I like to keep a certain amount of my crypto in stable coins and I like those most of those stable coins to be earning me a yield.
Over the past six months or so, since the HBD return hit 20% APY I've been gradually taking my other stable coin stakes out of the various DEFI protocols I'm in, transferring to HBDs and simply putting them in savings, because the HBD return is simply far superior to most other offerings.
And there's the fact that I just trust HBDs more than all other stablecoins!
Nonetheless I still like to keep abreast of what kind of APYs other protocols are offering as I do like to be diversified.
In this post I have a look at four offerings on the low-fee Polygon Network
Polygon TVL Overview...
Polygon currently has $1.29 billion of a
ssets locked into it according to DefiLlama.
While this is 10 times less than in July 2021 the amount locked as been pretty stable since July 2022.
Polygon is the fifth largest serious DEFI network once we've discounted the centralist TRON network.
Stable coin APYs on Aave
Aave has around one third of the TVL on Polygon, with a TVL of $300 Million.
It offers a range of stable coin borrow options at 'sensible' return rates of around 1-2% APY...
Beefy
Beefy Finance is the largest yield aggregator on Polygon with a TVL of $76 million.
It offers much higher returns than on Aave and some of the highest stable coin returns on the Polygon network - with APYs of 15-16% if you're prepared to pool some of the more obscure stable coins such as aUSD and the EUR offerings...
Beefy's multi-pool offerings for the more well known stable coins are also pretty decent at around 8-9%, not too bad TBH!
Stable coin APYs on ApeSwap
ApeSwap is a well known Yield Aggregator which although a long way from it's heyday in terms of TVL still has $10 million locked into it on Polygon.
If you're prepared to risk your stable coins with Matic you can get around a 5% return...
However there is only one pure stable pool offering and the yield is quite low...
TBF I think Apeswap has introduced 'NFT Bills' recently (which I think are basically bonds) and so if taking a new direction away from classic yield farms, but that's something to explore in a future post!
Autofarm
Autofarm is one of the earliest DEFI platforms out there and like Apeswap it's come a long way down in terms of its TVL, with only $6 million locked on Polygon, but it's well established and has a very functional user-friendly interface so I still like to keep an eye on it.
There is a decent range of stable-farms on offer but unfortunately the returns are low, in the 1-2.5% range.
Final thoughts: Polygon Stable Farms - Worth Staking To...?
I don't think staking to a farm for a 1-2% return is worth the risk of having your funds locked into a Protocol, better to stash them in cold storage.
The returns on Beefy are appealing, especially those on the more obscure EUR coins, however, with HBDs offering a 20% APY for a single asset, single chain stake and HBD price stability looking solid, I can't see anything here to tempt me away from just holding HBDs!