SHIB DeFi Yields

DeFi yield farming is the act of participating in DeFi protocols by providing liquidity. DeFi protocols incentivize participation from individual web3 users by paying out rewards proportional to the capital provided. Strategizing to maximize these rewards is generally referred to as “farming”.

Yield farming is the backbone that makes DeFi (decentralized finance) possible. DeFi applications mimic traditional financial tools but operate automatically via smart contracts. Financial tasks like trading, borrowing, and saving assets are all made possible by DeFi - all with no centralized middlemen.

One of the hottest developments in the cryptocurrency sector is yield farming, commonly referred to as liquidity mining. By providing liquidity to decentralized finance (DeFi) protocols, it offers a way to generate passive revenue. Although yield farming has been practiced for a while, it took off in 2020 when DeFi's popularity skyrocketed.

Staking is focused on earning rewards for holding and validating transactions on a blockchain network, whereas yield farming and liquidity mining are focused on providing liquidity to decentralized exchanges and liquidity pools in order to earn rewards. This is the main distinction between staking and yield farming/liquidity mining.

You should be aware of the following risks and costs when yield farming:

Gas: Web3 blockchain networks are open computers that anyone can use. However, fees must be paid to ensure malicious users do not spam the network. This is generally referred to as “gas”. On any yield farming blockchain, users pay gas fees that correlate with the computational task you are trying to complete.

For popular chains, like Ethereum, these fees can vary anywhere from a few dollars to hundreds of dollars depending on the current state of the network. Less popular networks will have lower fees, but may not have as many opportunities as more popular networks.

If you are planning to yield farm, be diligent about factoring gas into your profit/loss calculations.

Impermanent Loss: Impermanent loss represents the opportunity cost incurred when providing liquidity to a DeFi protocol. It occurs in standard liquidity pools where the liquidity provider is obligated to keep both assets in a correct price ratio, but the price of these tokens diverge from one another vs the initial ratio when providing capital.

Let’s consider yield farming in the Uniswap DAI/ETH 50/50 liquidity pool. If one of the tokens goes up or down in value, the pool has to rely on uninterrupted arbitrageurs to ensure reflection of the real price of the pair to rebalance the value of both tokens. When this situation occurs, profit from the token is taken away from the liquidity provider. What is more, impermanent loss becomes permanent when liquidity providers decide to withdraw their assets (liquidity). Nonetheless, in rare cases, the loss may reverse if token prices in the AMM return to their original state.

We recommend reading our blog What Is Impermanent Loss & How To Calculate It to fully understand this topic before making significant DeFi investments.

If you are a user that would rather not risk impermanent loss, please note that there are still opportunities for you. In this case, we recommend utilizing our “Single Token”, “Staking”, “Stablecoin”, or “Lend Asset” options. These will display less complex DeFi products that do not carry the risk of impermanent loss.

Exit Scams & Smart Contract Exploits: Exit scams involve harmful actions planned by the development teams of DeFi protocols that aim to steal depositor and investor funds. Smart contract exploits generally involve an external or, in some circumstances, an internal attack vector that employs a smart contract with malicious logic. These are some of the biggest crypto hacks and are usually due to flaws and weaknesses in a yield farm’s smart contract code.

To learn more about these risks, you can view data regarding the biggest crypto hacks & scams in history via our REKT Database. We also offer several tools to allow DeFi yield farmers to protect their portfolio when exploring web3 opportunities. Our Shield tool lets you monitor and revoke wallet permissions from malicious tokens or contracts.

To ensure you don’t interact with malicious projects in the first place, we also offer our free smart contract audit tool, Scanner. Enter a project name, token name, NFT address, or contract address to perform a comprehensive security analysis in just a few seconds. Scanner is an ultimate web3 antivirus tool that runs 100+ audit factors.

For projects interested in ensuring their security, contact us regarding smart contract auditing services. We are committed to professional services that make the world of DeFi safer for users around the world.

We strongly suggest everyone DYOR before providing liquidity or depositing their funds into any crypto LP or Vault. The easiest and most effective thing you can do is to analyze the smart contract of the LP/Vault you want to provide liquidity in with the De.Fi Scanner free smart contract auditor. After a quick analysis, Scanner will let you know of any risks associated with the contract.

Moreover, after you have provided liquidity or interacted with the pool in any way, make sure to check its risk status with De.Fi Shield which lets you scan for and revoke risky wallet permissions if needed.

Our crypto farming explorer features live and historical DeFi APY data of 10,000+ LP and Vaults on 300+ protocols. We are constantly adding new integrations and aim to be your only source when tracking the best yield farming pools crypto has to offer.

We also offer a crypto wallet tracker that is the most convenient way to monitor multichain positions & balances: create a bundle of all your crypto addresses and exchange accounts and start tracking your whole crypto portfolio in 1 place.

If you have a wallet connected to the De.Fi Super App, we make it easy to find the best DeFi yield farm opportunities for assets that you already have. Click the “My Opportunities” tab within the Explore tool above and you will be presented with a full list of yield farms and staking opportunities to put your crypto assets to work.

You can use the “Protocols” and “Networks” drop-downs within the Explore tool to see a complete list of the protocols and networks we have data on, as well as a listing in parentheses representing how many pools or how many protocols we track, respectively.

To view a comprehensive list of all of our tracked data points we recommend our integrations page.

The De.Fi team consists of 50+ highly motivated people, 35+ of which are developers that focus on ensuring that data presented on the platform is accurate - from individual token pricing to security detectors and on-chain analysis. We are committed to operating the most reliable DeFi yield farm APY list that crypto enthusiasts know they can depend on.

Tracked assets within the Explore DeFi farming tool are limited to the protocols and networks that we have currently enabled within the app. However, if you would like to have a specific asset added, we may be able to make the addition (based on community popularity). At any time you can contact us via the chat widget in the bottom-right corner of our site. We can also be reached via our Telegram channel.

If you are looking to find new yield farm opportunities, we recommend sorting the Explore farming tool by APR. New protocols are usually the best place to find high-yield farming APYs as they are looking to attract liquidity to boost their TVL. However, please note that we recommend doing your own research on ALL yield farms that you interact with. The newer the protocol, the higher the risk that there may be an unknown vulnerability.

De.Fi (DeDotFi) was founded during the DeFi Summer of 2020 by a group of DeFi natives with just two goals in mind: make DeFi a safer and more convenient space for everyone. During three years of development, the De.Fi team has grown to 50+ team members worldwide. We work daily to build the best yield farming crypto tools for DeFi investors around the world. If you want to use a DeFi app built from the ground up by crypto-natives that have been around since the beginning of the industry, you’re in the right place.

Arbitrum Yield Farming
Avalanche Yield Farming
Base Yield Farming
BNB Chain Yield Farming
Celo Yield Farming
Ethereum Yield Farming
Fantom Yield Farming
Gnosis Yield Farming
Optimism Yield Farming
Polygon Yield Farming
zkSync Era Yield Farming

Aave Yield Farming
Aerodrome Yield Farming
BaseSwap Yield Farming
Beefy Yield Farming
BenQI Yield Farming
Camelot Yield Farming
Compound Yield Farming
CREAM Finance Yield Farming
Curve Yield Farming
Frax Yield Farming
GMX Yield Farming
Hubble Yield Farming
Iron Bank Yield Farming
KavaLend Yield Farming
Lido Yield Farming
Liquity Yield Farming
Marinade Yield Farming
Mars Protocol Yield Farming
MDEX Yield Farming
Meld Yield Farming
Minswap Yield Farming
PancakeSwap Yield Farming
Spark Yield Farming
Stakewise Yield Farming
Stargate Yield Farming
Sushi Yield Farming
Synapse Yield Farming
SyncSwap Yield Farming
Synthetix Yield Farming
Tectonic Yield Farming
Thena Yield Farming
Thor Liquidity Yield Farming
Trader Joe Yield Farming
Uniswap Yield Farming
Venus Yield Farming
VVS Yield Farming
VyFinance Yield Farming
WingRiders Yield Farming
Wonderland Yield Farming
Yearn Yield Farming
Youves Yield Farming
Yupana Yield Farming
ZKSwap Yield Farming

Uniswap on Arbitrum Yield Farming
Uniswap on Avalanche Yield Farming
Uniswap on Base Yield Farming
Uniswap on BNB Chain Yield Farming
Uniswap on Celo Yield Farming
Uniswap on Ethereum Yield Farming
Uniswap on Optimism Yield Farming
Uniswap on Polygon Yield Farming

PancakeSwap on Arbitrum Yield Farming
PancakeSwap on Base Yield Farming
PancakeSwap on BNB Chain Yield Farming
PancakeSwap on Ethereum Yield Farming
PancakeSwap on zkSync Era Yield Farming

SushiSwap on Arbitrum Yield Farming
SushiSwap on Base Yield Farming
SushiSwap on BNB Chain Yield Farming
SushiSwap on Celo Yield Farming
SushiSwap on Ethereum Yield Farming
SushiSwap on Fantom Yield Farming
SushiSwap on Gnosis Yield Farming
SushiSwap on Optimism Yield Farming
SushiSwap on Polygon Yield Farming