Recent supply shocks have led to notable changes in annual percentage yields (APY) across various crypto lending pools. The USDT pool on Spark saw its APY decrease from 3.87% to 3.60%, a drop of 27 basis points. Similarly, the cbBTC/USDC pool on Morpho experienced a reduction from 4.09% to 3.6%, down by 49 basis points. The WBTC/USDC pool on Morpho also saw a significant decline, with its APY falling from 4.27% to 3.4%, a decrease of 87 basis points.
These changes highlight a consistent pattern: smaller pools tend to be more sensitive to supply shocks, resulting in more pronounced fluctuations in APY. This trend underscores the importance of pool size in determining the stability of returns for investors in the crypto lending market.
Supply Shocks Impact APY on Crypto Lending Pools
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