🌾 #YieldFarming101: Make your cryptos work for you.
In the DeFi world, you don't just have to "hodl".
With Yield Farming, your cryptos can earn even more.
📌 What is Yield Farming?
🔹 It is the practice of allocating assets in DeFi protocols to generate rewards
🔹 You provide liquidity in pools and receive tokens in return
🔹 Rewards come from fees + incentives from the protocol
💡 How it works:
✅ You deposit, for example, USDC + ETH into a pool
✅ In exchange, you receive LP tokens (liquidity provider)
✅ These tokens can be reinvested in farms to maximize yield
⚠️ Risks:
❌ Impermanent loss (temporary loss when compared to hodl)
❌ Unverified projects
❌ Rewards in volatile tokens
📲 Known platforms:
🔸 PancakeSwap
🔸 Aave
🔸 Curve
🔸 Compound
🔸 Venus
➡️ Yield Farming is like putting your money to "plant". But like any harvest, it requires strategy.
