Exploring Defi - Sharing my Experiences

1 month ago
2 Min Read
440 Words

I remember getting into crypto and thinking wow this is a bit of a crazy space. Bitcoin was skyrocketing, Alts were doing great and IPOs were the talk of the town. Skipping a few years down the line and it looks like Defi and Eth tokens are the new IPOs and sure, if I was mad enough to explore crypto in the first place, I'm made enough to explore Defi.


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My first entry into the space was a disaster. Fecking food coins. I got stung with the sushiswap drama. But hay, with a few years of crypto behind me, it's not like its the first time I made a bad trade.

I wanted to try adding liquidity to unisw to see how that plays out. So I have made a second attempt in the space. This time I seem to have been a little luckier. I got myself some yeld.finance and I added some liquidity to the uniswap pool.

In 4 days in the pool, my fees earned has been 10% on my Eth and 6% on my yeld. I'm plesantly surprised. This is rather awesome. The price of Eth is the same as it was when I entered the pool. however, the price of yeld has increased.

I wasn't sure how all this 'pool' thing worked. It's interesting to watch how the balance of pools changes via the fees and the liquidity as the price of the pairs change. As yeld has increased in price, my holding has shifted balance. I now have more eth and less yeld. However, should the price of yeld reduce and eth increase, or even eth increase at a greater rate than yeld, then my liquidity balance would shift and my yeld would increase and eth decrease.

I really needed to see all of this in action and to follow the numbers to understand what's going on and how this all works. Obviously, I set myself up with a spreadsheet so I could track things. Thankfully its been a profitable learning experience

So yeld.finance is obviously a fork of yield. however one of the major differences is this retirement farming. This allows yeld holders to continue to earn from their holding. This allows holders remove stake, but once they still hold yeld, they will still get a return. I guess it will be interesting to explore when the app is live and chances are. I will try staking some stable coins and see how it goes.

But now I have my first positive experience in the bag, I'm ready to try again. This time I have my eye on wleo. Like dohhhhhhhh!!!!!!!!!