On April 15, Binance Wallet officially announced that it will launch the second season of Sei DeFi activities . Similar to the first season, this seasons activities will last for 6 weeks, with a total prize pool of 1.4 million US dollars. The main partner (accounting for 1.3 million US dollars in the prize pool) is still the first leading project of Sei ecology - Yei Finance .
Yei Finance: The rapid development of Sei Ecosystem Leader
Yei Finance is positioned as a decentralized money market (lending protocol) based on the Sei high-performance network , aiming to provide Sei ecosystem users with permissionless, secure, efficient, flexible and easy-to-use lending services.
On December 14, 2024, Yei Finance announced the completion of a US$2 million seed round of financing, led by Manifold, with participation from many well-known institutions such as DWF Ventures, Kronos Research, Outlier Ventures, Side Door Ventures and WOO.
As the mainstream lending market of Sei Ecosystem, the main features of Yei Finance are as follows:
Increased income : Through cooperation with Binance Wallet, after the incentive increase, the deposit APY of USDC on Yei Finance can be as high as 12.8%, which is almost the highest level in the mainstream lending market of major ecosystems.
Flexible borrowing : Yei Finance supports two borrowing modes, one is traditional over-collateralized borrowing, and the other is non-fully-collateralized flash loan borrowing, but both borrowing modes comply with strict risk parameters.
Dynamic interest rate : Yei Finance adopts a more flexible dynamic interest rate model that can be adjusted according to asset supply and demand fluctuations. This responsive mechanism maintains liquidity balance, with interest rates rising as borrowing demand increases and falling as borrowing demand decreases.
Efficient Mode (E-mode) : Yei Finance allows users to leverage price-correlated assets as collateral to maximize funding efficiency. This feature is particularly useful when trading assets such as stablecoins, as these assets always maintain a stable value relative to a specific reference currency (such as the US dollar).
Safe and reliable : Yei Finance is essentially a fork from the original Aave protocol, so Yei Finance benefits from Aave V3s fully tested and audited smart contract code base. In addition, the Yei Finance team has taken additional measures to hire a well-known third-party auditor, Zellic, to strengthen the audit of the protocol.
DeFillama data shows that Yei Finance currently ranks first in the Sei ecosystem with a real-time total locked value (TVL) of US$227.7 million, which is several times higher than other protocols. In addition, the Yei Finance official website shows that the total deposit and loan scale of the protocol has reached US$350 million (up to US$600 million at its peak), the number of users exceeds 130,000, and the monthly income of the protocol is as high as US$700,000.
Partnering with Binance Wallet to Achieve Rapid Growth
Looking back at Yei Finance’s growth path, high-quality and extensive ecological cooperation can be said to be the effective “secret” for the protocol to achieve rapid growth.
According to official disclosure by Yei Finance, the agreement has reached cooperation with many well-known institutions/projects such as Circle, Binance Wallet, OKX Wallet, Frax, Stargate, etc. Among them, the cooperation with Binance Wallet has directly boosted the data surge of Yei Finance.
On March 4, Binance Wallet launched the first season of Sei DeFi , which lasted for 6 weeks with a total prize pool of up to 1.5 million US dollars. During the event, you can share the rewards by cross-chaining assets to Sei EVM through Binance Wallet and depositing them in the Simple Yield Yei Finance pool (prize pool accounted for 1.3 million US dollars) or the Yield+ SEI Silo Pit strategy.
Data from the Binance Wallet interface shows that with the incentive increase of this activity, the APY of USDC deposits in the Yei Finance protocol has always remained at 11% - 16% . Attracted by such high interest rates, a large number of users began to flock to the Sei ecosystem through this path and deposit funds into Yei Finance.
According to Yei Finance’s post-event review, the collaboration with Binance Wallet attracted more than 750,000 visits in total, with 7,543 depositors, a total deposit value of US$759.8 million during the event, and a final retained locked value of US$166.7 million.
How to participate in the Refill Your Cup event?
The first season of cooperation between Yei Finance and Binance Wallet has officially ended today, but the two parties have announced the seamless launch of the second season of Sei DeFi activities , which will last until May 26, with the Yei Finance deposit activity accounting for US$1.3 million of the total prize pool of US$1.4 million.
Similar to the first season, users need to bridge their assets to Sei EVM through Binance Wallet and deposit them into the Simple Yield Yei Finance pool. However, in addition to USDC deposits, this period is expected to provide solvBTC deposit incentives - the Binance Wallet page temporarily shows coming soon, the details are unknown, and it is worth paying attention to.
Yei Finance Points Program: A surprise of killing two birds with one stone?
In addition to the clear higher APY, Yei Finance has also launched a points program.
According to the official introduction of Yei Finance, currently, if you deposit SEI, WSEI, USDT or USDC in the protocol, you can earn 1 point per day for every US dollar borrowed; if you lend SEI, WSEI, USDT or USDC in the protocol, you can earn 4 points for every US dollar borrowed.
In addition, users can also invite more users to join through the sharing system and get a share of the invited users’ points. In addition, you can also get double points after completing Galxe tasks during the Binance Wallet cooperation event.
Although Yei Finance has not yet identified the points users, combined with the current industry norms, the points display will become a reference certificate for Yei Finances future TGE airdrops.
Perhaps the best place for stablecoins at present
As the market fluctuates repeatedly and its direction is unclear, investors are becoming more cautious about the stablecoin chips in their hands, and the demand for lossless financial management is gradually increasing.
However, for most users, the yield of stablecoin interest-bearing financial management in the current exchange is too low, and various DeFi protocols have certain operational difficulties and unknown risks, making it difficult to find a trustworthy and profitable stablecoin destination. In this context, the cooperation between Yei Finance and Binance Wallet effectively solved this problem. On the one hand, Binance Wallets endorsement strengthened the credibility of Yei Finance, and on the other hand, the event also provided users with clear and definite path guidance.
In the current market environment, with a stable 12%+ stablecoin return and potential airdrop expectations, it is difficult to find a better place to hold stablecoins.
