Second Yearn.finance copycat enters "death spiral," plunges 99% in two days

Finance has quickly become a flagship product of Ethereum's decentralized finance space.

Finance spiked to make it the eighth-largest DeFi protocol.

Finance, scammed its early adopters out of approximately $60,000 worth of funds.

Ethereum-based YFI fork enters "Death spiral" after analysts warned of disaster.

As Mechanism Capital's Andrew Kang has since pointed out, YFFI has entered a "Death spiral," with its price crashing in excess of 99 percent in the span of 36 hours.

With each fork of YFI seemingly spawning its own unique disaster, the founder of yearn.

Finance Andre Cronje has issued a comment on the situation.

"The latest clone is trying something new. If you do clone, please change a few things so we get new data from the experiment. Repeating the same experiment isn't fun."

Michael "Box Mining" Gu, remarked that for those speculating on YFI and its forks, "All these new coins have no intrinsic value. They also have low initial supply and are extremely volatile. You have been warned."

The developer behind Asuka, a short-lived fork of DeFi project Yearn Finance, conducted an exit scam this morning, with sources noting the loot was between the range of $30,000-$60,000.