Michael Egorov, founding father of Curve Finance, has launched Yield Foundation, a decentralized protocol constructed to provide sustainable BTC$109,658.51 yield while attempting down impermanent loss (IL), one of decentralized finance’s longest-running challenges.
Bitcoin holders have prolonged confronted runt opportunities for on-chain returns. Lending markets hardly ever provide bigger than a allotment of a percent, while computerized market maker (AMM) pools have uncovered customers to IL — the possibility of shedding mark when token prices diverge. Even in favorable prerequisites, yields hardly ever topped 1–2%.
Yield Foundation tackles this by reengineering the AMM model. The protocol will get rid of IL possibility altogether, which Egorov says will allow deeper Bitcoin liquidity on-chain and extra comely yield opportunities for institutional and dependable traders. To space up early thunder, three pools launched with a $1 million deposit cap each and each.
The system borrows from Curve’s five years of infrastructure resilience, adopting a vote-escrow mechanism (veYB) for governance. Token holders must lock their YB to participate in governance and assign protocol charges, disbursed in either Curve’s crvUSD stablecoin or wrapped Bitcoin. Not like many DeFi initiatives, token emissions aren’t simply handed to liquidity services; they are tied to predicament yield, a model Egorov calls “mark-keeping.”
Yield Foundation secured $5 million in early 2025 funding and is essentially the most fundamental undertaking to debut on the joint Legion and Kraken launchpad, the put the neighborhood can bag admission to its token sale. While Bitcoin is the initial point of interest, Egorov says the protocol’s impermanent loss solution may per chance per chance also lengthen to Ethereum, tokenized commodities or even stocks — potentially broadening the scope of yield-bearing property on-chain.
