Yala Token (YALA) is the governance and utility token of the Yala protocol, a Bitcoin-centred system that issues an over-collateralised BTC-backed asset (YU) and coordinates credit, liquidations and risk controls across chains. YALA aligns incentives and provides cryptoeconomic security: depositors earn YALA for backstopping liquidations via the Stability Pool; stakers secure the Notary Bridge and LayerZero-based verifier networks. As part of the stabilisation design, keepers bid with YALA in surplus and debt auctions, moving tokens to or from a Reserve Pool to help recapitalise the system when required. Governance uses YALA and vote-escrowed veYALA to propose and vote on parameters, upgrades and gauge weights that steer emissions and incentives. YALA also supports ecosystem growth via targeted liquidity programmes and grants. The founders include Kaitai Chang, Bin Liu and Vicky Fu.
YALA is the governance and utility token of the Yala protocol, a Bitcoin-centred credit and liquidity system. The protocol issues an over-collateralised BTC-backed asset called YU and coordinates issuance, lending, liquidations and risk management across Bitcoin and destination chains. YALA underpins this architecture by aligning incentives, providing cryptoeconomic security, enabling on-chain decision-making and serving as a recapitalisation resource during periods of stress. As part of the protocol’s stabilisation design, keepers participate in surplus and debt auctions that move YALA to or from a Reserve Pool, which helps balance the system when conditions change.
Stability Pool rewards: Users deposit YU into the Stability Pool to backstop system debt at liquidation. Participants receive YALA incentives, a share of liquidated collateral and stability fees, creating a standing buffer that reduces bad debt risk.
Cryptoeconomic security: YALA can be staked to validators that operate the Notary Bridge for cross-chain settlement. It also supports security for YU via LayerZero-based Decentralised Verifier Networks that verify cross-chain messages and help maintain consistency between chains.
Stabilisation auctions and recapitalisation: In surplus auctions, keepers bid with YALA which, if accepted, is directed to the Reserve Pool to modulate circulating supply. In debt auctions, YALA can be drawn from the Reserve Pool to restore solvency when the system accumulates deficits.
Governance: Holders propose and vote on parameter changes, upgrades and operational processes. Delegation allows holders to assign voting power to trusted parties. A vote-escrow model (veYALA) enables gauge-weight voting so governance can direct the flow of emissions and incentives to specific pools, chains or integrations.
Ecosystem incentives: YALA is used to bootstrap liquidity for YU pairs, seed YALA trading venues and encourage integrations through targeted incentive programmes and grants tied to measurable usage.
The founding team includes Co-Founder & COO Kaitai Chang (former Binance Labs), Co-Founder Bin Liu (co-founder of Alchemy Pay) and Co-Founder & CTO Vicky Fu (former Director of Engineering at Circle). The broader team features contributors with backgrounds from MakerDAO, Lido, Microsoft and Capital One, combining experience from crypto protocols and traditional technology to build a decentralised Bitcoin finance stack.
