FAQs
Where does the yield come from?
YieldFi deploys funds across blue-chip DeFi protocols, generating market neutral returns for investors. These returns are distributed to users in the form of yield-bearing tokens.
What could be the potential risks?
Counterparty Risk
Collateral Risk
What's your Risk Management Strategy?
At YieldFi, risk management is at the core of our operations, ensuring yield generation without compromising safety:
Smart Contract Risk – YieldFi's smart contracts have been audited multiple times by Tier 1 institutional auditors such as Halborn, Spearbit / Cantina, Cyfrin etc. Additionally, funds are never left idle in the smart contracts, reducing exposure to smart contract related vulnerabilities.
Diversified Deployment – Assets are split across trusted, blue-chip DeFi protocols (Pendle, Aave, Morpho, Ethena etc), ensuring no single point of failure.
Market-Neutral Strategies – Market-neutral strategies eliminate directional risk, providing stable returns regardless of price movements.
Secure Custody – All assets are transferred to whitelisted MPC wallets, requiring a minimum of 3 out of 5 signers to approve any transaction, ensuring maximum security and transparency.
Audit reports: https://docs.yield.fi/resources/audits
What is the lock-in period?
There is no lock-in period. Withdrawals can be requested at any time and 99% of the withdrawals are processed within 24 hours. Alternatively, users can instantly swap their yield-bearing assets for other assets using DEX aggregator such as CowSwap.
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