Yieldly. Anyone who has decided to dip their toes into Algorand’s world of decentralized finance will immediately be pointed in the direction of yieldly.finance, Algorand’s first and most widely used DeFi platform. Launched in June 2021, Yieldly is the number one place to stake and grow your assets on the Algorand Blockchain.
What is Yieldly?
There are a lot of things to discuss when it comes to Yieldly’s current and future features, but lets start simply: The two main things a new user of Yieldly would be interested in is using their current bag of ALGO to grow more assets, and so we have the No-loss lottery (AKA ALGO Prize games) and YLDY Staking.
Yieldly’s No-Loss Lottery
Missed out on Governance? Dismayed that passive staking rewards are being reduced by the second, and want another way to make your ALGO work for you? Look no further than Yieldly’s No-Loss lottery, which is exactly what it sounds like.
In order to participate in the lottery, you must get tickets. Tickets are exchanged at a 1 for 1 ALGO to ticket rate, and can be swapped back at any time. Throughout the entire process, your tickets/algo are never at risk. Each week, the lottery then randomly selects 1 ticket out of all the tickets deposited, and that ticket wins a prize of roughly 15,000 ALGO accrued from staking rewards.
But that’s not all, everyone who stakes ALGO for a ticket automatically receives YLDY as a reward, which is Yieldly’s native token. Currently the APY for this payout is set at 9.4%, and you can claim your daily stake at around 9 PM PST each night. This means that you are constantly receiving YLDY just for depositing ALGO into the lottery, and the only risks you bear is the ever-constant risk that ALGO as a token will crash.
YLDY Staking Pools
Once you’ve received some native YLDY from either no-loss staking or purchasing through Tinyman or MEXC (requires KYC), you can then stake that YLDY for more YLDY or for various different ASAs partnered with Yieldly. The first pool you’ll want to know about is the YLDY to YLDY/Algo pool, which has a total value locked of about $32.5M USD and an APY of 25.3%
This pool however, does not have the same risk as the no-loss lottery we mentioned before. The price of YLDY is currently sitting at about 1.7 cents per token, but it’s certainly more volatile than ALGO itself. By holding or swapping to YLDY you do take on the additional risk that YLDY will crash/remain stagnant while ALGO moons. At this point and time, YLDY is the biggest player in Algorand’s DeFi ecosystem and so that doesn’t seem super likely, it’s certainly always a possibility in a constantly growing space.
Beyond just staking YLDY for YLDY though, there are many other exciting assets that Yieldly has partnered with to allow you to stake and receive their tokens daily. Current YLDY pools include.
YLDY -> AKITA (60%-100% APR)
YLDY -> XET (20-35 % APR)
YLDY -> ARCC (50-100% APR)
YLDY -> HDL
Along with some ASA (algorand standard assets) to ASA pools
XET -> XET
There are other features regarding Yieldly that you should know about, including liquidity pool token staking and the NFT no loss lottery. You can read more about both of those things here.
Connecting Your Wallet
If all this sounds great to you, then connecting your wallet and getting started is super easy. Head over to https://app.yieldly.finance/, and select “Connect Your Wallet” in the top right corner. Follow the instructions and scan your QR code if using the official Algorand wallet.
Once you’re connected, you can use the sidebar to select the ALGO Prize Game or various YLDY Staking pools; in both cases you will have to “opt in” to the smart contracts which requires locking a very small amount of Algorand in your wallet. This will include adding the ASA Yieldly to your wallet.
Learn More about Yieldly + Liquidity Providing
Now that you have a basic idea of what Yieldly is, there are a couple next steps you can Take. You can learn about $YLDY Tokenomics. You can learn about Tinyman and Liquidity providing, or you can learn how to maximize your Yieldly rewards and LP tokens.