HOME CATEGORIES WRITE AND EARN 🔍
CATEGORIES WRITE AND EARN MORE

CRYPTO NEWS

Your favorite crypto news blog

Ethereum Founder Vitalik Is Steering Clear of Yearn.finance Until It “Settles Down”

Altcoins 2020/09/01 05:00 by Nick Chong

Decentralized finance (DeFi) has taken Ethereum by storm over recent months. This sector of the crypto and ETH economy has grown exponentially, both in terms of capital/dollar value and in terms of active users.

While this segment of Ethereum has undoubtedly bolstered the project, founder Vitalik Buterin is steering clear for the time being.

Related Reading: Crypto Tidbits: MicroStrategy’s $250m Bitcoin Purchase, ETH DeFi Boom, BitMEX KYC

Ethereum Founder Vitalik Is Not Big on Yield Farming Just Yet

Vitalik Buterin, the founder of Ethereum, commented on August 31st that he wants to steer clear of yield farming until it “settles down.” He specifically referenced a comment from an investor saying that there is a vast amount of human capital entering YFI:

“I personally am steering clear of the yield farming space completely until it settles down into something more sustainable. But I’m not particularly a “smart mind in defi” so….”

Related Reading: Here’s Why This Crypto CEO Thinks Bitcoin Soon Hits $15,000

Not the Only Skeptic of Yield Farming in the Short Term

He isn’t the only skeptic of Ethereum’s decentralized finance space, at least in its current, short-term meta.

Tony Sheng, a former analyst at Multicoin Capital, recently noted that he is “pretty scared” by the “grocery coin thing.” The term “grocery coin” was made in reference to the vast number of DeFi protocols and coins that have adopted the names of common foods. In Sheng’s words:

“i’m pretty scared by this grocery coin thing. not for defi insiders who know how to diff contracts and manage their own risk, but for their friends and friends of friends who show up to play the “game.” A big loss of funds is inevitable be it a hack or a scam.”

Another skeptic is “Weeb Mcgee,” an Ethereum developer whose real name is John Lim. Weeb has become a prominent member of the Ethereum community after creating a number of tools that allow users to bolster their DeFi interactions.

“Yep. I’m on the record saying yield farming meta is an unsustainable zero sum game. The big winners here are protocols benefitting by capturing permanent value via inflated prices / sudden movements of funds,” Mcgee said.

It is currently unclear how Ethereum DeFi will transition from its current state to one that is more sustainable in the longer run.

Related Reading: These 3 Trends Suggest Bitcoin Is Poised to Bounce After $1,000 Drop
Featured Image from Shutterstock
Price tags: ethusd, ethbtc, yfiusd, yfibtc, yfieth
Charts from TradingView.com
Ethereum Founder Vitalik Is Steering Clear of Yearn.finance Until It "Settles Down"

0 Like(s)



You should also read...

Altcoins 24/06/20 23:00 by Cole Petersen
A DCG Executive Has an Unexpected Concern for Ethereum’s DeFi
The Ethereum-based DeFi sector has been consuming the bandwidth of the crypto sphere in recent times, being at the forefront of most conversations due to its exploding popularity. One new trend dubbed...
Read More
Bitcoin 23/08/20 00:00 by Nick Chong
This Textbook Indicator Suggests Tezos (XTZ) Will Soon Recover Against Bitcoin
Earlier this month, Tezos (XTZ) was all the rage. After Bitcoin stalled in the $11,000s, the price of the altcoin shot higher independently of the leading cryptocurrency. As a result, the XTZ/BTC pair...
Read More
Other 18/12/20 14:20 by PR DESK
GoldenPyrex Launches Robust DeFi Ecosystem for Yield Farming, Gaming, and NFTs
As part of efforts to boost the growth of the DeFi ecosystem, GoldenPyrex is ushering in a robust and sustainable DeFi ecosystem for yield farming, gaming, and Non-fungible Tokens (NFTs). The ecosyst...
Read More
Bitcoin 15/02/21 09:11 by Guest Author
YFBTC Yield Farming is Now Live, Offers Opportunity to Earn BTC’s DeFi Alternative
The popular emerging DeFi token, YFBTC has recently announced the launch of its yield farming program enabling Bitcoin hodlers to farm additional returns. The program also allows users holding wBTC &a...
Read More
Altcoins 17/03/21 08:30 by Gautham
Clever DeFi Lists CLVA Token on Uniswap
Clever, a fully decentralized finance protocol has announced the listing of its native token CLVA on popular decentralized exchange platform Uniswap. Token Listed in CLVA/ETH Trading Pairs CLVA was li...
Read More