Yield farming is the practice of staking or locking up cryptocurrencies in return for rewards. While the expectation of earning yield on investments is nothing new, the overall concept of yield farming has arisen from the decentralized finance sector. The general idea is that individuals can earn tokens in exchange for their participation in DeFi applications. Yield farming can also be called liquidity mining.
Askscn, thanks for this info. Yield farming has expanded beyond individuals to now include institutions which is a positive sign for the industry looking for mass adoption. But yield farming is risky and I think for institutional players they will need to consider a good DeFi custodian who partner with lending protocols to safeguard smart contracts. Of late I have been hearing a lot about Trustology fitting the bill for institutional DeFi custody and for supporting yield farmers. What are your thoughts?