liquidity providers is Yearn. As covered in Crypto Briefing’s Project Spotlight feature on the protocol, Yearn allocates the funds it gets from individual users into Curve pools (amongst other strategies) and sells part of the CRV rewards to provide users with better yields than they would normally receive on Curve.Source (https://cryptonews.net/817137/?utm_source=CryptoNews&utm_medium=app&utm_campaign=shared)