/biz/ - Business & Finance

>>29446546
>young generation is allowed to be fucked with student loans that they'll never ever ever help us out with
>boomer generation gets fed spending $1t to keep them afloat

This is fucking retarded. How long until we unironically get the pitchforks out? I'm tired of this shit.

>>29411296
okay, here's how it works:
>APY is huge because it's proportional to how many people are farming and the base farm rates
>If each block produces 100 shitcoin and only 4 participants are in it, then that means you'll own a large share of that bucket proportionally
>100 shitcoins get distributed among 4 participants based off how much they have staked
>Now a month later, there are 100 participants
>That means your proportional share of the 100 minted shitcoins is less, thus lower APY

This is why new yield farming apps have absurdly high APYs and eventually go down. It's built into the tokenomics. The clings generated are used for governance - so it rewards early investors even if they started with very little capital. It also rewards investors who stay with the project long term, rather than try swinging and making a quick buck. Because the longer you're with the platform, the more shitcoin you're generating The more shitcoin you're generating, the more shitcoin you can stake to compound your gains and keep up with the inherent inflation mechanisms of the coin. These projects want people who CARE about it to have the most voting power, and that's why the tokenomics are designed to be "too good to be true." The success of the platform restsbon the shoulders of its userbase, who hopefully get heavily invested and genuinely want to see the platform grow. SUSHI went from being a scam to reforming into a legitimate DeFi powerhouse just because of how much governance the userbase had with the project. It's really clever and I wish more people read up on it before immediately dismissing it as a scam just because they haven't taken the time to look into the how and why.

From an outsiders perspective, it definitely looks like a ponzi and feels like "dude free money lmao," but the point is more that the platform couldn't exist without you. They wouldn't have the liquidity. So you get paid for your contribution to the platform.

I DON'T FEEL SO GOOD, BROS.