Yield farming or liquidity harvesting is undoubtedly picking up pace in the DeFi world as the next best initiative of value. In fact, DeFi platforms such as Flurry Finance have been one of the major reasons investors in the crypto space have shifted focus and are now diversifying to the altcoin space.
Yield farming is one of the driving forces behind decentralized finance’s market cap shooting from $500 million to a massive $10 billion. Asides from obvious pointers like the DeFi market cap, yield farming is making it easy for loans to be processed in the crypto space.
But the whole practice of liquidity harvesting did not just begin. In fact, you can trace yield farming back to 2017, a period when DeFi platforms experienced rapid growth.
Most people go into it for the sheer fact of cashing out on the extra profits the bull market of that period afforded them. Since then, yield farming has grown from a phase to a DeFi phenomenon. But really, what is yield farming?
Are Cryptos Getting Planted? Here’s What Yield Farming Is Truly About
The first thing that comes to mind when people hear yield farming or liquidity harvesting for the first time might be cryptocurrency in relation to agriculture. However, the term relates more to the banking sector in practicality.
