Golden Sentinel | The unit price exceeds Bitcoin YFI has soared 320 times since mid-July

Jinjin Finance, August 20th The market shows that the price of YFI has risen again and exceeded 13,000 US dollars, and the price of a single token once again surpassed BTC. In fact, yearn.finance’s governance token, YFI, has surged 32,000% since mid-July. Previously, when trading began on July 18, YFI was only $32. The rapid growth of YFI will undoubtedly add fire to the continued hot DeFi.

On July 18, the DeFi protocol yearn.finance officially launched the sub-governance token YFI. YFI is the governance token of the yearn protocol. yearn.finance is an aggregation platform for the profit output data of different products serving the loan platform. It obtains the highest profit output in the contract transaction interaction by rebalancing the data.

Jinse Finance Market Report 丨 BTC oscillates and pulls back, bulls still have stamina: According to the Huobi market, the BTC market peaked at 9377.55 USDT this morning, and the overall market is in a downward channel of oscillating callbacks in the afternoon. The daily chart is partially suppressed by MA30, but the moving average MA5 and MA10 form an intersection, and the bulls still have stamina. The 4-hour callback is partially supported by the moving average MA10, and the 1-hour chart is partially in a downward channel, so we need to be alert to changes in the channel track. As of 18:30, the specific performance of mainstream currencies is as follows: [2020/7/7]

In response to YFI’s continuous rise and surpassing Bitcoin, TokenInsight Research analyzed that the total amount of YFI was limited to 30,000 at the beginning of its issuance. The project has no pre-mining, no crowdfunding, and no team share. It only relies on liquidity mining to obtain governance Token. Therefore, although YFI has successfully realized the oath of 1 YFI = 1 BTC, its total market value will not occupy a large share of the digital asset market.

Analysis | Golden disk: XRP/BTC stabilized and rebounded under greater pressure: Comprehensive analysis of the golden disk: XRP/BTC 4-hour K-line chart, during the previous BTC decline, there was a contrarian performance, and then there was a deep adjustment. The decline slowed down, and MACD turned upward, but judging from the distribution of chips, the upper pressure is still relatively large. [2018/8/9]

It is worth mentioning that in the face of the phenomenon that 1 YFI = 1 BTC. On August 19, for a proposal made by Yearn.finance governance participants, after the price of YFI surpassed Bitcoin for ten consecutive days, its price will be split at a ratio of 10:1. Although it does not have any fundamental impact on the total YFI market cap, some believe that people tend to buy YFI at a lower unit price. Twitter user eth.md stated that a YFI price higher than Bitcoin would psychologically discourage people from buying YFI, thereby reducing the demand for YFI, resulting in a lower YFI price. That's why TSLA and AAPL have stock splits.

Golden Finance News: Three Australian financial technology start-ups are submitting use cases to the Australian central bank, urging the Australian central bank to launch a cryptocurrency backing the US dollar-the digital Australian dollar. [2017/10/19]

The total number of YFI issued is only 30,000, accounting for only 0.14% of Bitcoin. Based on the current price, YFI's market value is 390 million US dollars, accounting for only 0.18% of Bitcoin. If the circulation of YFI is increased to 21 million, the value of a single YFI is about $18.57.

Finance is the scene where blockchain technology is most likely to be implemented and exploded. The popularity of DeFi has detonated the current market upswing. However, in the face of rising prices of DeFi tokens such as YFI, how long will the DeFi boom last? Zhou Fangge, a senior analyst at TokenInsight, analyzed Jinse Finance and said that the outbreak of DeFi in the past two months was mainly due to the popularity of Yield Farming launched by Compound. After Compound became popular, other DeFi projects also plunge into it. We believe that with the global economic downturn, the "siphon effect" of capital's pursuit of interest rates will inject the funds, attention, technology and talents needed for the development of the DeFi industry.

The popularity of DeFi is still spreading, and overseas communities are still hot, but Zhou Fangge believes that the current DeFi market really needs to cool down. At present, many new projects have embarked on the wrong path of the previous ICO: without substantial innovation, they only rely on copying and pasting the open source code of popular projects to create new projects to attract users. Under the temptation of extremely high yields, many users have forgotten the high risks behind DeFi projects. We need to be alert to this phenomenon.

In addition, TokenInsight Research emphasizes that for investors, the liquidity mining of DeFi projects faces risks such as smart contract security risks, platform risks (team management keys), exchange rate risks, increased asset liquidation risks caused by leveraged transactions, and late liquidity. Risks such as tightening earnings instability.

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