Search…
πŸ’ͺ YSL.IO Optimisation
The YSL.IO Optimisation function is capable of optimising a DeFi users return by up to 300%!

What is a Yield Optimiser?

A yield optimiser can be described as a tool designed to maximise the performance and revenue from crypto assets held within DeFi yield farming platforms. Yield optimisers are traditionally more efficient when compared to manual methods of maximising yields, as they are capable of automatically harvesting any returns made from deposited crypto assets, and subsequently deposit the gains back into the same vault(s). Given its programmable nature, this action can be performed by an optimiser countless times, progressively increasing the yield generated from a DeFi users farming position. Although fairly simplistic, it has been one of the drivers behind the large APYs seen across the DeFi yield optimisation space.

YSL.IO Optimisation

As previously mentioned, the traditional method of yield optimisation solely involves compounding harvested returns on a daily basis, a technique performed by countless yield optimisers in the DeFi space. Unlike traditional optimisers that harvest and compound interest daily, the YSL.IO protocol has been designed to maximise returns through the creation of YSL-BUSD locked liquidity and has the capability of optimising positions held by users on AMMs (such as ApeSwap Finance or PancakeSwap) by 300%!
To benefit from YSL.IO Optimisation, a user simply needs to deposit their LP tokens (Zero Deposit Fees) into any corresponding vault held on YSL.IO. The protocol will subsequently auto-harvest and compound the returns (daily) generated from the users farming position. When the user decides to harvest their sYSL rewards, the protocol will generate Optimised Yields (sYSL tokens) for the user. These Optimised Yields will be equivalent to 300% of the Compounded Returns generated on their position. A user is then able to stake their harvested sYSL tokens in the sYSL vault to earn a share of the Liquidity Mining Rewards!
The YSL.IO protocol is capable of generating this level of return due to its unique capability of creating 200% of YSL-BUSD locked liquidity autonomously when the harvest function is called upon by the user, with the amount of Optimised Yields received by the user being primarily dependent upon the APR (%) of the third-party token being compounded. Please note, the protocols optimisation function excludes the sYSL, xYSL, YSL-BUSD, sYSL-BUSD and xYSL-BUSD vaults.
​
βš™
The process is outlined below:
    ​
    β˜‘
    Step 1 – Deposit LP Tokens
      User deposits their LP tokens into any vault held on YSL.IO with Zero Deposit Fees.
      The protocol will then optimise the user's third-party tokens (eg. BANANA).
    ​
    ​
    β˜‘
    Step 2 – Controller Fee and Optimisation Tax
      To perform the optimisation a Controller Fee will be deducted daily from the APR (%).
        This fee will vary from 0.3% to 1% and will be converted into BNB to cover gas-related costs incurred by the protocol.
      15% of the remaining token APR (%) is collected daily as an Optimisation Tax.
        The collected tokens are immediately converted by the protocol into BUSD.
        The sum total of BUSD is then split, with 5% being contributed to Auto-Locked Liquidity Mechanism, and 10% will be used to purchase and burn the xYSL token.
    ​
    ​
    β˜‘
    Step 3 – Compounded Returns (APR)
      The remaining token APR (%) will be harvested daily by the protocol and deposited back into the third-party platform, with the protocol holding ownership on the newly minted LP tokens received in exchange.
      The value (in dollar terms) of the compounded third-party tokens will then be displayed on the user's YSL.IO vault with the 300% Optimisation Multiplier applied.
      The value (in dollar terms) displayed on the vault interface (sYSL rewards) will only be provided to the user in the form of sYSL tokens when the user performs a vault harvest.
    ​
    ​
    β˜‘
    Step 4 – Locked Liquidity
      When a user decides to harvest their sYSL rewards by calling upon the harvest function, the protocol will first create locked liquidity.
      To do this, the protocol will exchange the Compounded Returns into BUSD.
        Please note: slippage may result in a lower amount of BUSD being acquired due to the price impact of the third-party token being exchanged.
      100% of the acquired BUSD will be matched, with an equivalent value of YSL tokens being minted by the protocol, creating 200% of YSL-BUSD liquidity.
      The sum total is then sent to the YSL-BUSD pool (ApeSwap), with all the LP tokens being subsequently deposited into the locked liquidity contract for a predetermined period of 1000 years.
    ​
    ​
    β˜‘
    Step 5 – 300% Optimised Yields (APY)
      Optimised Yields are generated when the harvest function is called upon by the user.
      The protocol will then mint sYSL tokens for the user (Optimised Yields).
      The Optimised Yields will be equivalent to 300% of the Compounded Returns generated by the user's position.

​
πŸ‘‰
Learn more about YSL.IO Amplification and YSL.IO Block Rewards​

Last modified 5d ago