YFI Risk

Yearn (YFI)
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DESCRIPTION

Yearn.Finance (YFI) is the cryptocurrency of the Yearn Finance platform which houses a collection of decentralized finance (DeFi) products that allow its users to earn interest on their crypto assets using smart contract platforms like Ethereum. When YFI was launched, it distributed its initial 30,000 tokens equally to liquidity providers and platform users.Previously known as yEarn.finance, Yearn Finance was developed entirely by Andre Cronje, a South African software developer. In November and December 2020, Yearn merged with DeFi protocol, Yearn fork Pickle Finance, DeFi loss insurance protocol Cover Protocol, and institutional service provider Akropolis’s Development.
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Yearn (YFI) : https://www.allcryptowhitepapers.com/wp-content/uploads/2020/12/YFI3.pdf
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RISKS OF YFI

Any investment in cryptocurrency and digital assets, such as YFI, can include the following general risks:(i) volatility risk and liquidity risk(ii) short history risk(iii) demand risk(iv) forking risk(v) code defect risk(vi) regulatory risk(vii) electronic trading risk(viii) cyber security risk

For additional information of risks associated with cryptocurrency and digital assets, you may refer to the Satstreet Inc Services Risk Statement. In terms of specific risks, as YFI is one of the longest-standing crypto assets and its community base is widely decentralized, there is no central working group or authority to disclose material information to the public regarding YFI. Please note that these risks and the associated summaries or overviews provided for each herein are not intended to be a complete overview of all such risks and, in addition, there may be other risks that come with exposure to YFI. We encourage all users to perform their own due diligence to assess the risks associated with YFI and to determine whether this level of risk is acceptable to them. Neither YFI nor Satstreet guarantees the value of YFI, and holders of YFI will not have any recourse to YFI or Satstreet if the value of YFI declines for any reason whatsoever.

SATSTREET EVALUATION OF YFI

Satstreet Inc. has reviewed and assessed YFI prior to making it available through our services and has concluded that YFI is not a security or derivative under Canadian securities legislation; however, there is a risk that this conclusion could change in the future and that, in such event, Satstreet will be required to halt, suspend, and then remove YFI from its platform as described in the Satstreet Inc. Services Risk Statement.

Further, as indicated above, no Canadian securities regulatory authority has expressed an opinion about YFI, including an opinion that YFI is not itself a security and/or derivative. Based on publicly available information Satstreet has reviewed YFI, including, but not limited to, a review of the following: The creation, governance, usage, and design of YFI, including the source code, security, and roadmap for growth in the developer community and, if applicable, the background of the developer(s) that created YFI. The supply, demand, maturity, utility, and liquidity of YFI. Material technical risks associated with YFI, including any code defects, security breaches and other threats concerning YFI and its supporting blockchain (such as the susceptibility to hacking and impact of forking), or the practices and protocols that apply to them. Legal and regulatory risks associated with YFI, including (i) any pending, potential, or prior civil, regulatory, criminal, or enforcement action relating to the issuance, distribution, or use of YFI, and (ii) statements made by any securities regulatory authorities in Canada, other regulators in IOSCO-member jurisdictions, or the regulator with the most significant connection to YFI about whether YFI, or generally about whether the type of crypto asset, is a security and/or derivative.

Last Updated: June 2023

Risk Statements

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