Yearn

Yearn is a yield optimization protocol for DeFi investors that simplifies and automates the process of earning interest across multiple platforms. At its core are yVaults, which act like high-performance crypto savings accounts. Users deposit assets such as stablecoins, ETH, or governance tokens, and Yearn routes them through risk-adjusted strategies across platforms like Curve, Aave, and Convex to generate yield. These strategies are executed by smart contracts and maintained by a decentralized community of strategists and contributors.

The latest version, Yearn V3, introduces modular vaults built using the ERC-4626 standard, supporting both single-strategy and multi-strategy configurations. This allows vaults to be customized to a user’s risk appetite, while also improving safety and transparency. Users can monitor yield performance, understand fees, and interact directly with smart contracts—empowering full asset control at all times.

In addition to yVaults, Yearn offers other innovative products like yLockers and yPools. yLockers enable users to lock governance tokens like CRV and PRISMA to gain governance power and yield through liquid derivatives. yPools serve as governance-driven baskets of liquid staking tokens (LSTs), such as yETH, providing index-like exposure and additional yield through protocol incentives.

A key pillar of the Yearn ecosystem is veYFI, a vote-escrowed version of the native YFI token. Users can lock YFI for up to 4 years to receive veYFI, which grants governance rights and significantly boosts rewards across supported vaults. For those who prefer flexibility, Liquid Lockers allow access to these benefits without direct locking, creating a more accessible DeFi governance layer.

Yearn stands out not only for its product suite but also for its unique organizational values: trust, autonomy, meritocracy, creativity, and chaos. It remains one of the few truly decentralized protocols where decisions are made by doers, not executives. Competitors include platforms like DefiLlama, Convex, and Enzyme Finance, but Yearn continues to lead with innovation, transparency, and community.

Yearn provides numerous benefits and features that set it apart in the DeFi yield aggregation ecosystem:

• Automated Yield Optimization: Yearn vaults automatically seek the best returns across protocols, freeing users from manual rebalancing and gas-heavy strategies.
• Community-Governed Vault Strategies: Strategists propose and deploy vault strategies, reviewed by contributors and approved via transparent governance.
• Flexible Risk Exposure: Vaults come in various risk tiers, and with Yearn V3, users can choose between single or multi-strategy exposure.
• veYFI and Liquid Lockers: Boost yield through direct token locking or use liquid locker integrations for yield boosts without long-term commitments.
• DeFi Integrations: Vaults are widely integrated into third-party UIs and protocols, including CowSwap, Llama, StakeDAO, and Cove.
• Real-Time Yield Tracking: Users can monitor vault returns, strategy performance, and price-per-share metrics via tools like PowerGlove.
• Permissionless Harvests: Anyone can call the harvest function to trigger vault rebalancing when economically viable, enhancing decentralization.
• DAO-Based Development: Contributors are empowered by principles of trust, respect, and autonomy to build new features without centralized approval.

Getting started with Yearn is quick and user-friendly for anyone with a crypto wallet:

• Visit the Platform: Go to yearn.fi and click on “Discover Products” to view available vaults.
• Connect Your Wallet: Use MetaMask or another Web3 wallet to connect to the platform.
• Choose a Vault: Browse yVaults based on asset type and projected yield. You can use filters for vault version, network, or risk.
• Deposit Funds: Select your vault and deposit the required asset (e.g., USDC, ETH, Curve LP tokens). Confirm the transaction in your wallet.
• Monitor and Harvest: Track performance via your dashboard. Vaults automatically compound yield, but you can manually trigger harvests if desired.
• Boost with veYFI: For extra rewards, lock YFI or use a liquid locker like StakeDAO, Cove, or 1UP to increase your APY.
• Withdraw Anytime: Withdraw your assets at any time from the vault interface. For locked assets, refer to staking and boost tabs.
• Need Help? Visit the Yearn documentation or open a support ticket in the community Discord.