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YoBit YOFARM DeFi Farming with Up to 1465% APY

| Updated
by Benjamin Godfrey · 5 min read
YoBit YOFARM DeFi Farming with Up to 1465% APY
Photo: YoBit

The YoBit’s YOFARM pairs are currently being backed by a number of investors as evidenced by the total liquidity which changes as investors add and remove liquidity respectively.

One of the crucial backbones of the Decentralized Finance (DeFi) ecosystem is the innovation behind liquidity pools, one on which YoBit exchange is drawing on to launch its YOFARM DeFi Farming program. Before deep insights are provided into the YOFARM program, here is a quick dive into DeFi pools and how they work.

What Is a Liquidity Pool and How Does It Work?

A liquidity pool is a basket or pool of digital currencies or tokens locked in a smart contract that is used to facilitate trades between the assets on a decentralized exchange (DEX). Away from what is obtainable on centralized exchanges, DeFi platforms use Automated Market Makers (AMMs), an innovative trading system that permits digital assets to be traded in an automatic and permissionless manner through the use of liquidity pools.

Liquidity pools often occur in pairs such as ETH/USDT pairs. In a typical liquidity pool protocol, investors deposit the two digital currencies of a pool into a designated address where they are locked. As DeFi users make use of these asset pairs for various purposes, either for swapping, or lending to mention a few, they pay fees which depend on the nature of the transaction conducted. These fees are then distributed to investors who contributed to the liquidity pool.

Different platforms can have their own unique definitions or variations to the liquidity pool program, and YoBit exchange has redesigned its own to foster ease of entry for all users.

YoBit Exchange: Hub of Innovative Crypto Offerings

YoBit.net is a Panama-based cryptocurrency trading platform that started out as a centralized exchange but has since joined the DeFi train by offering unique services bordering on decentralized finance. Unlike other prominent trading venues, YoBit’s product launches are often unique, profitable, and largely wade off stringent barriers to entry.

YoBit is a trading platform that supports hundreds of trading pairs, charges a comparably cheap fee, and has been at the forefront amongst centralized exchanges diving into the DeFi space. Back in August, Coinspeaker reported on the official flag of YoBit’s DeFi program, a move that heralds the trading platform into the sphere where banks are given the direct competition they deserve from the blockchain startups.

YOFARM is the exchange’s latest product that further dives deeper into the DeFi ecosystem. YOFARM is a high-yield product that is suitable for investors who want very high returns but with significantly lower risks. Through the YOFARM program, investors can rake in as high as 1,465% Annualized Percentage Yield (APY), one of the highest the industry has to offer.

YOFARM on YoBit: Supported Pools, and How to Get Started

At the present, the YOFARM on YoBit product consists of 7 different pools with the platform’s native token $YO also featuring prominently. Here are the supported liquidity pools;

  • SPITZ/BTC
  • FROG/BTC
  • SQUID2/BTC
  • ROBO/BTC
  • LIMI/BTC
  • LIZA2/BTC, and;
  • YO/BTC

Each of these YOFARM pairs comes with its own APY with the SPITZ/BTC being the highest at present and pegged at 1053.38%. The FROG/BTC pair comes with an APY of 670.93%, SQUID2/BTC at 243.66%, ROBO/BTC at 271.59%, LIMI/BTC at 274.18%. Investing in the  LIZA2/BTC pool will give a return of 307.92% and the YO/BTC comes with a 24.23% APY.

The YoBit exchange conducts adequate due diligence before picking out the tokens to create a pool for and the above pairs are established digital asset pairs, however, the underlying market value of the coin may change over time. As seen in the table below, the YoBit’s YOFARM pairs are currently being backed by a number of investors as evidenced by the total Liquidity which changes as investors add and remove liquidity respectively.

YoFarm APY Chart. Photo: YoBit

Here is how to get started with the YOFARM product:
  • Current YoBit users will need to login into their YoBit.net account. New users who do not have an account will be required to open an account with the exchange. The process is straightforward and simple, and with just a functional email address and password, an account can be set up in minutes.
  • With a logged-in account, interested investors can navigate to the ‘YoFarm’ section on the platform’s dashboard to show the respective farming pools active at that point.
  • Once you have decided on which pair to lock your liquidity in, you will need to click on the ‘Orange’ colored icon dubbed ‘Farm.’ This will lead to an interface where you can either add or remove liquidity respectively. Users will need to have funds in their YoBit account wallet to be able to partake in the YoFarm program.
  • With the right funds (corresponding to the required tokens designated for the pool), the farming instruction will be activated, and users will begin getting a share of the defined daily reward per YoFarm pair.
  • Users who wish to pull out of the YOFARM program can easily click on the ‘Get my $$$’ and follow the instructions as would be prompted.

There are no hidden requirements to join the YOFARM program and start earning. From the exchange’s antecedents, more asset pairs are likely billed to be added in the near future.

All for User’s Benefits

The combination of centralization and decentralization features, products, and services is no longer uncommon in today’s evolving blockchain ecosystem The acknowledgment that DeFi is the future of finance has stirred a shift in the operational paradigm for centralized trading platforms that are now exploring avenues to offer what AMM protocols and other smart contract focused platforms are doing but in a better way.

All of these products YoBit and other exchanges are rolling are breeding increased competition, the majority of which is designed to benefit all users alike.

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Benjamin Godfrey

Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture.

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