But for how long and how liquid are those farms though? In the beginning of DeFi I also was lured into triple digit yields, but realized stability is better than triple digits for a few days, or weeks, or months.
It might stay up and pay off, but I would rather watch the chart and pick something with high volume and stable APY
What has constant high volume? Relative to its own history or relative to other coins? Even the king BTC goes through very low volume relative to its highs.
Posted Using LeoFinance Beta
You are right. And trading Bitcoin itself during periods of low volume is also dangerous.
Low volume is low volume, there is no one number fits it all because them we would fall into the Sorites paradox
There is no way to say $x is high volume but 1 cent below it is low because it would be paradoxical. Adding the relativity to it makes it even worse, because most DeFi projects die from low volume and liquidity, which leads to attacks that deplete their pools (well, if you are the attacker then you can definitely profit from low volumes), and it is not me or the relativity to Bitcoin that says the volume is low, it is the depletion attack itself, that only happens because the volume and liquidity is low....