How Automated Compounding Improves Long Term Onchain Returns For The Next Generation
Execution costs reduce actual returns compared to headline APY figures shown We were told to trust code, not people or institutions. How can capital identify strategies that last rather than those that fade quickly The headline figure is usually much easier to observe than the net outcome. What looks generous on the dashboard can feel much thinner after the full set of trade-offs shows up. The return on screen may be real, but it is rarely complete. The source might be market-making fees, len...
How Automated Compounding Improves Long Term Onchain Returns For The Next Generation
Execution costs reduce actual returns compared to headline APY figures shown We were told to trust code, not people or institutions. How can capital identify strategies that last rather than those that fade quickly The headline figure is usually much easier to observe than the net outcome. What looks generous on the dashboard can feel much thinner after the full set of trade-offs shows up. The return on screen may be real, but it is rarely complete. The source might be market-making fees, len...
DeFi Doesn’t Remove Trust — It Engineers It
Constraints help systems respond predictably during unexpected failures. The important question is where that yield is actually coming from. This is where market maturity begins to influence participant behavior Once you include impermanent loss, gas, slippage, strategy maintenance, and volatility, the APY can compress quickly. What matters is not only what a strategy pays in theory, but what survives implementation. Some strategies are supported by real usage such as swap fees or borrowing d...
DeFi Doesn’t Remove Trust — It Engineers It
Constraints help systems respond predictably during unexpected failures. The important question is where that yield is actually coming from. This is where market maturity begins to influence participant behavior Once you include impermanent loss, gas, slippage, strategy maintenance, and volatility, the APY can compress quickly. What matters is not only what a strategy pays in theory, but what survives implementation. Some strategies are supported by real usage such as swap fees or borrowing d...
What Makes a DeFi Strategy Actually Sustainable?
Changing correlations can alter expected performance of strategies over time But the headline figure is usually far easier to read than the underlying trade-off. Why do some strategies degrade once execution costs are considered fully Gross return and net return can end up being meaningfully different once the full path of execution is taken into account. One reason this matters is that displayed yield and realized yield are often very different things. That is the difference between a visibl...
What Makes a DeFi Strategy Actually Sustainable?
Changing correlations can alter expected performance of strategies over time But the headline figure is usually far easier to read than the underlying trade-off. Why do some strategies degrade once execution costs are considered fully Gross return and net return can end up being meaningfully different once the full path of execution is taken into account. One reason this matters is that displayed yield and realized yield are often very different things. That is the difference between a visibl...
