What is Yearn.finance (YFI) and how does it work? By Cointelegraph

Launched in July 2020, Yearn.finance has emerged as one of the major players in the emerging decentralized finance (DeFi) space that provides services such as staking, lending aggregation and yield generation on the blockchain. Boasting the most user-friendly crypto trading services that are being meted out autonomously, the project uses its native ERC-20 Yearn Finance (YFI) cryptocurrency to incentivize those who lock their crypto tokens in Yearn.finance contracts through any of the supported platforms such as Balancer and Curve DeFi.

With all of its protocols operating on the Ethereum blockchain, Yearn.finance is managed through developers that act in accordance with governance proposals voted for by YFI holders. Crafted with the vision of simplifying the process of investing in DeFi products, the Yearn.finance platform also offers its users the ability to invest in other DeFi protocols in addition to earning a percentage of the platform’s fees in proportion to their YFI holdings.