Projects will do everything possible to look like they’re abiding by the new unwritten DeFi rules (no pre-mine, no VC money, 100% community-owned “valueless” token, decentralized governance). Once they’ve set the stage, they’ll look for ways to make a quick profit as soon as the project gains steam. Chef Nomi is one example with SushiSwap, Chef Insurance of SAFE is another.
YieldFarming.Insure launched with the commendable stated goal to incentivize DeFi traders to protect their investments with insurance instruments. Yield farmers who buy cover on their assets on Yearn Finance’s yinsure.finance, can stake the yNFTs tokens they get in exchange, on YieldFarming.Insure. Stakers would then receive $SAFE tokens in return.
The first three token pools added were for yNFT-ETH, yNFT-DAI and yNFT-WNXM. WNXM is insurance provider Nexus Mutual’s token.
The project had good initial traction with SAFE soaring by more than 10x to over $4k in just one day.