Introducing YGY Farming

Yearn Generation of Yield
4 min readOct 8, 2020


Stablecoins form the basis of the YGY system. Much like nearly all other yield farms, the core of YGY begins with both stablecoin farms and vault strategies. However, beyond the yield boosting vault strategies, we bring fresh innovation to the market in the form of our unique rolling time locked collateral pools which allow us to augment the underlying basis with unique opportunities and innovate within the DeFi space.

While this article is not primarily about our novel governance system, we note that it is important to show that it ties so much into the primary functions of YGY. It is more than a proposition system. YGY envisions a type of ramification around governance much like every yield farm amplifies liquidity mining.

YGY holds the philosophy that rather than using “compound innovation” to add additional features to a platform, there is value in creating complete systems where the parameters can be adjusted by the YGY token itself.

The initial set of tokens up for vaulting is not yet set. We will seek some feedback from the community regarding the complete set but we are trying to simplify so that we do not need to constantly update the platform to “add new coins”. This is because YGY is about far more than just yield farming on a vault strategy.

The initial coins which available for staking within the YGY system will be the following:

  • USDC
  • USDT
  • bUSD
  • DAI
  • hBTC
  • yCRV
  • ETH

For the YGY system, vault contracts will control the initial farm strategies, and will eventually be adjustable by the governance system in semi real time. However, rather than having separate systems for “lower risk” stable pools and “higher risk” vaults, instead we combine them into one, where the portions allocated between low risk and high risk are adjustable by the governance system. Naturally, the initial conditions would be to set the higher risk at a lower point so that the default settings on the system build off of more stable, lower, and safer yields.

Low risk portions, which make up the majority of the default strategy, will include the above listed tokens. The higher risk position of the pool will be part of our dark pools which include a list of higher risk but better return tokens. Choosing which higher risk tokens to include in the strategy is always THE difficult choice in any yield farming system. Rather than focus the efforts of YGY on forever seeking to add additional tokens we will obtain our unique edge through our rolling collateral systems which are backed up by this more basic yield farm that both feeds into our LP+, rebuyer as well as provides a constant, reliable source of return.

In the early stages as YGY development continues, YGY token holders will be given the option to add additional “riskier” tokens into the higher-risk basket. However, this proposal method will only exist for a short while in the beginning of YGY until we reach completion of our Governance System.

At this time we do not foresee implementing a perpetual proposal system for the addition of new tokens once the final vault pools are constructed, rather the flexibility of YGY will be built within the addition of our rolling collateral pool features as well as adjustments to the base token strategy through our governance parameters mechanic.

Staking System

In our provided diagram, you may have noticed some markings labelled A%, X%, Y% & Z%. These are an example of some of our set parameters that users of the YGY system can vote upon.

The A% parameter is defined as the proportion of the initial stake that is placed into our Dark Pool, this parameter is voted on to change the share between the main yield pool and the Dark Pool.

The X% parameter is defined as the percentage that is taken from the yield management section and sent straight back to the YGY stakers, the Y% is the remainder that is put back into the LP+ & Regenerator. (It is worth noting that this does not account for the LP+ system’s own returns, those are left intact and purely for the system to take control over.) Both values are dictated by the Y% value, the X% cannot be directly voted on and is calculated as the remainder from parameter Y%. Z% is the portion of the rebuyer that is returned to YGY stakers in the form of YGY tokens. All left over tokens are kept by the LP+.

We believe that our yield farming techniques and health mechanisms utilizing our LP+ & Rebuyer are the key to the longevity and success of the YGY project. Feel free to join us on discord and telegram for regular updates and to ask the developers any further questions.



Yearn Generation of Yield

A community operated experimental platform developing concepts within governance and yield distribution for liquid assets.