Yam Finance, one of the first DeFi protocols in the profitable farming segment, is trying to break into the market again after a bad start in August.
The Yam Finance project entered the market in mid-August. It was a time when the hype around the new “profitable farming” movement was stirring in the DeFi industry.
The launch was successful – in just one day, crypto farmers invested over $76 million in the new protocol. Investors were not stopped even by warnings from industry experts that the project could turn out to be a classic pumping and dumping scheme.
However, then the situation changed radically, and just two days later, the internal token of the YAM project collapsed by an impressive 99%. The reason for this crash was a vulnerability identified in the protocol. An error discovered in the token rebasing function potentially deprived YAM token holders of the opportunity to influence the development of the project.
Attempts by the developers to fix the bug were unsuccessful, even with community support. However, the creators of the project did not lose heart and immediately announced the creation of version 2.0 of the token.
Lucky for the third time?
Now Yam Finance is preparing to migrate YAMv2 tokens to new 3.0 contracts. The project team officially notified the participants of the crypto community about this on September 17. The migration will take place today, September 18 at 23.00 Moscow time.
According to earlier announcements, the new v3 protocol will feature a single YAM/yUSD liquidity pool, with a total reward of around 925,000 YAM. Ten percent of this pool will be allocated in the first week starting September 19.
For v2 token holders, the migration process will be done manually based on a 1: 1 token ratio. There are no deadlines for migration. The project also promised to create a multisig wallet with multisig functionality to support users who skipped the first migration from v1 to v2.
Against the background of this news, the YAM v2 token rate perked up and reached highs above $32 on September 15. After that, the price pulled back, but stabilized around $ 25, according to Coingecko.
Earlier in early September, the token attacked the $50 mark, but after that it lost half of its points. In general, in the Coinmarketcap rating, it now occupies 2266th place in terms of market capitalization. Perhaps the launch of v3 will breathe new life into YAM.