Altcoin YFI, which allows its owners to generate yield, shows an increase in value, while a bunch of turbulent market is only trying to recover the loss from the recent decline.
The YFI token is growing due to repurchase
DeFi- Protocol Yearn.Finance offers loan and trading services that allow users to generate revenue from their holdings.
After the emergence of information that Yearn.Finance is actively buying up its own token, the price of the token increased by 50% in a short time. Yearn’s Twitter account, which has 159,200 followers, posted the following information:
“Yearn bought YFI on the open market for 7 526 З4З USD. We obtained 282.4 YFI (0.77% of total bid) at an average price of $ 26,651.
More YFIs have been bought in the last month than in the previous year. “
Yearn says it currently holds more than $ 45 million in its treasury and plans to buy more in the future.
In the investment world, companies often buy back when they believe their shares are undervalued or reward existing holders by reducing the total available offer.
As we can see, for the Etherium-based protocol, this step has paid off in many ways. The price of the YFI rose from a weekly low on Wednesday to $ 18,877 to the current $ 31 286.
Launched in July 2020, the token was worth about 30 dollars, flew to a staggering $ 90,000 in May this year, and then dropped to $ 33,000 in a matter of days.