The new logic of liquidity mining in the Sui ecosystem: What makes the Ferra protocol achieve such outrageous returns?

While the market is still debating L2 competition and liquidity fragmentation, the Sui ecosystem's Ferra protocol has already spoken with numbers. Several sets of yield data are in front of us, which are quite hard to understand—

The annualized yield of the MAGMA-USDC pair reaches as high as 947.81%, which is almost ten times the size. TRUTH-USDC follows closely behind, with an annualized rate of 509.32%, which is no small number. Looking at WAL-SUI, a yield of 247.29% is also among the top levels in the entire DeFi market's mining products.

This is not just a fleeting phenomenon of a lucky pool. From the fact that multiple trading pairs are simultaneously showing high yields, it is clear that Ferra has found some unique logic. Why is it able to do this? How sustainable are these yields? What is the mechanism behind it—these questions are worth a thorough analysis.