Cover Image for Y2K Finance

Y2K Finance

Y2K Finance is a DeFi platform that allows users to speculate on and hedge against the depegging risk associated with pegged crypto assets.













Token Strength.

Token Utility:

- Governance rights
- Lock and receive addittional utilities through $vlY2K:
/ incremental gov. rights
/ revenue shares (50% of protocol fees)
/ $Y2K emission vaults direction

Token vault (ERC-1155)
- Yield on staking (farm $Y2k)

Demand Driver:

Users who want to get access the token at discount

Users who want to farm $Y2K by locking their vault token. Staking demand is more desirable by risk depositors who want to earn on top of premiums

Lock $Y2K and receive $vlY2K for:

$vlY2K holders receive additional gov rights

Rev. sharing:
$vlY2K holders receive fees from protocol revenues

Emission direction:
$vlY2K holders receive the right to direct $Y2K incentives

Value Creation:

Y2K Finance creates value by offering innovative financial products that allow users to manage depegging risks within the volatile crypto market. Catering to diverse risk profiles, the protocol's products enable users to adjust their exposure to depegging events. The project's competitive edge lies in its unique approach to structured products and the use of the Arbitrum Layer 2 scaling solution. In its roadmap, the team is planning to deploy more products such as Wildfire or Tsunami, that enhance the actual Earthquake, creating additional value to users.  

Value Capture:

Value accrual to token:
The token accrues value in the form of the locking mechanism (users receive $vlY2K) which entitles users to revenue share, incremental governance rights over standard $Y2K holders and a say in the direction of $Y2K emission.

Value accrual to protocol:
The protocol (i.e. DAO) captures value through fees that are partially directed to the treasury for future developments & governance-based decisions. The more users will use the platform, the more fees are spent and faster the treasury will increase.

Business Model:

Revenue comes from:
Fees (on deposits, on yield vaults)

Revenue is denominated in:
$ETH - $USDC (bonding)

Revenue goes to:
DAO Treasury - Stakers


Protocol Analysis.

Problems & Solutions
As stablecoins and other pegged assets become increasingly popular in DeFi, comprehending and managing depegging risk is turning into a key consideration for investors and traders. Depegs can happen at times of extreme volatility. Users want protection to hedge or bet against extreme volatility, and Y2K Finance could well be the go-to option in such scenarios.

Y2K Finance strives to create value by offering innovative financial products that empower users to manage depegging risks within the volatile crypto market. Catering to diverse risk profiles, the protocol's products enable users to adjust their exposure to depegging events.
Nexus Mutual:
Nexus is a decentralized insurance alternative built on Ethereum that provides the infrastructure for members to buy cover, underwrite risk, assess claims, and build risk management businesses. Members can purchase cover products that protect against different kinds of risk.  

inSure DeFi:
It is a community-based crypto asset insurance ecosystem, where users can insure their crypto-portfolio by buying $SURE with fiat and other cryptocurrencies. inSure is designed to distribute crypto ownership risks amongst a liquidity pool, with insurance premiums determined by a Dynamic Pricing Model that leverages Chainlink.

Investment Take

... coming soon

Tokenomics Timeline.

  1. 2022-09-07

    Testnet launch

    It allows users to interact with the basic functionalities of Earthquake product

  2. 2022-10-28

    Chainlink integration

    Y2K Finance integrates Chainlink price feeds to help power Earthquake vaults

  3. 2022-12-21


    Token Generation Event

  4. 2023-01-31


    Introducing $Y2K bonds to let users buy the vested token (5 days vesting) at discount

  5. 2023-05-08

    Y2K V2

    V2 announcement with major improvements




Ecosystem Users.

Hedge users
Users who want to hedge from stablecoins depegs
Risk liquidity providers
Users who supply liquidity to the risk side and want to speculate from non-depeg events