Yapeswap Docs

AMM - Automated Market Maker

An AMM is a decentralized trading pool that enables market participants to buy and sell various currencies. The liquidity providers (LPs) that fund these trading pools are incentivized by rewards to fund the pool. The greater the trading volume relative to the size of the pool, the greater rewards the LP's stand to generate.

DAO - Distributed Autonomous Organization

Distributed Autonomous Organization. The first DAO was started in 2016. According to Wikipedia's definition, it is an:
"organization represented by rules encoded as a computer program that is transparent, controlled by the organization members and not influenced by a central government. A DAO's financial transaction record and program rules are maintained on a blockchain."
When implemented well, a DAO allows for real-world experiments in decentralized democratic organization and control, with more freedom of action and less regulatory oversight for DAO controlled projects and products when compared to legacy corporate structures and organizations.

Yearn Finance Vaults

Yearn Finance is a suite of products in Decentralized Finance (DeFi) that provides lending aggregation, yield generation, and insurance on the Ethereum blockchain. Their Vaults are capital pools that automatically generate yield based on opportunities present in the market. Vaults benefit users by socializing gas costs, automating the yield generation and rebalancing process, and automatically shifting capital as opportunities arise.
Last modified 4mo ago