Ethereum developers already want to launch YAM 2.0 after 90% price drop

Whatever the case, Yam's developers, of which there are five, are already looking to launch a second iteration fo the community-favorite protocol.

Before we get into the Ethereum developers' attempt to launch a second iteration of the Yam Finance protocol, first a refresher on how the first one collapsed.

Like Ampleforth, YAM is a cryptocurrency that has a "Rebasing" supply, meaning that its token changes on a periodic basis to accomplish a certain task.

While a fix was seemingly implemented, with YAM holders banding together to vote in a proposal to prevent the bug, another bug cropped up that prevented the implementation of the proposal.

As a result, when YAM underwent its second rebasing 36 hours after launch, too much YAM was put into circulation.

Due to a certain dynamic in the Uniswap pool in which YAM traded, this resulted in a loss of $500,000-750,000 worth of yCRV. After the bug was disclosed, a developer of the protocol disclosed his sorrows, lamenting that he wasn't able to finish the work to fix the bug in time.

Despite the unfortunate ending to YAM 1.0, YAM 2.0 is already in the works.

"The community has clearly been supportive of a YAM relaunch with proper auditing, and it has been engaged and helpful in generating ideas regarding how to proceed. This engagement is exactly what we hoped YAM to achieve, and we believe the best solution is to get power to this community as simply and efficiently as possible. Once this is achieved, YAM holders will be able to continue to decide the path of the protocol."

This announcement comes shortly after the developers announced they were seeking a Gitcoin grant for funding for the second round of Yam Finance.

YAM 2.0 will be launched in two phases that will actually create a third iteration of the Ethereum-based protocol, which will be the one adopted.