Wormhole #8: PolyFine Finance Review

This review is independent and non-sponsored, but as always, we encourage you to DYOR.

It’s time for the next project (or investment vehicle) that we’ve selected for Wormholes — and it’s PolyFine Finance!

If you’re new to Wormholes, please read the introductory article and FAQs first.

But as a quick illustration, think of it as you visiting a bank to make some investments. You get recommended investment products based on your risk level / what returns you’re expecting. You invest in one currency, and you earn the returns in that same currency.

Think of us as your “fund manager”, and we review each project before deciding to add it to our Wormholes.

Let’s go!

Project overview

PolyFine is a layer 4 farm by the same team behind PolyUnity (L3), PolySage (L2) and PolyWise (L1). PolyUnity and PolySage are projects that we’ve reviewed and Wormhole-ed previously.

At the time of writing, there doesn’t seem to be any difference between L4 and the rest of its layers. It’s a standard layered farm without any special features, but nonetheless, an investment opportunity for farmers who know how to read the chart and spot a good opportunity / time to enter.

Contracts (at time of writing)

Tokenomics

For the newest layer, PolyFine (FINE):

  • Max Supply: 5,700
  • Emission Rate: 0.006 FINE per block
  • Listing price: $25

Assuming that emission rate remains constant, max supply will be reached at block 21962121 (approx 16~17 days from farming launch).

Price action observations

Based on what we can see:

  • Liquidity providers for L1, L2 and L3 native tokens are still incentivized through the farming of L4 token.
  • Previous layer natives are following the standard farm chart and found stable price floors — which means it could be consolidating for an upward movement. Nonetheless, natives are rather volatile, and providing liquidity can result in potential IL.
  • L4 native will return to a stable price after ATH. APRs will continue to fall due to profit taking, so get in fast before it’s all gone!

Security & audits

RugDoc

PolyFine has requested for a RugDoc review and is waiting for RugDoc to update.

Some things worth taking note about the project:

  • It had a Low Risk rating for its past 3 Polygon layers
  • Past 3 Polygon layers had liquidity locked with RugDoc and docs indicate that this will be done for PolyFine as well
  • The project owner has done a KYC previously, and you can read more about RugDoc’s KYC process here.

Any malicious actions from the KYC’ed applicant can be prosecuted with legal action, so developers undergoing the KYC process show the first steps towards transparency.

Audits

The project has completed a total of 2 audits across its Polygon layers:

  • PolyWise: Paladin audit
  • PolySage: Paladin audit
  • PolyUnity: No audit as the project has stated that PolyUnity is using the same MC as PolySage. No rugs/exploits happened for that layer.
  • PolyFine: No audit. We’ve checked the contracts and it seems to be a perfect fork of PolySage (Token, MC, Timelock). Link to PolySage Audit was also shared on the PolyFine docs. But as always, we encourage you to DYOR.

Paladin is one of the leading audit firms in the DeFi space and also a RugDoc recommended audit firm.

Risks

There are 3 risk levels that we’ve assigned to PolyFine, namely:

  • High Risk: Potential IL due to the project’s earlier layers dumping. If there’s low liquidity for the earlier layer, we recommend staking with small amounts, then DCA in with larger amounts to make the most of your profits. Our Wormhole contracts also protect you from any large slippage risks with a maximum slippage of 5%. This safeguard will thus cause your transaction to fail, thereby keeping your capital safe.
  • Medium Risk: Potential IL is possible but less of a concern. For instance, let’s take a WMATIC-USDC LP. A chain native like WMATIC is naturally more stable than a farm’s native token. In fact, chain natives typically follow the movements of large caps — when paired with a stable, we can expect the LP token price to be less volatile as compared to single staking of the chain native. There are also deposit fees (to the specific project, not Timeleap) but you’re likely to earn it back through farming.
  • Low Risk: Assigned because of deposit fees (to the specific project, not Timeleap), but once again, you’re likely to earn it back through farming

Standard risks also apply across all Wormholes regardless of project:

  • Project decides to adjust multipliers to encourage liquidity migration to other pools
  • Project decides to change emission rates
  • Insufficient utility for native token may cause native dumping, which affects APR
  • Poor community management resulting in FUD

Please make sure you understand the risks and the associated terminology prior to staking in a Wormhole!

Find PolyFine

Website: https://polyfine.finance/

Docs: https://docs.polyfine.finance/

Twitter: https://twitter.com/polywisefinance

Telegram: https://t.me/polywisedefi

PolyFine Wormholes

At the time of writing, we’re seeing some amazing APRs and APYs — we had to display those APYs as Infinity % because there’s no way we could fit all the numbers into the card UI 😂

Even the Low Risk Wormholes are getting some of the sweetest APYs in the market for stables and large caps!

High Risk Wormholes
Medium Risk Wormholes
Low Risk Wormholes

Wormhole launch

Wormholes are estimated to officially launch within the hour after PolyFine launches its FINE farming layer.

This is so that we can verify that the project’s MC used on chain is the same as the one on their UI — a safety precaution as projects switching out their MC is a common type of rug.

We’ll make an announcement on Telegram and Twitter once our PolyUnity Wormholes are launched — you’ll be able to find them via the below links then:

If you’d like to participate in this batch of Wormholes early (before the project even launches its farm), head to our Telegram to request for the URL to our beta site.

Note that this is high risk, high rewards territory. Although deposit and withdrawal transactions have been tested to work, we’re pending farming launch in order to verify that the MC on chain is minting correctly.

Only recommended for experienced yield farmers!

All information in this review is accurate at the time of writing.

Find us here

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