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Time Details
2024-08-25
09:40
Vitalik Buterin Expresses Concern Over Yield Generation in Crypto

According to VitalikButerin, the Ethereum co-founder expressed concerns about the sustainability of yield generation in the cryptocurrency market. He pointed out that the value of crypto tokens is often derived from the ability to earn yield, which is primarily funded by activities such as borrowing and trading fees. He likened this mechanism to an ouroboros, suggesting a potentially unsustainable cycle where the value is generated from within the system itself.

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