# Yield Farming

**Published by:** [Fivre](https://paragraph.com/@fivre/)
**Published on:** 2021-12-23
**URL:** https://paragraph.com/@fivre/yield-farming

## Content

Yield farming, also called liquidity mining, is a way to earn rewards with cryptocurrencies. In its simplest form, it means locking in cryptocurrencies and earning rewards in return. Yield farming is somewhat similar to staking. However, the background to yield farming is much more complex. Most often, it works with users who add funds to liquidity pools, called liquidity providers (LPs).

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