Yields are expected to boost YFI’s value proposition as it will drive more capital into these Vaults, which will increase the dividends that YFI stakers earn.
The yields offered on Yearn.finance Vaults (and the dividends accrued to YFI by extension) will likely be boosted by cross-protocol integrations.
Cronje commented last week on these integrations:
“With Cream v2 (Iron Bank), Alpha Homora v2, and Yearn v2, all vaults become leveraged vaults, and cross asset strategies become viable. Deposit 1k DAI can deposit 1k DAI and 1k USDC into Alpha Curve or 1k DAI and 1 ETH into Alpha Sushiswap borrowed indirectly via Iron Bank. These cross platform strategies allow up to 90x leverage on stable coins and 80x leverage on ETH and allows users to either sell and compound or accumulate the asset. As more collateral is introduced into Iron Bank and Alpha v2 yield becomes agnostic.”
YFI is up a few percent on the recent announcements and tweets.