Bitcoin Yield Products Draw Returns From Staking, Lending and Covered Calls

Photo: TokenPost
Bitcoin holders comparing yield products need to look past headline rates: staking programs, lending markets and leveraged vaults rely on different mechanisms, impose different withdrawal terms and may pay different tokens. Bitcoin's consensus network rewards miners for processing transactions; ownership alone does not generate a built-in payment to holders. Yield products create separate arrangements around Bitcoin: some lock BTC to support another network, some lend an asset linked to Bitcoin, and some borrow against collateral before redeploying the funds. A return may arrive in BTC, a network token or borrower interest.
Source: TokenPost







