Cryptocurrencies have emerged as the ninth wonder of the world due to their ability to serve as money and a means of investment. In the past decade, several features have emerged that contributed to making the crypto industry a billion-dollar market.
One of these is yield farming, a means of earning interest on cryptocurrencies by locking the assets for a period of time. Since the advent of yield farming in 2020, millions of traders have benefited from earning interests on assets that would have been lying fallow.
Yield farming has also become the most popular way that many investors profit from the crypto market. Most yield farming services offer 10-50% yearly yields, which is more than what traditional banks and investment houses provide clients.
Several dApps and blockchain exchanges offer users the benefit of staking their assets, and we explore some of the best options in the market.
Aave is a lending protocol that allows users to borrow and lend crypto. It also offers yield farming earning opportunities as users can stake their assets in liquidity pools in exchange for interests based on the market demand.
Aave has become popular due to the simplicity and share volume of locked assets in its protocol. It also issues a native token Aave, that serves as users’ governance and reward token.
Curve Finance is a decentralized application that provides a way for users to swap and exchange stablecoins. Stablecoins are used by Curve since they are less volatile and usually pegged to real-life assets. Curve has grown over time and has over a billion dollars worth of crypto assets locked in its protocol.
Compound is one of the earliest DeFi protocols and is an interest rate platform that gives users rewards based on the tokens they stake in liquidity pools. It uses the automated market maker system to ensure that liquidity is constantly moving between users and the liquidity pool.
Bitrue is a crypto exchange that provides yield farming opportunities for users. It was one of the first exchanges to launch crypto investment opportunities with its Power Piggy dApp. It further expanded its ecosystem in 2021 to include two new products, BTR vote and yield farming hub.
The former is a governance process that allows BTR holders to show their support for new projects to be listed on the exchange. Once they reach the required votes for listing, those that took part in the voting phase will be given a 7-day staking phase to mine the coins.
The second product is the yield farming hub launched a few weeks ago. The yield farming hub also offers some of the highest yields in the market, with up to 60% APR. In addition, the exchange takes care of technical details, and users only need to stake their assets for a fixed period to receive rewards.
Conclusion
Yield farming is a highly lucrative way to maximize the value of your crypto-assets, and the platforms listed above are some of the best places to get great value for your capital.
