Yield Farmers have limited methods to leverage up small capital to generate higher returns. Levf is a matching platform that generates an unprecedented 20x leverage on initial capital for Yield Farmers, whilst providing 10-100% lending returns for the participating Liquidity Providers.
Based on the example presented, Yield Farmers can generate up to 6x or more of their usual APY thanks to the generous leverage. The leverage provided by Levf also allows new participants with low capital to enter the field, where they were previously inhibited due to gas fee per transaction greatly reducing their APY on a small investment.
For Liquidity Providers on the other hand, a starting 10% return for a risk-averse investment far outpace FIAT instruments like bank deposits, corporate bonds and treasury bonds. Early participants can also gain LFI tokens which provide governance status as well as access to the retained taxes in Reserve Pool.
We believe that this is a DeFi project that can grow from strength to strength, benefiting all stakeholders involved. It has exciting potential in an increasing Treasury Pool size, an expanding range and types of farming pools and aggregators, and the addition of new features like insurance and external liquidity feeders, all under the transparent system of community governance.
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