What is Yield Farming?

Yield farming is a strategy that involves providing liquidity to certain protocols on a decentralized finance (DeFi) platform, such as an exchange or lending platform, in exchange for rewards in the form of tokens or another cryptocurrency. These rewards are often generated through fees charged to users of the platform and distributed to liquidity providers as an incentive to continue providing liquidity. Yield farming can be a complex and risky strategy, as the value of the rewards may fluctuate significantly…