Many people are scared off by the complex mechanisms of DeFi. Opening a white paper is full of Greek letters and formulas, which makes your head spin, and you constantly worry about impermanent loss, slippage, depegging, and other issues. Honestly, we ordinary participants simply don't understand where those esoteric risks come from.

Instead of delving into those convoluted details, I prefer to stick with straightforward logic. Take borrowing stablecoins against blue-chip collateral assets, for example—that's very pure: I use valuable assets as collateral to get stablecoins. No complicated interactions, no algorithmic tricks, just two clear indicators: my collateralization ratio and the interest rate I pay.

The best part is that I can do precise accounting. I know exactly what my costs are and how much I can earn. Using borrowed stablecoins for single-asset staking or liquidity mining, as long as the yields from these channels exceed my borrowing interest, the profit margin is secure. No complex variables, and I don’t have to stare at the screen all day worrying about falling into a trap.

Honestly, in today’s market, this kind of income model that generates cash flow without keeping you awake at night is really quite rare. Simple, controllable, transparent—that’s why this approach has always been on my investment list.