What Is Yield Farming in Decentralized Finance (DeFi)? | Binance Academy

  • 📰 binance
  • ⏱ Reading Time:
  • 55 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 25%
  • Publisher: 51%

United Kingdom News News

United Kingdom United Kingdom Latest News,United Kingdom United Kingdom Headlines

Yield farming = making more crypto with your crypto.

, and others. Some protocols will mint tokens that represent your deposited coins in the system. For example, if you deposit DAI into Compound, you’ll get cDAI, or Compound DAI. If you deposit ETH to Compound, you’ll get cETH.

It’s also worth keeping in mind that these are only estimations and projections. Even short-terms rewards are quite difficult to estimate accurately. Why? Yield farming is a highly competitive and fast-paced market, and the rewards can fluctuate rapidly. If a yield farming strategy works for a while, many farmers will jump on the opportunity, and it may stop yielding high returns.

Yield farming isn’t as easy as it seems, and if you don’t understand what you’re doing, you’ll likely lose money. We’ve just discussed how your collateral can be liquidated. But what other risks do you need to be aware of?. Due to the nature of DeFi, many protocols are built and developed by small teams with limited budgets. This can increase the risk of smart contract bugs.

As we’ve discussed before, DeFi protocols are permissionless and can seamlessly integrate with each other. This means that the entire DeFi ecosystem is heavily reliant on each of its building blocks. This is what we refer to when we say that these applications are composable – they can easily work together.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 561. in UK
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

$hawk

CmetaToken

How about listing Bitgert?

Why bitcoin no go up ? Why bitcoin does not rise What is the reason for bitcoin to rise, which has not been solved in these seven months? This bitcoin problem, people are at a loss. They have invested billions of dollars in the market. Why should everyone always be at a loss?

I have a problem on my transaction with P2P last night. The other person tries to get my card number. I find it skeptical so I tried to cancel but there is no cancel option. I thought my account would be blocked if the time rans out. Please fix this

If you have a $21💵 in your digital currency account, i can teach you how to earn 3x per day

(\\_/) ( •_•) / 🚀 Hare Plus Web3 Hare Swap Hare Chat Hare NFT Hare DAO Hare Wallet Hare GameFi Hare Plus can provide anything you need. HarePlus Hare_Token

Lik

Hey guys buy some Bitcoin in your wallet for pump the market and hold it tight

cz_binance please if anyone watching this comment bring it to cz please .cz sir please reply me once I beg you please help me i messeged you everywhere please help me i can't write all details please once you will reply i will share everything please reply cz sir

Last week in Itheum🌏 📈Itheum's trading data added to tradingview which has 30+ million monthly users. 🤝 Strategic partnership with Wonderhero_io , an increasingly popular & innovative play-to-earn mobile game. 🥇 Added to the 'Top Elrond Ecosystem Coins' on coingecko

$HAWK

Peer review this! 'Good point, the brain scan shows change but there are billions of neuro-transmitters in a brain. How do you quantify a structural decline within a microscopic function and then justify treating the mystery with a mystery.' 💊 💊💊 Experimenting on chlidren?

Is it like this on this world now? No one helps poor people only rich helping rich to be richer!! To poor people like me i need your help to buy babies pads to my daughter.. this is my BSC address on trust wallet i only need $13 0x5a2CEAd6d71A4a584636674C6b09ccEEa91Dac0b

If everyone send $1 BNB will wake up millionaire tomorrow&we can do it 4 everyone just like&retweet and send your Smartchain address on reply to this post and send me $1 ( everyweek i will pick an address) Crypto My smartchain address 0x5a2CEAd6d71A4a584636674C6b09ccEEa91Dac0b

NeloreCoin The currency of Brazil ! 1st agricultural token in the world !! Everything delivered as promised!!! Confinement ready to fatten!!!! nelorecoin breaking paradigms 🚀🐂 No comparisons.... NLC

StepOfDoge

PineGameToken ZiaKhatri PineGameToken

it aint much, but its honest work

BabyDogeCalifornia Bullish BabyDogeDiamondHands ElonMusk BabyDogeArmy BabyDogeNFT BabyDogeNFTMarketplace BabyDogeArcade BabyDogeExchange BabyDogeSwap BabyDogeCard BabyDogeWallet BabyDogeCoin

hamster_coin

It's like investing, but you get the chance to get all your crypto stolen in a hack 👍

It's like investing, but you get the chance to get all your crypto stolen in a hack 👍

It's like investing, but you get the chance to get all your crypto stolen in a hack 👍

It's like investing, but you get the chance to get all your crypto stolen in a hack 👍

Come let hold our coin for a while xep🧿 is still under the market cap for those who are interested ElectraProtocol

Aridrop available now at bigest event! ShibalnuEvent

United Kingdom United Kingdom Latest News, United Kingdom United Kingdom Headlines