As we continue to watch the growth of exciting new financial primitives, we’re beginning to witness an ever-growing trend of users being able to share in the upside of a protocol’s growth. Whether it’s something as simple as lending cryptocurrencies on Compound to something more complex like participating in liquidation auctions on Maker, it’s evident that DeFi is unlocking a suite of new and exciting passive income opportunities.

This page will keep track of various yield farming opportunities – all of which provide users such as yourself with the ability to farm yield on your favorite DeFi tokens.

Please note that as with any investment opportunity, there are inherent risks. When necessary, we recommend exploring products like Nexus Mutual for different ways to ensure your positions in the case of a black swan.

DeFi Yield Farming Tutorials in 2020

Compound COMP Yield Farming

Platforms Used: Maker, Compound, Curve & InstaDapp

Maximize your COMP holdings by putting composability to the limit with stablecoin leverage.

  • Deposit ETH through Oasis Borrow (Maker) to open a Vault and receive DAI 
  • Open a DeFi Smart Account on InstaDapp and deposit DAI
  • Transfer newly deposited Dai to the Compound section of InstaDapp
  • Utilize InstaDapp’s “Maximize COMP Earnings” feature to take a leveraged DAI position out against your DAI holdings
  • Alternative: Supply DAI directly on Compound
  • Note: When using the InstaDapp strategy, you have the ability to be liquidated if your collateralization falls below the threshold. We recommend sticking around a 60% ratio when using this strategy.

Watch a tutorial on how to maximize COMP earnings.

Balancer BAL Liquidity Mining

Platforms Used: Balancer

Earn BAL governance tokens by supplying capital to Balancer liquidity pools.

  • Leverage this spreadsheet to see which pools will earn the most BAL based on their Total Factor with 1 being the highest factor possible.
  • Visit https://pools.balancer.exchange/#/ to contribute capital to any of the aforementioned pools. 
  • Tip: We recommend Pools which mitigate impermanent loss. This includes pools that have a 1:1 peg such as sETH/WETH, sBTC/WBTC and DAI/USDC.

Curve Bitcoin Yield Farming

Platforms Used: Ren Protocol, Curve, Synthetix, Balancer

Earn SNX, REN, BAL and CRV for providing liquidity to the sBTC Curvepool.

Read our article on the announcement of BTC Yield Farming

KNC Staking Rewards Through KyberDAO

Platforms USed: Kyber Network, Uniswap

Earn ETH for staking KNC via KyberDAO and participating in protocol governance.

  • Purchase KNC on a DEX like KyberSwap or Unsiwap
  • Head to the Kyber Voting Dashboard and connect your web 3 wallet like MetaMask holding KNC
  • Deposit KNC to enable it for voting
  • Vote on proposals to earn a pro-rata share of ETH from each Epoch
  • Optional: Delegate your KNC voting power to a Pool Master like the Kyber Community Pool to have them vote on your behalf.

Read our full article on the launch of KyberDAO and how to get started

mStable MTA Liquidity Mining

Platforms Used: mStable, Balancer

Earn MTA governance tokens for providing liquidity to the mUSD/USDC, mUSD/WETH or mUSD/MTA Balancer Pools

Read more about MTA liquidity mining

yEarn YFI Liquidity Mining

Platforms Used: yEarn, Curve, Balancer, Zapper

Earn YFI governance tokens for providing liquidity to the yCurve pool, the DAI/YFI Balancer Pool or the yCurve/YFI Balancer pool.

  • Deposit liquidity to Curve’s Y Pool to receive yCurve
  • Stake yCurve on yEarn either directly through Curve or on ygov.finance/stake
  • Provide liquidity to the DAI/YFI or yCRV/FYI Balancer pool and stake your BPT tokens on ygov.finance/stake

Watch this tutorial to learn how to farm YFI

Ampleforth AMPL Liquidity Incentives

Platforms Used: Ampleforth, Unsiwap

Earn AMPL stablecoins for providing liquidity to the AMPL/ETH Uniswap pool.

  • Purchase AMPL on Uniswap
  • Add an equal amount of liquidity to the AMPL/ETH Uniswap pool 
  • Stake your AMPL UNI tokens via Geyser
  • Bonus: The longer you stake, the higher your Bonus Multiplier becomes. Stake for 3 months for 3x rewards

Read more about AMPL Liquidity Incentives

Aragon ANT Liquidity Incentives

Platforms Used: Aragon, Uniswap

Earn ANT rewards for providing liquidity to the ANT/ETH Uniswap pool.

  • Purchase ANT on Uniswap
  • Provide liquidity to the 50/50 ANT/ETH Uniswap V2 pool
  • Stake your UNI tokens (representing your liquidity) via Aragon’s liquidity dashboard

Learn more about ANT liquidity rewards 

Auctus AUC Liquidity Incentives

Platforms Used: Uniswap, Balancer, Auctus

Earn AUC rewards for providing liquidity to the AUC/ETH and/or AUC/USDC Balancer pool.

Read more about the AUC Liquidity Incentives

Synthetix sUSD Liquidity Incentives

Platforms Used: iEarn & Mintr (Synthetix)

Earn rewards in the form of weekly SNX inflation for providing liquidity to the sUSD Curvepool through iEarn and Curve.

Read our full sUSD Liquidty tutorial.

Synthetix SNX Staking Tutorial

Platforms Used: Mintr (Synthetix)

Earn weekly SNX inflation by staking SNX via Mintr to mint sUSD. Please note that Synthetix requires 800% over-collateralization, so it’s recommended to start with a minimum amount of roughly 500 SNX to see any meaningful rewards.

Read our full SNX staking tutorial.

Uniswap Liquidity Provider Tutorial

Platforms Used: Uniswap, Zapper

Earn a portion of Uniswap’s 0.3% trading fees on any ERC20 token pair by providing liquidity split 50% between ETH and 50% between the target ERC20 token.

Read our full Uniswap LP Tutorial

Opyn Options Trading

Platforms Used: Opyn, Uniswap

Learn how to supply, trade and redeem Opyn protective ETH puts for passive USDC lending returns or secondary price appreciation on Uniswap.

Read our full Opyn tutorial

Contact

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FAQ

How much capital do I need to get started?

There are no minimum capital requirements to partake in any of these opportunities. With that being said, meaningful returns are largely earned with capital contributions starting from ~$1000 in value.

Are these passive income opportunities safe?

All of these opportunities are using highly reputable DeFi products. All smart contracts have been audited which largely mitigates risk. However, with any DeFi product, there is always a very small chance of loss meaning no user should add more capital than they would be willing to use.

Is this all the passive income opportunities in DeFi?

Absolutely not. We’ve chosen to cover a suite of tutorials which we find easy enough to grasp as a non-technical user with low barriers to entry. This list will be updated over time to include more income opportunities which you should know about.