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What is yield farming?

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Yield farming is a strategy in decentralized finance (DeFi) where users provide liquidity to earn rewards or yield. Users can deposit their funds into liquidity pools or yield farming protocols to earn interest, fees, or tokens as a reward for providing liquidity to the platform. Yield farming usually involves high risks due to the volatile nature of the DeFi ecosystem, but it can also offer high rewards for those willing to participate.
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Yield farming is a process in decentralized finance (DeFi) where users provide liquidity to a protocol in exchange for rewards, typically in the form of tokens. Users can earn a yield by lending their cryptocurrencies or tokens to liquidity pools or by participating in other DeFi strategies that generate returns. Yield farming allows users to earn passive income on their cryptocurrency holdings by actively participating in DeFi protocols.

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