1. Appears at first glance to be a regular "y", but upon closer inspection it contains to dots above it, which is not usual for a y in the english language. These dots give the appearance that it is somehow a deranged smiley face with it's lip hanging far below where its mouth ends.
2. The final definition on Urban Dictionary.
It is impossible to pronounce "ÿ" without first cutting out your tongue and eating hot coals.
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