Audit reports from: @statemindio @chain_security @Quantstamp @electisec @MixBytes @PashovAuditGrp

Here’s the concept of @yieldbasis : An AMM that 2x leverage your liquidity to mitigate the impermanent loss with boosted yield. 🔸Cryptoswap with Stableswap Invariant: In theory, maintaining a 2x leverage can mitigate IL, but in Uni V2 it only 2x your losses. Simulation shows an improved result in Curve's Cryptoswap once it combines with Stableswap Invariant. 🔸2x Leverages but how? 1) You deposit BTC (let's say $100K) in YB 2) YB borrow $100K $crvUSD against your BTC 3) Form a $200K LP to borrow another $100K crvUSD 4) Then repay the first loan (100K $crvUSD) 5) Finally, it forms a 2x leveraged LP 6) All happened in one atomic swap, and the purpose of this design is avoiding 1 to 1 borrowing (100% LTV) but rather keeping a 50% LTV. 🔸Releverage Algo: To maintain a 2x leverage, YB uses another specialized AMM to automatically adjusts the position by managing debt against your LP. E.g, When BTC moves 10% up, your debt goes up by 10% accordingly, this keeps the debt / collateral ratio at 50:50. 🔸Subsiding and Rebalancing: In YB, concentrated liquidity is constantly rebalancing. In which, 50% of the fees from the AMM and ~50% of the crvUSD interest will go back to subsidise the budget of moving the CL for the best depth and fee generation. 🔸Take $YB or Take $BTC: If you do not stake your LP, you get $BTC real yield. If you stake your LP, you can $YB emission, which is entities to a % of yield taken from the fee too. The Dynamic ? As more LPs are staked, the more fee is collected from the yield for $YB. In contrast, if no LP staked, only a floor yield will be taken from the fee. -------------------------------------------------------- Quick thought 🧠: Interesting but complicated. YB core concept is basically leveraging cryptoswap design with stableswap invarient while using boosted yields from leveraged BTC positions to pay for rebalance costs. On the other hand, $YB token form a nice game theory between protocol believer and yield farmer. If this works, YB could attract a lot of bridged BTC by offering yields that outperform current market borrowing rates. This should also boost crvUSD adoption, a W-W solution for @CurveFinance I think. However, given the complex design, reliance on flash loans and a lot of mathematical assumptions. We should pay attention to potential smart contract vulnerabilities and flash loan attacks during implementation. *Thanks @newmichwill, @llamaintern and the team for patiently answering all my questions. As always, NFA and DYOR🎙️. I do not own a bag.

_ @yieldbasis is coming

EXCLUSIVE: How To Earn Real Bitcoin Yield Without Impermanent Loss with Michael Egorov Impermanent loss: crypto's most misnamed problem that has permanently damaged countless LP portfolios. In today's episode, @ayyyeandy & @robbie_rollup sit down with @CurveFinance founder, @newmichwill to cover: > The Math Behind Impermanent Loss > How Yield Basis "Squares the Square Root" > Why Constant Leverage Changes Everything > Bitcoin's Ideal Volatility Profile > The New Token Model That Lets Users Choose Real Yield Full episode links below. Timestamps: 00:00 Intro 00:38 Magic Ad 00:54 DeFi Liquidity Basics 05:40 Curve Early Days 11:07 DeFi Summer with @AndreCronjeTech 14:53 UST Crash Warning 19:11 Curve Wars Explained 22:34 Fixing Impermanent Loss 27:43 Yield Basis Design 33:21 Bitcoin's Stable Side 37:00 Using @yieldbasis 37:54 Frax Ad 44:56 Admin Fee Breakdown 56:07 Why Crypto Matters 58:43 Launch Plans

Michael Egorov's new protocol is designed to eliminate impermanent loss through leveraged Curve crypto pools