Yield Farming

Yield farming is a method of generating extra cryptocurrency with your existing cryptocurrency

Yield farming has quickly become one of the more-popular methods of how people earn a passive income with their crypto

Yield farming, also known as liquidity mining, is a method of generating rewards from crypto assets. In layman's terms, it implies storing cryptocurrency and receiving rewards

Types of Yield Farming

There are different types of yield farming that you could participate in

Crypto Lending and Borrowing

There are multiple decentralized finance projects that allow crypto fans to both borrow cryptocurrencies, as well as lend them

Providing liquidity

Liquidity providers are people that provide their money to decentralized cryptocurrency exchanges and receive passive returns for doing so

STAKING

You have some crypto currencies that you are providing to a specific platform in order to generate passive returns

Redistribution fees

When you trade in cryptocurrency a portion of the transaction fees are taken

Aave is one of the most popular stablecoin yield farming platforms, with over $14 billion in value locked up and a market capitalization of more than $3.4 billion

To Know more about Yield Farming and its work process, please check out our full Article Link below.