Unlike some other exchanges and DeFi aggregators, YIELD App operates a transparent reporting model whereby the actual fund performance, ‘Net Network Proceeds’ (NNP) will be shared with our community by way of offering users a minimum APY on their stablecoin assets.
The NNP is derived from the actual fund performance returns (Gross Network Proceeds or GNP) less YIELD App’s trading fees, which includes third-party research and structured hedging costs, etc. One percentage point of YIELD App’s APY (equivalent to 1% of customer AUM) is segregated and allocated to the YIELD App insurance pool for the protection of users. The insurance pool $Value along with YLD treasury rebalancing data will be reported monthly on the YIELD website.
In order to avoid APY volatility and support the YLD token rewards, YIELD App currently offers a minimum daily NNP value expressed as APY (annual percentage yield) at a rate of 10% which is added to your account as a daily $ value.
For example, if you invested $10,000 into our fund today, after you have been invested for 24 hours you will receive a minimum APY of 10%, which would equal a $ gain in your account to the value of $2.74:
- ($10,000 x 10%)/365 = $2.74
- Over 1 year this would equal $1,000 or 10%.
To benefit fully from YIELD App’s portfolio performance and the potential returns possible from investing in DeFi assets offered through YIELD App, users can hold YLD tokens to increase their returns from 12% up to 20%.
To ensure continuous supply of YLD rewards that are distributed to users through the YLD Loyalty & Rewards program, YIELD App will periodically purchase YLD tokens on the open market for treasury re-balancing. Details will be published on YIELD.app and will include the total number of tokens purchased and weighted average price during the reporting period.