PowerPool, a project exploring the utility of Ethereum-based governance tokens, has launched YETI, an index and “meta-governance” token, for the Yearn.finance ecosystem.
It has been reported that YETI was conceived by Messari’s Ryan Watkins, who published the proposal for a Yearn.finance ecosystem index token to PowerPool’s governance forums on December 4.
A Messari researcher stated:
“Despite development and community resources being merged” among the YFI ecosystem members, “governance among these protocols remains separate.”
He wrote that the index would offer investors “a passive vehicle for board exposure to the Yearn ecosystem” while providing Yearn an opportunity to formalize its recent mergers, and align “the treasuries and governance systems of the protocols in its ecosystem.”
However, he wrote the index would offer investors “a passive vehicle for board exposure to the Yearn ecosystem” while providing Yearn an opportunity to formalize its recent mergers and align “the treasuries and governance systems of the protocols in its ecosystem,” as he proposed.
The report said that the meta-governance layer to PowerPool’s index tokens allows YETI holders to participate in governance across the Yearn ecosystem via a single interface, which PowerPool said simplifies the user experience and provides “an opportunity to save gas costs.”
Powerpool’s “meta-governance” token for the Yearn ecosystem allows holders to vote on governance proposals for any of its eight underlying assets. https://t.co/tD7pmydDO6 — Cointelegraph (@Cointelegraph) December 10, 2020
Also, YETI token holders can become liquidity providers for any tokens in the index and earn yields from tokens pooled in the underlying protocol’s yield generating vaults. They also receive proceeds from a 0.2% swap fee from token swaps occurring within the YETI pool.
Thus, Yield farmers supplying tokens to the YETI index will be able to earn a share of 250,000 of PowerPool’s native CVP tokens monthly over 10 weeks, while 200,000 CVP have been allocated for liquidity providers for Balancer’s YETI/ETH 80-20 pool.
Source: Cointelegraph