DeFi Strategies

ZyFAI enables 3 pre-defined DeFi strategies: Safe, Yieldor, and Airdrop.

Each of these strategies has different value propositions designed to meet various risk tolerance levels and investment goals.

Safe Strategy

The first strategy, named Safe, focuses on battle-tested protocols that have demonstrated consistent performance and reliability over time. This strategy is designed for users who prioritize capital preservation while still seeking attractive yields from the DeFi ecosystem.

The Safe strategy provides access to well-established protocols that have undergone extensive security audits and have proven track records in the market. These protocols typically offer more conservative yield opportunities with many money market and single sided opportunities on USDC.

Actual underlying protocols concerned: AAVE, Morpho, Fluid, Compound, Moonwell, Spark Euler, Silo.

Yieldor Strategy

The Yieldor strategy represents a more aggressive approach to DeFi yield farming, targeting higher returns through access to a broader range of protocols and liquidity pools. This strategy is specifically designed for experienced DeFi users who understand the associated risks and seek to maximize their yield potential.

The yield can be generated through DeFi primitives beyond traditional money markets, including:

• Liquidity provision through a DEX

• Yield tokenization

• Vaults for leveraged positions

• Looping on money markets (coming soon)

• Delta-neutral strategies (coming soon)

To access the Yieldor strategy, users must hold a minimum of 20,000 ZFI tokens in their wallet. This requirement serves as both a qualification mechanism and a way to ensure that users have sufficient skin in the game when participating in higher-risk strategies. The strategy provides access to newer protocols, higher-yield farming opportunities, and more sophisticated DeFi instruments that may not be included in the Safe strategy.

Actual underlying protocols concerned: AAVE, Morpho, Fluid, Compound, Moonwell, Spark, Euler, Silo, Pendle, YieldFi, Harvest Finance, Wasabi.

Airdrop Strategy

The Airdrop strategy takes a forward-looking approach to DeFi participation by focusing on protocols and platforms that may distribute tokens to early users and active participants. This strategy is designed to capture value from the emerging trend of retroactive token distributions in the DeFi space.

Currently in development, the Airdrop strategy will systematically interact with promising new protocols, accumulate points in various programs, and position users to receive potential future airdrops. The strategy combines traditional yield farming with strategic protocol interaction designed to maximize eligibility for retroactive rewards.

Strategy Selection and Availability

Users can choose their preferred strategy based on risk tolerance, token holdings, and investment goals. Strategies can be changed at any time via the customization page.