DeFi Yield Protocol (DYP) is a new type of DeFi platform that seeks to change the way you earn through liquidity on Ethereum smart contracts. Keenly, the developers behind this next-gen platform introduce several anti-manipulation features to eliminate the risk of whales hijacking the network. These systems help ensure that the rewards earned from the network’s liquidity are fairly distributed to all participants.
Benefits of DeFi Yield Protocol (DYP)
DYP introduces a number of crucial benefits to the sector that help new and experienced investors secure higher ROIs. Here are the most notable features that are sure to attract investors.
At the core of DYP is a desire to provide all network users a fair chance to earn rewards. It’s no secret that whales can wreak havoc on the market. A perfect example of recent whale interference is the Sushi Swap fiasco. Sadly, the founder traded all of his tokens for Ethereum and crashed the value of the project in seconds. It’s exactly this scenario DYP seeks to eliminate.
In its quest to remove these concerns, the developers created a system that ensures equity in the control of funds on the platform. Impressively, this protocol serves as both a token price stability mechanism and an integrating anti-manipulation feature.
DYP introduces the Earn Vault protocol that distributes 75% of profits to liquidity providers. The remaining 25% goes into a token buyback system designed to add liquidity and maintain token price stability. Every day at 00:00 UTC, the smart contract automatically attempts to convert 276,480 DYP over to ETH.
If for whatever reason, this isn’t possible because the price of DYP is affected by more than -2.5, the system will proceed to trade the maximum amount of DYP to not drop the token’s value. From there the remaining amount gets distributed in the following days.
DYP rewards are automatically distributed to liquidity providers. The platform removes all human intervention. DYP smart contracts provide a fair and transparent distribution for network participants. Additionally, the entire network is built on decentralization. Users gain the ability to vote on important updates via a governance system.
DYP places an emphasis on digital security. The platform guarantees the stability of its coding against hackers via regular audits of its smart contracts and system protocols. Faulty coding has already cost DeFi investors millions. DYP users gain an extra layer of confidence due to these audits.
How Does DeFi Yield Protocol (DYP) Work?
DYP is a DeFi network that is built atop the Ethereum blockchain. Ethereum is the top DeFi blockchain in the world currently. The developers leveraged Ethereum’s full potential. Specifically, DYP was built utilizing a variety of popular programming languages including HTML5, CSS3, Bootstrap, and Solidity.
DYP Mining Pool
Impressively, participants in the DYP mining pool receive a 10% bonus from the ETH monthly income earned by the pool. Developers intend to jumpstart this pool with five million DYP tokens. These tokens are to be distributed to miners as an incentive to join the pool following the platform’s launch.
Variety of Pools
As part of their inclusive strategy, DYP introduces support for a variety of staking pools including DYP/ETH, DYP/USDC, DYP/USDT, and DYP/WBTC POOL. This selection ensures that users always have access to valuable liquidity when they desire to trade their assets. Savvy investors can even stake across multiple pools to maximize their returns on the platform.
DYP users can stake their crypto assets to earn DYP via an automated yield farming contract. Yield farming is another popular DeFi protocol that continues to find its way into most top-notch platforms. Yield farming removes banks from the lending equation and replaces them with a decentralized network of users.
When you yield farm your crypto, you agree to lock your assets into smart contracts also called liquidity pools. The main purpose of these pools is to allow other crypto users to take out short term loans. The borrowers then repay the loans plus interest. All of the profits feedback into the interest-earning liquidity pool. In turn, this creates even more profits.
One of the best parts of Yield Farming is that it doesn’t necessarily matter when your loan gets repaid. The liquidity pool earns so much profit that you’re repaid on time regardless of when your loan is repaid. Other profits and new liquidity is used to ensure your timely repayment.
The DYP token is an ERC-20-based digital asset that functions as the main governance and utility token for the network. The token can be used to pay fees, stake in pools, send and receive payments, and vote on vital network upgrades. Additionally, all rewards are paid out in DYP tokens.
ERC-20 tokens enjoy the broadest range of interoperability in the crypto sector. These token users have a variety of wallets, exchanges, games, and other unique financial tools at their disposal. There are over 200,000 ERC-20 tokens in circulation today with more entering weekly.
DYP features a decentralized governance system that allows regular users to participate in the direction of the platform’s development. Updates, new token additions, and whether or not to distribute or burn DYP token rewards are all matters that users vote on.
DeFi Yield Protocol (DYP) Presale and Token Sale
The DYP token sale is currently underway. Notably, the platform already sold 570,000 DYP tokens (2,821.71 ETH) during its Whitelisting & Presale round. This level of early participation signals major interests in the market. The minimum amount to participate in DYP’s crowdsale is 0.5 ETH and the maximum contribution is 100 ETH.
DeFi Yield Protocol (DYP) – Keeping to the Principles of DeFi
DYP’s introduction of anti-manipulation protocols helps to further the overall goal of DeFi, to remove centralized powers from finance and instead, share the profits amongst users. DYP accomplishes this goal with its innovative pool reward distribution and token stability system. For these reasons, DYP is sure to see more adoption in the coming months.