Crypto yields represent the returns or interest generated from holding or deploying digital assets in various financial activities. These returns can originate from staking, lending, liquidity provision, or other decentralized finance applications. Yields compensate asset holders for providing capital or securing networks.
Context
Crypto yields are a prominent subject in digital asset news, as investors seek ways to generate passive income from their holdings. The varying rates and underlying mechanisms, such as those found in decentralized finance, often drive market activity. However, associated risks, including smart contract vulnerabilities and market volatility, remain a constant point of consideration.
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