All you need to know about the Yanda protocol.
What is Yanda protocol?
Yanda is a decentralized protocol compatible with ERC-20 tokens, and Ethereum, via smart contracts that provide an infrastructure for transparency by enabling the community to validate and monitor operations made by brokers of services operating on centralized exchanges (CEXs). As transactions on CEXs are logged on-chain, Yanda's protocol verifies automation for end-user safety and rates brokers based on their performance.
Yanda is a hybrid protocol (HyFi, or hybrid finance protocol), meaning that it combines both DeFi (Decentralized Finance) and CeFi (Centralized Finance) features in itself. It keeps the decentralised features of DeFi whilst also benefiting from key CeFi features, by limiting slippage, reducing fees, exchanging assets between networks, saving transactions on-chain and validating them and a range of other applications.
Yanda HyFi protocol started as an automated trading solution and it will offer a suite of ever-expanding services. This suite includes:
Cross-chain swaps, smart contract internet protocols that enable the swap of tokens between two unique blockchain ecosystems;
Network bridges, cryptocurrency protocols that enable an exchange of cryptocurrency or NFTs from one blockchain network to another.
It can also provide virtual/hybrid market pairs, on/off ramp solutions and the ability to create and govern stablecoins with minting and other features for digital money (such as Bitcoin and Ethereum).
Infrastructure and Governance
Yanda's protocol is based on a Decentralized Autonomous Organization (DAO) and implemented using ERC-20 smart contracts (Ethereum-compatible). Through its native cryptocurrency, the Yanda Token (YND), holders can participate in the ecosystem's governance and vote on changes. The governance for token holders is implemented through:
Proposals
Every wallet holding an amount equal to or greater than 5,000,000 YND can create a proposal. Once created, there will be a 1-week voting delay period. The community can get acquainted with it, and token holders can delegate their voting power to themselves or another address.
Voting & Delegation
This will be followed by a voting period, where individuals can vote, with their voting being weighted by their amount of delegated YND; following the formula:
Voting weight = YND delegated / YND total supply
Once the voting period ends, if the proposal passes the quorum successfully, the governor will execute the proposal through a smart-contract interaction.
Quorum Levels
The Quorum Level is calculated on top of the YND total supply and is put in place to avoid hostile takeovers from large YND token holders. The protocol was designed with an initial quorum level that can be changed by governance vote:
50% grantRole (T);
50% revokeRole (T);
50% updateQuorumNumerator (G);
25% addService (T);
4% any other methods not specified above.
Smart Contract
Yanda protocol is based on a series of smart contracts that work to mitigate fraud risks on CeFi apps.
Broker White-list - an infinite number of brokers can be added by a vote of governance and, if approved, can be added to the whitelist;
Broker Settings - every broker can deposit its list of validator addresses that use the validators app. The broker must also select the allocation of the fees between validators and brokers;
Service Log - for each action executed by a Broker, the smart contract emits events stored on-chain and can be accessed by anyone on the block explorer;
Shared Database - allows for tracking and storing a process's state using blockchain protocols. The data stored includes Cost, broker address, process-id, initial process data, etc;
Fee Settlement - to allocate YND tokens, the smart contract relies upon the consensus of the validators' audit results;
Validators Selection - The smart contract uses the Celo on-chain randomness to pick two validators that will reply to the audit request;
Yanda Token Staking - protocol has two sources of rewards for the token staked: Validators' fee-sharing and Staking Reserves;
Upgradable Proxy - can only be upgraded by an administrator. This role is restricted so that the only way to upgrade will be by a vote of governance;
Funds Immutability - In case of an upgrade, the proxy executes a new version of the smart contract, keeping YND tokens safe.
Roadmap
Currently, Yanda is in an exciting part of its roadmap, expanding its blockchain development services, testing on different blockchains and forging new connections within the industry. In the first half of 2022, Yanda protocols have been deployed on Celo Alfajores testnet but are also being tested and launched on Moonbeam on Polkadot, It's also a broker partner with Binance and OKX.
Later in the year, Yanda aims to implement the POC for its cross-chain swap, bridge, and automated trading.
The blockchain protocol technology company has already raised $300K in pre-seed. Still, it aims to raise even more in a token sale later in the year, where it aims to fundraise $1.5M at a FDMC of $25M, which will be used for the continuous development of the platform and governance purposes. The year will end with the hybrid protocol final audit and the launch of the $YND token.
Learn more about Yanda protocol on our Documentations.
