YAM V3

Overview

YAM V3 is a decentralized cryptocurrency protocol launched in 2020 as an experimental DeFi governance token. The project aimed to create a community-governed financial protocol with elastic supply mechanics.

Purpose and Utility

The primary intended utility of YAM is governance rights over the protocol's treasury and decision-making. Token holders can propose and vote on protocol changes and treasury allocations. The protocol originally featured rebasing mechanics to target a USD peg, though this feature was later modified.

Current Usage

On-chain analysis shows very limited current usage of the YAM token. The project's governance participation has declined significantly since its launch, and treasury activities appear minimal. Development activity has also been sparse in recent periods.

Business Model Evaluation

The core business model revolves around community governance of a treasury and protocol parameters. While the governance utility itself is permissible from a Shariah perspective, the protocol has implemented yield farming and lending features that involve interest-bearing mechanisms.

Token Distribution

The token distribution included no pre-mine for founders and was launched with a fair distribution model through yield farming. There were no lockups or vesting periods since the team did not allocate tokens to themselves initially.