ZyFAI Launches $rZFI Token to Enhance DeFi Yield Farming and Manage Inflation

I've observed that ZyFAI has launched the $rZFI token, introducing a new rewards model for DeFi yield farming. ZyFAI is a framework powered by autonomous AI agents that automate yield farming strategies within DeFi, selecting the most profitable and secure options without user intervention. Recently, they've incorporated new strategies on Morpho with yields exceeding 10% APY, and there was an interesting case last week where an agent achieved over 25% APR via Wasabi. In late July, ZyFAI's community approved a plan to distribute 25 million $ZFI tokens as rewards for yield farming with the protocol's agents. To mitigate sharp inflation, they introduced the $rZFI token standard, similar to rEUL from Euler but adapted for ZyFAI's multi-chain infrastructure and its agent system. The $rZFI token is a time-locked version of $ZFI, earned through staking in ZyFAI smart wallets. 20% of the earned tokens are immediately unlocked, while the remaining 80% are gradually released over six months. If a user withdraws $rZFI before full vesting, they only receive the unlocked portion, with the remaining tokens returned to the DAO. For example, Emma received 1,000 $rZFI rewards on August 15. She can immediately claim 200 $ZFI (20%), but would forfeit the remaining 800 tokens. After six months, she can access all her $ZFI. Alternatively, after three months, she could claim about 600 tokens. Distribution of $rZFI occurs via Merkl, considering the total TVL across all ZyFAI network wallets, across different chains, with deposits in networks like Base counted for rewards. The campaign started on August 13, with plans to distribute 2.5 million $rZFI over two months, offering an APR of over 25% at current levels. Despite new competitors, the protocol's TVL continues to grow, now exceeding $2.5 million, with recent token value multipliers. Also, a member from Gaga has joined ZyFAI's team, promising faster alpha updates through private channels. The official website guides users on which protocols their agents can use for farming, setting deposit sizes, and granting permissions—making participation in DeFi simpler. Overall, ZyFAI's inclination towards AI-powered yield strategies and innovative reward tokens positions it as a noteworthy DeFi project. The introduction of $rZFI aligns incentives and manages inflation, while the growing TVL underscores increasing user adoption and trust. It’s worth keeping an eye on ZyFAI’s developments, especially as the protocol expands across multiple chains and enhances its AI-driven farming capabilities.