YieldBasis Revolutionizes Bitcoin-Based DeFi with $YB Token Launch

YieldBasis, a cutting-edge Bitcoin-centric decentralized finance (DeFi) protocol developed under the guidance of Michael Egorov, founder of Curve Finance, has officially announced the launch of its native governance token, $YB. Designed to tackle impermanent loss—a long-standing challenge faced by liquidity providers (LPs)—YieldBasis offers a unique approach to DeFi leveraging Bitcoin (BTC).

By utilizing Curve Finance’s crvUSD stablecoin, the protocol allows users to deposit a single asset, such as BTC, which is then automatically leveraged and rebalanced to generate stable yields. This innovative mechanism has attracted strong community support, with YieldBasis gaining traction through successful governance proposals within Curve DAO and notable expansions in its liquidity pool sizes. The launch of the $YB token marks an important milestone in YieldBasis’s roadmap toward decentralization and growth acceleration.

How $YB Token Launch Amplifies YieldBasis’s DeFi Vision

The official issuance of the $YB token is scheduled for October 15, 2023, at 10 a.m. UTC (7 p.m. KST), signaling the beginning of a community-led governance era. On the same date, the token will be released across multiple liquidity pools and listed on major exchanges, including Binance. Early adopters and contributors of YieldBasis will also be rewarded with exclusive token distributions, fostering deeper engagement within its ecosystem.

Token Launch Key Events and Liquidity Listing Schedule

To ensure a seamless market entry, YieldBasis has outlined the following essential dates and events for the $YB token launch:

• Token Transfers and Issuance Begin: October 15, 10 a.m. UTC (7 p.m. KST)
• PancakeSwap Liquidity Pool Rollout: On Binance Smart Chain at 7 p.m. KST, featuring a $YB-WBNB pair integrated with Binance’s Alpha program.
• Curve Finance Liquidity Pool Introduction: October 15, post 7 p.m. KST on Ethereum Mainnet for the $YB-crvUSD trading pair.
• Binance Spot Exchange Listing: October 15 at 8 p.m. KST

Liquidity pools will be launched with an initial benchmark price of $0.50 per token, equating to a fully diluted valuation (FDV) of roughly $500 million. The pricing strategy underpins YieldBasis’s goal of creating a stable on-chain environment for $YB’s entry into the market.

Early-Community Airdrop: Rewarding YieldBasis Supporters

YieldBasis aims to strengthen its foundation by rewarding early adopters who supported the protocol during its formative phases with over 10.6 million $YB tokens distributed across targeted campaigns. Key reward breakdowns include:

• Season 1 Liquidity Providers: Approximately 4,055 LPs from initial deposit pools valued at $1 million and $30 million will collectively receive 5,625,000 $YB tokens. Allocation is proportional to deposit amounts and durations. Smaller rewards (under 5,000 tokens) will unlock instantly post issuance, while larger rewards will adhere to a one-year linear vesting schedule.
• Governance Proposals Voters: veCRV holders who participated in YieldBasis-related proposal votes (proposals 1206, 1213, and 1222) will collectively share 5 million $YB tokens. Distribution will occur based on voting power, incentivizing active governance engagement.
• Liquidity Aggregation Initiatives: DeFi platforms like Convex Finance will independently distribute $YB rewards within their respective ecosystems, further broadening the utility of YieldBasis within the wider DeFi landscape.

Rewards for Season 2 liquidity providers, corresponding to deposits worth $150 million, will be revealed in future protocol updates.

How $YB Tokens Empower Governance and Farming

$YB tokens serve as the cornerstone utility asset within the YieldBasis protocol. Following issuance, token holders will have the ability to lock their assets into veYB contracts, gaining voting rights in protocol governance and shaping policy decisions. Additionally, $YB tokens play a pivotal role in optimizing farming mechanisms for liquidity providers.

For LPs holding ybBTC tokens, YieldBasis introduces an innovative farming option that enables them to opt for $YB rewards in place of trading fees. Investors can access the "Token Yield" feature in the Earn section to claim these rewards dynamically. The protocol adjusts token issuance rates based on the proportion of LPs choosing $YB as their preferred reward.

In its official statement, YieldBasis emphasized the utility of the $YB token, clarifying: “$YB is a utility asset for governance and participation within the protocol, subject to technical parameter changes determined by community governance over time. This information is provided purely for educational purposes and does not constitute an offer or solicitation for any financial product.”

Final Thoughts: YieldBasis Poised to Redefine Bitcoin DeFi

YieldBasis’s innovative design, centered on Bitcoin-based liquidity solutions and stable returns, introduces a game-changing framework within the DeFi space. The launch of $YB token cements its vision for sustained growth through decentralized, community-driven governance, offering enhanced staking, farming, and participation opportunities for users.

Backed by a robust reward system for early adopters and comprehensive market rollout strategies, YieldBasis is set to expand its footprint among Bitcoin-focused DeFi protocols while mitigating impermanent loss for liquidity providers. With the pivotal $YB token launch, the protocol enters an exciting new chapter, empowering its users and reinforcing its commitment to DeFi leadership.