The DeFi protocol Yam Finance is preparing to release its V3 version later this week, following a security audit by PeckShield.
Yam Finance V2, a fork of Compound (COMP) appeared on the DeFi market last month and quickly raked in more than half a billion assets from yield farmers within just 24 hours of its launch. V2 was not audited by Yam Finance, there was a major error that caused the reserve of tokens to be over-exploited, resulting in protocol governance impossible.
V3 is a solution to the problems of the old version, and has found consensus from the community. Accordingly, the community agreed to change the reserve assets of Yam to yUSD, extend the voting period to two days, and adjust the thresholds for proposals and quorums.
Importantly, Yam V3 has been security tested by blockchain company PeckShield.
The audit discovered “some security or performance-related issues” that could be further improved in Yam’s smart contracts. These include 17 “fundamental coding failures,” 12 found during “advanced DeFi monitoring” of “business logic” and “system operations,” and six additional recommendations.
PeckShield describes four main issues related to “information,” while six are considered low risk, four are medium risk, and one is classified as high risk. No issues were found to be “severe” and all issues were “confirmed and remedied in a timely manner”.