### The YFI Token The ecosystem’s proprietary token is YFI. It can be generated by locking cryptocurrencies (let’s say Ether or Bitcoin) in Yearn.Finance contracts running on the Curve or Balancer trading platforms using the Yearn.Finance platform itself. For example, users can earn YFI by depositing yCRV (Curves Pool token) into the yGov pool. YFI owners enjoy a range of incentives distributed automatically by the Yearn.Finance protocol. These incentives make the YFI token more attractive and have helped increase its value, giving it a market cap of over $700 million. Although the project has been one of the fastest growing, it still has room for growth and here are why: ● Yearn.Finance is a multifunctional gateway for the DeFi space and will remain in demand as more and more people want to get the best Yield Log Offers. ● The YFI supply is limited to 36,666 tokens. Thus, the token is very scarce and the only variable is demand. This supports higher prices for YFI. ● YFI can be staked and holders are eligible to participate in the platform’s governance process. ● In the longer term, platforms like Yearn.Finance could thrive as Ethereum transitions to Proof of Stake (PoS) and becomes able to host even more DeFi projects without congestion. ● Yearn.Finance developers are working on several new products that may attract more users. ● The [annual return](https://www.stakingrewards.com/earn/yearn-finance/) for YFI staking is over 17% today, which is above average.
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