1 YFI is greater than 1 BTC! Does anyone remember the crazy DeFi story that began in 2020?
YFI is the governance token of the DeFi platform Yearn. At that time, Yearn was an aggregation platform supporting multiple DeFi protocols, automatically reallocating assets between various DeFi protocols that offered liquidity mining, helping users achieve higher yields. Simply put, you put your money in, and it helps you earn higher returns. Additionally, in Yearn, 'wealth management' (liquidity mining) not only allows you to earn returns but also to receive YFI. Therefore, from the perspective of product design at that time, YFI can be considered a creative product in DeFi. Furthermore, the total supply of the project's token YFI is limited to 30,000, with no team allocation, no pre-mining, no public offering, and even the founder himself received no token rewards. Thus, YFI soared; when Balancer opened trading, YFI was only around $3, and in less than a week, the price exceeded $4,500, an increase of nearly 1,500 times; on the night of August 20, 2020, the YFI price rose to $14,878 within the past 24 hours, becoming the first altcoin in history to exceed the price of Bitcoin. The scariest part is that YFI's highest price reached $95,000.
Of course, now the price of YFI has dropped to around $6,200.
With the Federal Reserve's interest rate cuts, there is renewed interest in blockchain wealth management. Based on decentralized finance (DeFi), many services that integrate centralized finance (CeFi) and decentralized finance (DeFi) have emerged. As the first project of the Binance Megadrop, BounceBit, launched at the beginning of the year, is not just a wealth management platform, but also a BTC L2. It leverages the unique advantages of on-chain settlement, perfectly combining Binance's official Ceffu custody with decentralized ledger technology, providing users with a trading environment that is both secure and efficient. Below is a grand introduction to the BounceBit project.
$BB
What is BounceBit?
BounceBit is a Bitcoin staking chain based on the PoS mechanism, aiming to create a powerful smart contract execution environment for Bitcoin. BounceBit emphasizes that it is not a Layer 2 built on the Bitcoin blockchain, but rather a Layer 1 ecosystem using PoS mechanisms.
The core mission of BounceBit is to build a yield infrastructure for Bitcoin, enabling Bitcoin holders to easily achieve asset appreciation by providing institutional-grade yield products, a rich variety of re-staking application scenarios, and services that combine centralized finance (CeFi) and decentralized finance (DeFi).
The unique advantages of BounceBit are mainly reflected in the following aspects:
Secure BTC re-staking: BounceBit has built a solid BTC Restaking infrastructure, collaborating with regulated custody service providers such as Ceffu, Mainnet Digital, and Fireblocks to ensure that users' funds are safe and worry-free.
Innovative dual-token PoS mechanism: This hybrid consensus mechanism allows validators to simultaneously accept BBTC and BB tokens, thus expanding the base of network participants and enhancing the resilience and security of the network consensus structure.
User-friendly BounceClub: As an on-chain space, BounceClub allows users to create personalized DeFi experiences through simple app-building tools without needing to write code. These apps can be easily integrated into the App Store, providing users with unprecedented convenience.
Flexible liquidity custody: BounceBit introduces the concept of 'liquid custody,' enabling collateralized assets to maintain liquidity while providing users with more opportunities to earn returns.
For investors seeking a safe, reliable, stable, and forward-looking investment approach, BounceBit is undoubtedly a promising option. With the continuous development of the crypto market, BounceBit V2 is expected to achieve a dual leap in price and recognition in the near future, becoming a dazzling new star in the crypto field.
