Yearn and Convex used to compete for curve LP pools. Recently, Yearn has gotten rid of their original curve pools, and now their pools use Convex.
The benefit of yearn seems to be that they reinvest rewards from convex into more LP tokens. This would suggest that the APR would be higher on Yearn than on Convex.
However, for cvxCRV-CRV pool (staked CRV on convex is cxvCRV), APY on Yearn shows as 33% and APR on Convex is 50%
In terms of fees, Yearn charges 20% of gains and 2% of the total, but it seems the 20% is included in the 33% APY.
Obviously these numbers of 33% APY and 50% APR are not comparable:
– Yearn APY does not include reinvesting
– Convex APR does not including staking rewards
Which strategy do you think is best?
convex if you are a whale and can pay off eth gas fees
yearn if u are poor boi and the 20% of gains that they take is less than how much itd cost you to pay gas fees to compound (prob around $250-$500). also yearn’s apy are (from what ive heard) a 30 day calculation so its different from convex where it updates in real time with current and projected apys
Not bad TBH with prop like this, yield farming will eventually become formidable.
Also spool working to ease the the process of creating a diversified yield farming portfolio
Why not plan to diversify across both pools by leveraging on Spool when it goes live, you never thought of that?