Yield farming

Yield farming is the practice of depositing crypto assets into DeFi protocols to earn returns from trading fees, lending interest, or token incentives.

Yield farmers move capital into liquidity pools, lending markets or staking contracts to capture fees, interest and reward tokens, often chasing the highest advertised yield. Returns depend on protocol fees, incentive emissions and the token prices involved, and carry risks like impermanent loss and contract failure. Tracking a farming position means reading on-chain deposits and reward accruals and valuing them at spot. Our decoded transaction and market-data primitives supply both the position events and the prices to compute realized yield.