First there were Tendies and YFI. Then came (and went) YAM. And, as of yesterday, we have Based Money.
Meet today’s decentralized finance (DeFi), in what amounts to a crossover between massive multiplayer online (MMO) games, like World of Warcraft, and crypto pump-and-dump schemes.
These aren’t the same DeFi projects launched earlier this summer, said Amentum Capital co-founder Steven McKie. They’re projects are about leveraging Ethereum’s tech for unintended uses. They’re about making crypto fun again.
Related: Market Wrap: Stuck at $11.5K, Bitcoin Surpasses 25K Locked in DeFi
They’re about making money.
Yam Finance launched Tuesday. By the following day, YAM shot upwards of $160 per token and had some $700 million in no-loss collateral obligations under contract (aka yield farming). Early Thursday morning, YAM entered Github Valhalla when a bug locked the project’s governance and $750,000 treasury. The token’s market cap swiftly lost $60 million in 35 minutes.