Yearn.Finance, a leading decentralized finance protocol, seems to be hyping up the launch of its v2 vaults. Vaults are one of the most famous products of the protocol which helps the users to earn yield paid in the coin by depositing them. The main purpose of vaults is to help the crypto users earn a passive income against their holdings.
V2 Vaults of Yearn.Finance is meant to boost the returns, which will ultimately help the holders of this protocol to drive more protocol. This will add a lot of value to the Yearn ecosystem.
V2 Vaults to Add More Value to Yearn.Finance
Yearn.Finance’s v2 vaults seem to be launching anytime soon however, the protocol has not revealed any specific details about it yet. It will offer advanced smart contracts, which will eventually increase the capital efficiency of the protocol.
Andre Cronje, founder of Yearn.Finance has recently tweeted about v2 vaults and to show the yields for v2 vault strategies. According to his tweet, the yields are quite higher as compared to any other protocol in traditional finance. Not only traditional, but it is also higher from most of the top DeFi applications out there in this space. Cronje has shown that USDC v2 vaults will be having a 55.7% APY. If this has to be compared with traditional finance, it is much higher. It is expected that yields will help to boost the value proposition of Yearn.Finance, which will ultimately help to drive more capital. Along with this, it will also increase the dividend that stakers earn on this protocol.
— Andre Cronje (@AndreCronjeTech) January 13, 2021
Cronje has revealed that all the yields that are offered on Yearn.Finance vaults might get a boost through cross-protocol integrations. He stated:
“These cross-platform strategies allow up to 90x leverage on stable coins and 80x leverage on ETH and allows users to either sell and compound or accumulate the asset.”