Hackernoon logoDeFi Projects with the Highest Yield by@mabdullah

DeFi Projects with the Highest Yield

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Have you heard that DeFi tokens right now should be perceived the same way Bitcoin was in 2013? Decentralized finance (DeFi) has been rising as a major trend in the cryptocurrency market. People who are involved in the field describe DeFi projects as “Money Legos.” They are called “Money Legos” because they have vast potential for building financial infrastructure.

The crypto market has seen thousands of applications developed for trading digital assets and issuing crypto loans. In 2021, the hottest trending services are connected to the so-called "yield farming" which is also referred to as liquidity mining. This is different from regular mining since it doesn’t require any equipment or software. Investors simply hold certain cryptocurrencies receiving rewards for adding to the liquidity pool.

These currencies sometimes promise thousands of dollars in annual profitability for just making a deposit, but some of them, unfortunately, fail their users’ trust right on the launch day. Such cases make you think: “How do I choose the right token that has a good reputation and high return?”. Before deciding that, it’s important to do thorough research and gain an understanding of how the DeFi and yield farming work.

What Is APY?

Well, there is a term called APY (Annual Percentage Yield). APY refers to the real rate of return earned on a savings account or investment, adjusted for the effect of compounding.

Unlike simple interest, compound interest is calculated periodically and the amount is immediately added to the balance sheet. With each subsequent period, the account balance becomes slightly larger, so the interest paid to the balance also increases. DeFi token’s annual percentage yield is of interest to us because it indicates the final amount a user gets. In other words, the following DeFi projects might help you make a considerable profit.

The Highest APY Projects

Here’s a compilation of DeFi tokens with the highest APY which have created new opportunities for investors who are in search of deep liquidity, better risk-reward ratios as well as interesting and affordable modern financial instruments.

These tokens were chosen due to their reputation and the community’s response to their performance. However, it’s always essential to do your own research in order to find one or several tokens that can be useful for your general investment strategy. It’s also important to note that these are usually considered to be a long-term investment, so the return will reach the investor after a certain time period.


Nominex exchange token (NMX) is up 4,000% in 3 months due to the liquidity mining, infinite referrals and more bonuses the platform has to offer. APY (weekly reinvestment) currently equals 676%, which is a jackpot for yield farming.


Nominex has allocated an enormous sum of 193 million NMX tokens for its liquidity farming program. However, users don’t need to worry about hyperinflation since these rewards will be spread across a period of 72 years. This potentially means a lifetime of staking for those who join early.

Right now, Nominex distributes around 8,000 NMX a day from the main reward pool and 1/5 of that number (1,600 NMX) as bonuses. The versatile system of farming bonuses is actually the most interesting and innovative part of their liquidity mining program. 

Everyone who stakes NMX receives some bonus tokens everyday. However, those who stake for longer enjoy an increased bonus coefficient: according to the website, extending the duration of farming can increase one’s APY by up to 900%.


Last year, Binance exchange offered 1200% yield for cryptocurrency investment. Site users could deposit BNB, BUSD, APRA, and ONT coins to receive payments in WING tokens. This was probably the reason for the ONT price rising the following day showing an increase of 7.5% over 24 hours. The price reached $0.87 as users were buying the asset to participate in the program.

This high-yield offer was unique in its kind. Other cryptocurrencies usually display profitability ranges from 32% to 75%. For instance, in the recent Binance Staking activity users stake their RAMP and AUCTION to earn up to 32.79% APY in 15 - 90 days, which is typical for the market but it doesn’t look as lavish as 1200%.


Uniswap has been offering a stable return rate of 20.77% which might seem rather modest in comparison to the previous entries. This exchange is compatible only with Ethereum-based tokens and not Bitcoin or fiat currencies.

These limitations, however, do not negate the trust Uniswap has built with their users over the short time they have been operating. Thanks greatly to utilizing yield farming, they have become one of the largest decentralized exchanges exceeding $1 billion in 24-hour trade volume.

This exchange has been one of the first market makers to receive attention for market making. The code behind Uniswap has been thoroughly forked more times than any other project in the decentralized field. It has also been popular for giving returns to users who provide liquidity on stablecoins which are considered a relatively safer investment due to their low volatility.


In contrast to the previous entry, PancakeSwap is offering yield farming opportunities outside of the Ethereum ecosystem. This Binance Smart Chain-powered dex allows investors to earn a return on coins such as ADA, BAND, and EOS which can be great for diversifying an Ethereum-heavy portfolio.

As can be seen, APY on these coins may vary anywhere from 70% to 1,199%. Early investors may find themselves on time to take advantage of alternative blockchain tokens and their low cost of entry.


Sushiswap is a fork of Uniswap that has also become its biggest competitor by encouraging users to migrate to their platform instead. They began offering similar features but awarded users a native token SUSHI before Uniswap launched their own UNI tokens.

Sushiswap’s creator, who is called Chef Nomi, prioritizes the community and his entire platform is governed by the people involved in contrast to other similar projects. Because of this, users are provided with better incentives and higher rebates. However, it’s important to note that this platform has not been audited properly and many investors are hesitant to trust it just yet.

Why Get Involved in DeFi

Decentralised Finance (DeFi) has been the fastest-growing industry in the cryptocurrency market over the past year. At the time of writing, DeFi has more than $13 billion invested by its users. New protocols continue to appear almost daily, and regulated American and European venture funds are actively investing in them.

The reason for this interest is simple, DeFi is almost the only way to get a periodic fixed income in cryptocurrencies. The annual percentage return (APY) in the top 5 DeFi protocols varies from 15% to 166% per annum. Nevertheless, there is a platform on our list that can offer much more than that.

The former Messari executive Qiao Wang claimed that the purchase of DeFi tokens is "an investment opportunity for a decade". Like many cryptanalysts, he is sure there are plenty of reasons to invest in DeFi tokens, and we can’t but agree such a chance should not be missed.

Disclaimer: The opinions in this article belong to the author alone. Nothing in this article constitutes investment advice. Please conduct your own thorough research before making any investment decisions.


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