Many people in the decentralized finance (DeFi) market are probably going out of control with new projects in yield farming. It’s no longer SUSHI nor YAM, a new DeFi farming token, KIMCHI is becoming, if not already the hottest in yield farming. We are left to see how the KIMCHI token, a fork of SUSHI, will play out in the coming days.
Newest DeFi farming token, KIMCHi secured $500M within hours
It is crazy to see how many people are locking their capitals in unaudited smart contracts, due to the high annual percentage yield (APY) per se. KIMCHI, which arguably hasn’t lived up to a day, reportedly locked up about $500 million in value all from staking activities. However, the figure reportedly went down to as low as $150 million along the line, following a similar trend as YAM.
YAM is one of the DeFi farming tokens that attracted lots of attention during its early stage. The token skyrocketed to more than $150 and later dropped to $0 entirely, probably in a matter of 48 hours. Noteworthily, the sudden doom of the YAM token came after the creators announced a bug on the project which was reportedly unfixable.
KIMCHI, a DeFi farming token forked from SUSHI and Yuno
The newest DeFi farming token is a fork of Yuno and SUSHI. It is better to say that KIMCHI is a SUSHI-cloned token. The protocol, which is known as KIMCHI.FINANCE, allows users to farm several tokens, such as USDT, Ether (ETH), TEND, SUSHI, and some other Uniswap assets, for a higher interest. The project’s website claims that users would get up to 29,268% APY for KIMCHI/ETH, 39,598% APY for KIMCHI/SUSHI, 38,714% APY for KIMCHI/TEND, and more. While KIMCHI looks like the next hottest farming token, users should also know that it is very risky, especially since it is running on an unaudited smart contract.