The crypto industry is known for its dramatic price action, euphoria and bubbles. In the latest sustained fad since the 2017 initial coin offering, or the ICO boom, the decentralized finance niche of the industry now captivates the attention of many participants. One particular asset within this niche, YFI, has pumped to amazing price heights, totaling at least 4,400% gains inside a two-month span. Is this price action warranted, and does the token have actual value?
“YFI’s value lies in its design as a governance token, allowing the community to vote and decide on the direction of the Yearn Finance project,” Jason Lau, the chief operating officer of the OKCoin crypto exchange, told Cointelegraph. “As activity within the project and vaults grow, YFI holders can change strategies, launch new vaults, and potentially even redirect treasury or fees to themselves at a later date.”