How does Oh! Finance work?

Oh Finance
4 min readOct 13, 2021

How will Oh! Finance manage to offer 10 to 21% yield by single side staking USDC.e on its platform?

  • For non-crypto users: “Single side staking USDC.e” is the equivalent of depositing USD on a bank account. You trust your money to the bank’s custody in exchange for a safe deposit and hope for some return beating the inflation rate. The bank uses your deposited money for investments, loans, etc to generate interest.

In a very similar process, you will deposit your USDC.e on Oh! Finance (your funds are then in Oh! Finance custody) and Oh! Finance will invest it on safe crypto platforms to generate yield on your behalf. At any time, you will be able to withdraw a part or all of your funds (+ the earned interests).

What will Oh! Finance do with the deposited funds?

High frequency scanning of yield optimization on Curve and Aave
Oh Finance — a high frequency optimized yield hunter

Oh! Finance is a high frequency optimized yield chaser: It will constantly hunt on some vetted platforms for the best yields offered by their financial products. Once a better opportunity has been detected, Oh! Finance will pull the funds out of a previous position and enter a new one, as to extract the optimum yield at any time.

The rewards gained from the platforms are withdrawn non-stop. They are not always in USDC.e, they could be in other tokens like other stablecoins, AAVE or CRV for example. In order to avoid being hit by a potential value loss on these rewards due to the market conditions, Oh! Finance will swap them immediately to USDC.e.

On top of that strategy, Oh! Finance will autocompound as well: The earned rewards are added back to the pot being invested. The pot grows automatically and thus generates more in return for the same initial investment, emulating a snowball effect.

Why should I use Oh! Finance and not do it myself manually?

Oh Finance re-evaluates 24h/24h 7d/7d its strategy and optimizes automatically its investment to always extract the best yield at any time, something that you won’t be able to replicate manually with such a high frequency.

Why shouldn’t I use an autocompounder instead?

A traditional autocompounder is linked to the pools you have entered, their performance can fluctuate in time, so again, you will not always get the best yield at every moment, contrary to Oh! Finance.

On which platforms will Oh! Finance operate its magic?

On Aave and Curve. These are safe platforms, very well known projects with major total value locked ranging in the billions (= trusted by even the most skeptical of crypto users) and their smart contracts have been audited by top auditing companies. Technically, they are as safe as it gets compared to the rest of the projects in crypto.

Aave (https://aave.com/) is a decentralized lending system that allows users to lend, borrow and earn interest on crypto assets. At the time of writing, it had around $26.7B in TVL.

Curve Finance (https://curve.fi/) is a decentralized exchange, specifically designed for swapping between stablecoins with low fees and slippage. At the time of writing, it had around $14B in TVL.

Oh! Finance will only add a new platform after a deep and thorough vetting. The safety of the user funds invested under Oh! Finance responsibility is paramount to everything else.

Is it safe to trust Oh! Finance with my funds?

Since Oh! Finance doesn’t trade tokens at its core and only manipulates stablecoins, there is much less risk in wild fluctuations in value like Bitcoin for example.

The smart contracts and platform codes have been audited by Halborn, one of the tier 1 auditing companies in crypto space. Their services are very sought after and they currently have a backlog of several months for new projects requesting to be audited.

Halborn’s report announcement: https://twitter.com/HalbornSecurity/status/1427991821850980354

There will also be an option to insure your deposit with Oh! Finance partner, Bridge Mutual Insurance.

The OH token

On top of the yield earned in USDC.e, you will receive OH tokens as additional rewards for staking on Oh! Finance.

For now, the utility for this token in the future will be for DAO purposes for example: As a OH token holder, you will be able to vote on proposals and help steer the project as a community.

About OH! Finance

Oh! Finance is an optimized yield-generation protocol, focused on reducing risk and increasing volume exposure. Start earning industry-leading interest rates on stablecoins in just a few clicks: https://oh.finance

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