web3/concepts/yield-farming.md

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# Yield Farming
In crypto assets, *yield farming* is the act of taking [stablecoin](stablecoin.md) and depositing them with different [staking](staking.md) and [DeFi](defi.md) schemes with varying degrees of risk-yield promises in the hopes that diversification across different varieties of [Ponzi schemes](ponzi-scheme.md) will remove risk from an overall portfolio.
See also [counterparty risk](counterparty-risk.md), [Ponzi scheme](ponzi-scheme.md) and [shadow banking](shadow-bank.md).
## References
1. Allen, Hilary J. 2022. DeFi: Shadow Banking 2.0? William & Mary Law Review, Forthcoming.
1. Walch, Angela. 2019. Deconstructing Decentralization: Exploring the Core Claim of Crypto Systems. C. Brummer (Ed.), Crypto Assets: Legal and Monetary Perspectives, 136. https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3326244.