Autonomous yield farming is a process in which investors can earn a passive income by providing liquidity to decentralized finance (DeFi) protocols. In this process, the smart contracts automatically allocate funds to different liquidity pools to maximize returns for the investors.
By participating in autonomous yield farming, investors can earn additional tokens as rewards for providing liquidity. These rewards are in addition to the interest earned from providing liquidity to the protocol.
One of the key benefits of autonomous yield farming is that it is a hands-off approach, as the process is automated by the smart contracts. This allows investors to passively earn income without having to actively manage their investments.
However, it is important to note that there are risks involved in autonomous yield farming, such as smart contract bugs and impermanent loss. Investors should conduct thorough research and understand the risks before participating in autonomous yield farming.
