Yield Optimization Platform
|All Time High:|
|Market Cap: |
|The price of #YOP today is $0.049 USD.|
The lowest YOP price for this period was $0, the highest was $0.049, and the current live price for one YOP coin is $0.04930.
The all-time high YOP coin price was $3.92.
Use our custom price calculator to see the hypothetical price of YOP with market cap of SOL or other crypto coins.
|The code for Yield Optimization Platform crypto currency is #YOP. |
Yield Optimization Platform is 1.7 years old.
|The current market capitalization for Yield Optimization Platform is $4,381,892.|
Yield Optimization Platform is ranking downwards to #664, by market cap (and other factors).
|The trading volume is modest during the past 24 hours for #YOP.|
Today's 24-hour trading volume across all exchanges for Yield Optimization Platform is $48,161.
|The circulating supply of YOP is 88,888,888 coins, which is 100% of the total coin supply.|
YOP Finance and The Ethereum Merge
Now that we draw closer to the Ethereum Merge, we wanted to provide some additional information about this significant event in the blockchain community. The Ethereum Merge is a network upgrade that will change Ethereum’s current consensus mechanism from “Proof of Work” (PoW) to “Proof of Stake” (PoS). The Merge is due to occur on or around the 15th September 2022. This is based on the Terminal Total Difficulty value of 58750000000000000000000 being hit, which will then trigger The Merge. For more details on The Merge event timing prediction, check out 👉 bordel.wtf Or you can watch a countdown to the Merge here 👉coinmarketcap.com — Will the Merge affect you?. — Your assets will be safe and secure during this period and there is no action required of you, but we are sharing information on what to expect during the Merge. — No action is needed from you but stay alert for scams. — It’s important to always be on high alert for scams, but especially leading up to the Merge. We recommend you don’t send your ETH to anyone in an attempt to “upgrade to ETH2” as there is no ETH2 token. Your assets will be safe and secure during this period and no action is required to upgrade on your part. — Ethereum Forks. — There is talk of an Ethereum fork to create a new PoW version, ETHPoW. A word of warning on ETHPoW. If the ETHPoW ChainID remains as 1, as it is now (the same as ETHPoS) do not attempt to interact with the fork at any point. Doing so would expose you to replay attacks on the PoS chain that could be executed without your permission — The Merge Streaming Parties. — For those of you who want to join in with The Merge fun, there are a number of The Merge streaming parties. Check out below for the pick of the bunch: Eve of the Merge Livestream — Bankless — Sept 14th 9pm UTC youtu.be, Eth Merge Viewing Party — Ethereum Foundation — Sept 15th 3am UTC youtu.be, Post-Merge Vibe Sesh with the Ethereum Community — Bankless — Sept 15th 1pm UTC substack.com, Weekly Rollup Merge Recap Livestream — Bankless — Sept 15th 4pm UTC substack.com, We hope you enjoy this monumental crypto event! 🚀🚀🚀
YOP Finance — RainbowKit Wallet Connector Release Notes
YOP Finance — RainbowKit Wallet Connector Release Notes - A key pillar of YOP Finance is ease-of-use. Something we have noticed since we went live with the YOP Finance app earlier this year, is the significant growth in mobile use of YOP Finance. We have been speaking with our users about the pain caused by general wallet UX and have acted. Welcome to the RainbowKit wallet connector that has gone live in YOP Finance, today! Please see below for the release notes. RainbowKit gives the user the ability to connect to multiple wallets, including Metamask, WalletConnect, Rainbow, Trust wallet, Ledger Live and others, The new connect button also shows your $ETH balance to help you manage your gas fees, This feature will also show your ENS name if you have one configured to your connected wallet, If connected to the wrong network, RainbowKit will prompt you to switch to the correct one, The major benefit of this upgrade is for mobile users. Previously, we had users experience problems connecting to MetaMask on their mobile, particularly on iOS. RainbowKit gives users a seamless experience on Android and iOS browsers,
Landing in YOP Finance
With YOP Finance, we are creating a product that does not over complicate DeFi. We have created an easy-to-use product that does not cause the user stress or confusion, a product that is lean and straight forward. As we move this product forward, there are opportunities to add more depth without creating confusion. One of these areas is the creation of a Landing Page. Currently when you navigate to the YOP Finance app, you are taken to the Vaults page. This is fine for an experienced user, but a new user might be confused about where they have ended up after navigating to the main app URL app.yop.finance. To this end we have decided to add a Landing Page into the app, which will be the first place you are taken to when accessing YOP Finance. The Landing Page will provide an overview of the key statistics such as, the Vault and Staking details and will also contain key information on topics including, security and documentation. We believe that surfacing key data points like TVL, Vault distribution, Staking KPIs, etc… will provide a more transparent and comprehensive experience for the end user. Having this information in-app rather than on separate websites, will also improve app stickiness. We will be using the Landing Page to surface some of the YOP Finance how-to videos we have, such as How to use the YOP Finance platform, and How to Buy $YOP. We will also use this page to highlight key strategic partnerships and details on all our smart contract audits. There is also an opportunity here to further integrate the YOP Finance platform with the YOP Finance socials. We have the socials links on the bottom left of the app however, adding elements such as recent social posts, so you can view these items without having to click away from the page, will provide greater ease of use and depth to the YOP Finance ecosystem. As previously mentioned, the Landing Page is a feature we are actively working on, so we hope to have some early examples and mock-ups of Landing Page for you to view soon. Watch this space.
Behind the scenes of running a DeFi project
There is a lot more to running a DeFi project than meets the eye of the typical end user. Most people only see & interact with the Dapp and website and never give much thought to what lies beneath. In this post, we are going to pull back the curtain and show you all the moving parts that need to come together to create a platform like YOP Finance, how we maintain situational awareness about the services we run, the services we depend on and the crypto markets we are invested in. The diagram below shows the YOP Finance Ecosystem architecture — that is the main YOP Finance components we have developed, the external services we integrate with and the monitoring / alerting tools we use to ensure things are working as expected. — Component Groups - In the diagram above, component groups are denoted with a dotted line around a set of components. Clockwise from top left, the component groups are: — Blockchain / HTTP Gateway - This component group includes components that provide gateways (or bridges) between the language of the internet (HTTP Requests) and the language of the blockchain (Transactions). These services expose HTTP APIs which can be invoked to read from and write to the blockchain. These services are used by the YOP Finance services to read on chain data and are used by the end user to write transactions to the blockchain. Unlike traditional Web 2 applications, where writes are sent to the application server and persisted to a database, with Web 3, the user interacts directly with the blockchain (via the gateway configured in their wallet), meaning that no transactions are ever routed via the YOP Finance Servers.MetaMask Browser Extension — Network Settings — “New RPC URL” sets which Gateway to use This component group also includes all the YOP Finance Smart Contracts (as detailed here: docs.yop.finance) and the Smart Contracts of the DeFi Protocols that YOP Finance interacts with (e.g. Curve, Convex, Uniswap etc…) — Core YOP Finance Services - This component Group include all of the core services required to provide the YOP Finance Platform to end users. It includes components such as the Website, Docs Site, Dapp and backend APIs. These APIs are responsible for merging data from multiple sources (both on and off chain) to create useful data sets for the front end Dapp. — Price Feed Data - Real time price feed data is required to provide up to date dollar values against crypto assets. Price feed data for all supported tokens are handled by Chainlink (see here for a full list of their supported tokens). For any tokens which are not supported by Chainlink, we use a combination of Coin Gecko and Coin Market Cap. Having integrations to both of these services gives us a level of redundancy, so that if one service is unavailable, we can still source the data from the other service. — Monitoring & Alerting - This component group is critical to the smooth operation of the YOP Finance Platform as it provides the situational awareness required to manage the platform. Monitoring and Alerting are (or should be) two sides of the same coin. You need them both working properly for effective situational awareness. Monitoring is the process of observing a systems behaviour over time, Alerting is the process of triggering a notification in response to some event, threshold or other observed event., Without monitoring in place, you have nothing to alert on. Without alerting, you have no situational awareness. Without a response plan (or Standard Operating Procedure) your alert is not actionable. We will discuss more on Monitoring, Alerting and response plans in the section below on Administration. — Wallet Security - This component group includes services that we use to protect the YOP user, protocol and tokens. Gnosis Safe is used for managing multi-sig transaction on the YOP Finance protocol related to governance, Fireblocks is used for managing the YOP Finance Treasury and various other token pools including community, marketing and reserves, Elliptic is used to screen user wallets to ensure that no illegal or illicit funds are deposited into the YOP Finance protocol., — Administration - Keeping all of the above components running smoothly together and working as expected is an ongoing task. For proactive administration (e.g. harvesting strategies, changing vault caps or rebalancing emissions), we schedule these in advance and execute during the working day. For reactive administration, we rely on our monitoring & alerting tools as well as our standard operating procedures. — Monitoring Tools - At YOP Finance we use a selection of different monitoring tools for different purposes. This includes the following tool set: Sentry.io — Error monitoring for failed API requests between the Dapp and the backend API, Pingdom.com — real-time, actionable insights into your site’s uptime and performance. Used for Website, Docs Site and Dapp, DataDog — log file monitoring & for front end Dapp and back end APIs, Peg & Pool Monitoring — home grown system for monitoring stable coin and stETH pegs as well as the ratio of tokens in Curve pools. Alerts when specific thresholds are breeched (e.g. a de-pegging on 1% or a pool balance above 7-/30), — Alerting Tools - While many of the monitoring tools we use can do their own alerting, we find it far more efficient to have all the monitoring tools sending their alerts and notifications to Pager Duty, where we can configure on call rosters, escalation procedures and much more. — Standard Operating Procedures - Standard Operating Procedures (SOPs) are the step by step diagnostic and recovery documents which detail what to do in the event of a specific alert being triggered. For each alert, there needs to be an associated procedure which is executed in response to that alert. These procedures define what systems are affected, where to access them, what permissions are required and what specific steps to take to resolve an alert. We have been putting all these SOPs in place over the last number of months and will continue to build them out as well as new monitoring probes and alert thresholds as the protocol develops. For on chain SOPs, the complexity increases because of multi-signature governance. All YOP Finance Governance wallets have multi-key signing requirements meaning that multiple people need to be available for signing in order to execute an on chain step in an SOP. At the highest level of multi-sig is the main governance wallet, which requires 4 signers (out of a total of 9). This means that if we need to execute a core governance transaction out of hours, we need to make contact with at least 4 keyholders to get a transaction approved. In these situations (e.g. token depeg, protocol instability), time is of the essence, which means that it is vital to get signers activated as soon as possible. We are still working on the final multi-sig notification and alerting and aim to have this in place soon. — Conclusion - As you will hopefully have seen, there is quite a lot that goes into building and running a DeFi platform. It is not all about pushing out new features, partnerships and announcements. Spending time to ensure that the foundations are stable and that you have sufficient situational awareness is absolutely vital.
YOP Vault Strategies: Deep Dive and Announcement!
We’re happy to announce the launch of our latest Dune Dashboard covering the Vault strategies. With the launch of this new dashboard — we use this article go over our Vaults, the strategies within and their performance to date. The goal of this it to increase transparency with our community by sharing how we generate yield and monitor our risk. Dashboard Walkthrough You can find the new Strategies Dune Dashboard at: dune.com For each of the YOP Vaults there is the following information: - Strategy List: The list of strategies that the Vault has allocated to - Pool Balances: Visualises the token exposures that the strategies have - Total Tokens in Vault: Total amount of tokens currently under management of Vault - Allocated Tokens: Number of tokens allocated to strategies (earning yield) - Unallocated Tokens: Number of tokens unallocated (to service withdrawals without having to unwind strategy positions). Changes based on market conditions. - Days Since Last Harvest: Last time profits were claimed and distributed to Vault - Total Profit Earned ($): Total profits earned from all harvests, denominated in $ - Total Profit Earned (Token): Total profits earned from all harvests, denominated in native Vault token Vault Strategies Performance Review In the following there is an overview of the strategies that each Vault has/had an exposure to — and a performance review of each one. A “realised” Base APY is also shared. Note that the figures below do not account for any YOP Rewards that have been earned. USDC Vault: Strategy 1 (discontinued): Curve + Convex USDN Pool - Strategy Entry Date: 22/02/2022 - Strategy Exit Date: 01/04/2022 (see here for reason for exit) - Total Tokens Allocated: 47,500 USDC - Total Profits: 400.47 + 180.15 = 580.62 USDC - Realised Base APY: 11.84% Strategy 2 (live): Curve + Convex FRAX Pool - Strategy Entry Date: 16/05/2022 - Strategy Exit Date: Live - Total Tokens Allocated: 61,202 + 50,671 + 27,319 + 6,664 = 145,842 USDC - Total Profits: 180.17 + 588.61 + 503.63 = 1272.42 USDC - Realised Base APY: 3.59% USDT Vault: Strategy 1 (live): Curve + Convex FRAX Pool - Strategy Entry Date: 16/05/2022 - Strategy Exit Date: Live - Total Tokens Allocated: 62,148 + 30,201 + 12,440 + 11,102 = 115,891 USDT - Total Profits: 184.71 + 485.10 + 378.46 = 1048.27 USDT - Realised Base APY: 3.59% DAI Vault: Strategy 1 (live): Curve + Convex FRAX Pool - Strategy Entry Date: 16/05/2022 - Strategy Exit Date: Live - Total Tokens Allocated: 66,998 + 56,019 + 24,209 + 9,794 = 157,010 DAI - Total Profits: 198.31 + 648.89 + 532.64 = 1349.84 DAI - Realised Base APY: 3.59% BTC Vault: Strategy 1 (discontinued): Curve + Convex oBTC Pool - Strategy Entry Date: 11/04/2022 - Strategy Exit Date: 19/05/2022 - Total Tokens Allocated: 0.912 BTC - Total Profits: 0.0014 BTC - Realised Base APY: 1.47% Strategy 2 (live): Curve + Convex sBTC Pool - Strategy Entry Date: 19/05/2022 - Strategy Exit Date: Live - Total Tokens Allocated: 5.079 + 1.209 + 0.323 + 0.305 = 6.916 BTC - Total Profits: 0.00389 + 0.0215 + 0.0172 = 0.04259 BTC - Realised Base APY: 2.1% ETH Vault: Strategy 1 (live): Curve + Convex stETH Pool (Entry @ 1 stETH = 1 ETH) - Strategy Entry Date: 16/03/2022 - Strategy Exit Date: Live - Total Tokens Allocated: 15.96 ETH - Total Profits: Strategy not yet harvested (see here for reason) - Realised Base APY: n/a Strategy 2 (live): Curve + Convex stETH Pool (Entry @ 1stETH = 0.98 ETH) - Strategy Entry Date: 19/05/2022 - Strategy Exit Date: Live - Total Tokens Allocated: 65.44 ETH - Total Profits: Strategy not yet harvested (see here for reason) - Realised Base APY: n/a Active Risk Monitoring System In the following we describe the systems we have in place to make sure that your funds are safe. These have been integral in navigating the past few months of volatility in the markets. Key Risks As you may have picked up from above — we currently only employ liquidity provision strategies, and there are some unique risks that must be considered when using these: - Smart Contract Risk: Looks at the likelihood that a smart contract is exploited and cause a loss of funds. Super low risk in established protocols such as Curve + Convex. - Asset-de pegging: This is a loss that can be incurred if the value of any assets in a pool start to decrease (like we saw with UST and USDN). - Impermanent Loss: This is the loss incurred as the balance of assets in the pool change (similar to above) — but only applicable if assets within a pool are not worth the same. Factors we Monitor In order to ensure we can spot any of the risks above we have an active risk monitoring system — where we monitor key factors and take appropriate actions if there are any breaches in our thresholds. While we can’t reveal our secret sauce — below are a list of some of the key factors we monitor: - Unusual pool activity (withdrawals / deposits / swaps) - Accelerating imbalance of assets (token de-pegging) - Negative social sentiment / news Summary At YOP we embrace the key principles of DeFi — especially transparency. Whilst anyone can look on the blockchain to find information on our strategies, we make it a point to make it easy for our community. We believe it’s key for users to understand where their yield is coming from and how risks are mitigated. Gone are the days of handing over funds to “trusted” entities — we’re embracing the trustless nature of the blockchain.
YOP Finance — Free Gas Terms
YOP Finance — Free Gas Terms As part of the Vault Cap removal* that is happening on Monday 8th August, we want to take away your $ETH Gas pain, so you can take advantage. Below sets out how to qualify for the Free Gas (Gas Refund): When: From 12:01am UTC on Monday 8th August 2022 What: Up to $80 will be reimbursed for gas fees paid to deposit in the YOP Finance Vault and YOP Staking ($80 total, not per transaction) How to Qualify: Deposit a minimum of $1,000 into any Vault, AND stake a minimum of $1,000 of $YOP Tokens into the LockBox for a minimum 12-month period Who Qualifies: All new wallets i.e. any wallet that is not already connected to the YOP Finance platform How to Claim your Gas Refund: Once you have made the deposits, send us the details (email email@example.com) of your transactions from https://etherscan.io/, we will review and then refund the Gas back to the wallet you made the transactions from. The refund will be made in stablecoins. This is open to the first 100 new wallets that complete the above PLEASE NOTE: 1. If you do not fulfil all of the above criteria, your Gas will not be refunded 2. The $1,000 amounts for the Vaults and Staking will be valued at the time of the deposits (as shown on Etherscan). Therefore, if the price goes down after the fact, you will still qualify. If the price at point of deposit is below this threshold but subsequently rises above the threshold, this will not qualify *More details on the Vault Cap Removal will be coming next week
Trust and Transparency
At YOP Finance we pride ourselves in being transparent, so we can build trust with our community. The days of DeFi just being all about the high APYs are over, people want to know more about who they are working with to generate yield, and where that yield has come from. YOP Finance are completely transparent about how we earn yield for you. Currently we are generating it from the Curve and Convex protocols. We are even happy to share with you, which pools within those protocols we are using. For our stablecoins we are using the FRAX Curve Pool in both Curve and Convex, for $BTC we are using the sBTC pool on Curve, and for $ETH we are using the stETH pool in both Curve and Convex. You can find all the details on our Dune dashboards https://dune.com/yopfi/yop-strategies We are sure you are aware of the challenges that some platforms have had with their stETH exposure, and our exposure has pushed us to make decisions on this as well. As you may have read in one of our previous Medium posts, Pluto made sure that all our exposure was covered so that the users were not exposed. More details on this can be found here https://yopfi.medium.com/update-for-our-eth-vault-depositors-64a91f72eeaa Knowing where the yield comes from and how we manage to generate a double-digit yield is important for our users. I’ve heard too many people say that double digit yield is too risky, that there must be a trick or that somehow, it’s a ponzi scheme. Let us set the record straight right now with how YOP Finance achieves this and so you know what the risk is. We achieve a decent but modest APY in crypto terms, from the base APY. This is then topped up to the double digits using the $YOP emissions. The emissions have zero risk because they are owned and controlled 100% by YOP Finance, so all we are doing is moving $YOP from our wallet into your wallet. So yes, there is a risk for some of the APY, the base APY, but nothing like the same risk that one would be exposed to if all the APY was coming from the base APY. So, when Celsius and LUNA were giving 18%-20% APYs, that was very risky because all the APY was base APY. YOP Finance’s base APYs make up a small percentage of the total returns, therefore significantly reducing the risk exposure but at the same time generating the users a great return. Below is an example of the Base APY vs the $YOP Reward Emissions Top Up. Please note these numbers are constantly moving so this is just a representation. This is extremely important to understand, so that you know how we manage risk for you and the level of risk exposure you have. The automation we are building to provide you with automated risk management is there to protect you. The developments we are putting in place to show you the risk exposure of the pools we are deploying into, so we know what else is in that pool, and where the crypto in that pool came from, covering ourselves and our users from an AML perspective, is there to protect you. The monitoring and processes we put in place to ensure we are alerted to depegging events or bank runs is there to protect you. We will be sharing a detailed breakdown of this monitoring and the tools we have built very soon, as again, we want you to see and understand the level of care that goes into protecting you and managing your risk exposure. YOP Finance takes risk management very seriously, so when people doubt what we are achieving is possible, unless we are being reckless, it hurts. We need our users, our community to trust us, and we want to give you a great APY at the same time! Dave Burrells — COO of YOP Finance 🚀🚀🚀
Building a Roadmap…in the Crypto industry…Without estimates…in Winter
As you all know we have been reviewing the YOP Finance roadmap. When Pluto took over the product… sorry the concept of the product, we looked at what was needed to build the great DeFi product we envisaged. We did high-level relative estimations based on Epics that were created, with just the right amount of detail so they could be confidently sized. We then conducted research and analysis with people in the industry, performed competitor analysis, and asked the community what was important to them, and what they wanted. We then consulted various legal experts to get their input on our plans, to make sure that what we wanted to do did not breach any regulations that existed. We explored the different jurisdictions that we could launch the product out of, ensuring we were operating with the appropriate licences or registrations depending on where we were based, setting up the necessary subsidiaries as we progressed. Once our house was in order and the plans were agreed, we started building. The team built the app in a truly remarkable turnaround time. What was achieved between the start of development and the Private Launch was spectacular. Once we completed the Private Launch there were a few more features that needed completing before the Public Launch, but again the team got them all (and more) completed and ready for the Public Launch, on time 💪 We launched, we checked with the community and looked for feedback…. based on the feedback the original roadmap was no longer fit for purpose… so the process starts again 🤯 This may sound painful (yes it can be at times) but it is normal, it is expected, and because it is expected we adapt, we adjust, we move on. In the world of software development there are some rules…Dates that are provided over extended periods are always wrong — if the date applies to a feature that is not currently being worked on (and sometimes when it is being worked on), ignore it 😊 I am only half joking — Dates should not be taken as gospel. If you want 100% accurate dates, let me get back to you in 2 years with a Waterfall plan where every minute detail has been scrutinised. This didn’t work in the old world, and it certainly won’t work in the fast-moving crypto worldPriorities WILL change — Because a roadmap is created based on what we know now, when we release something, the landscape has been altered. What we knew is now different and we must re-evaluate — A kind of “Schrödinger’s cat” development challengeThere are always unknown, unknowns — We don’t know what these are, but we do know they will mess with us!Estimates will be wrong — See point 1Humans are strange — No matter which process is used (Scrum, Kanban, Scrumban, XP, Waterfall), none of these frameworks account for the crazy stuff, we all do …. even rocket scientists https://www.latimes.com/archives/la-xpm-1999-oct-01-mn-17288-story.html So, we will be releasing the updated roadmap very soon, I’m excited as there are a lot of cool features on it… one thing that there won’t be is estimates. We have kept it very simple. There are the features we are working on Now… these are actively being worked on and will be delivered soon. There are the Next features… yes you guessed it, these are coming after the features we are working on Now. Then there are the Future features. These are the features we have agreed we will build, so it is not just a wish list. When the roadmap is published, we will review and re-publish as needed….. see point 2 above 😊 By Dave Burrells — COO of YOP Finance 🚀🚀🚀
More Yield Incoming — We are Increasing Vault Caps Across Most Vaults
More Yield Incoming — We are Increasing Vault Caps Across Most Vaults Hey YOPies When you grow, we grow. Together. Today we are pleased to announce that once again we’re increasing the vault caps across some of our vaults. This is the third consecutive vault cap increase in less than two-months. The vaults are filling faster than expected despite the market storm out there. Our users trust us to deliver the best return on their crypto which keeps us even more motivated to keep building and improving YOP Finance. Here is a quick recap of the past two vault cap increasesMay 4th (YOP’s public launch) — The first vault cap increase where the vault caps across all vaults increased by 100%May 17th — The second vault cap increase where the vault cap across all vaults increased by 50% Today we’re pleased to announce that we’re raising the vault caps of our BTC and stablecoin vaults as follows:Bitcoin Genesis: 33% increase, from 7.5 BTC to 10 BTCDAI Genesis: 66% increase, from $150k, from $150,000 to 250,000USDT Genesis: 66% increase, from $150,000 to $250,000USDC Genesis: 66% increase, from $150,000 to $250,000 Suggested action steps: 👉 Boost your APY up to an explosive 10x by locking an appropriate amount of YOP tokens on https://app.yop.finance/boost. More information on how boosting works can be found in our documentation on https://docs.yop.finance As usual if you need any help don’t be shy, come and talk to us in Telegram and Discord. More YOP to you 😉
Update for our ETH vault depositors
The current macro environment has greatly reduced investors’ appetite for risk assets — affecting the overall cryptocurrency and technology market. Within DeFi (Decentralised Finance), this has led to many new “innovative” protocols and mechanisms being tested — as we have seen with the likes of LUNA/UST, WAVES/USDN. Due to the sustained drop in prices, many crypto institutions have been under pressure due to over-leverage. As a result of this, they have been forced to sell tokens into a declining market. One of the impacts of increased uncertainty and sell pressure has been seen on stETH. In the following there is a breakdown of the situation, how it could affect YOP depositors and what steps we have taken to make sure your funds are safe. What is stETH ? stETH is a staked version of ETH, issued by Lido Finance. stETH is fully backed 1:1 by ETH — unlike UST, which was mainly backed by LUNA. The ETH that has been locked into the Ethereum 2.0 proof of stake network is not redeemable until the Ethereum 2.0 merge is complete. This merge is due to happen before the end of the year but has already been pushed out a few times. Whilst stETH is not redeemable for ETH directly until after the Merge, there are secondary markets where it can be traded for ETH — exchanges include Curve, Uniswap and FTX. Under normal market conditions 1stETH = 1ETH, however due to leverage unwinding by large stETH holders this peg has come under pressure. The Curve pool (the most liquid trading venue) has become imbalanced with 80% of pool made up of stETH (ideally there is 50:50 ratio). This has resulted in stETH being around 5% under the peg at the time of writing. This means that you would get back 0.95 ETH for every stETH — compared to the full amount once the Merge is complete. How does stETH’s depeg impact YOP ETH Vault Depositors? As mentioned in the documentation (https://docs.yop.finance/yop-ecosystem/products/vaults), a percentage of the funds in the Vaults are allocated to Strategies to generate yield in other DeFi Protocols such as Curve and Convex. In the case of the Ethereum Vault — 53% of funds (81 ETH) are allocated to the stETH pool strategy on Curve, currently yielding over 9% p/a (in ETH). Since a part of ETH deposits are allocated to stETH (to provide liquidity to the Curve pool), depositors have an exposure to the price of stETH. This exposure is not realised until the YOP Strategy which carries this exposure to stETH is either harvested (claiming yield due) or unwound (withdrawing funds from the strategy). If any of the funds in the strategy are withdrawn, then the divergence in price between ETH and stETH would be locked in and a ~5% loss would be realised. Once the Ethereum 2.0 Merge completes and the ETH that is locked in Ethereum 2.0 is available to be withdrawn, we fully expect to see the stETH peg restore to a 1:1 with ETH, at which time we can harvest the strategy and realise the unclaimed Yield. Recommended course of action Depositors are always able to withdraw their funds from the Vaults, and this will not change. To ensure that none of our users are exposed to the current price variance of stETH in the YOP Strategy, Pluto have deposited approx. 60 ETH into the Vault. These funds will not be allocated to the stETH Strategy, but rather will be used to ensure any users who wish to withdraw their funds can do so safely and at no loss as they will not be triggering any withdrawals from the strategy — all withdrawals will be serviced by the funds in the Vault. If you are a long-term holder of ETH, and like us, believe that the stETH peg will be restored after the Merge, there are no actions to take — just hold your Vault deposit as normal and once we harvest the strategy after the Merge, you will get a share of the harvested yield. By keeping your funds in the ETH Vault, you are earning extra high yield from the stETH strategy (as more fees are generated from the market volatility). You can check the balance of the pool and price of stETH at: https://curve.fi/steth Please feel free to reach out to ask questions on our Telegram or Discord. All our socials can be found on https://yop.finance/. We will provide further updates around this situation as it unfolds. More YOP to you!