DeFi platforms deliberately do not highlight the main risk of earning yield:

Your principal is at risk!

Where does the yield they offer come from? From taking risks with your own capital.

If someone understands this simple concept, they won’t lose their money in the bankruptcies of BlockFi, Celsius, Luna, Voyager, FTX and countless similar cases.

Earning yield on idle capital sounds like a great idea—until you ignore the risk to your principal.

If U.S. treasuries or a bank—backed by the full faith of law, courts, and regulatory bodies—pay interest, that’s one thing. But when an unregulated coin offers yield, it’s an entirely different thing.

The real yield in DeFi is you.