TOKENIZED GOLD YIELD FARMING GUIDE

Summary from the TLDR Crypto newsletter

Tokenized gold yields involve collateralizing XAUT or PAXG on platforms like Fluid for 4.5% base yield, then borrowing stablecoins against the collateral with strategies ranging from low-risk simple lending aggregators at 3% net APR to medium-risk Pendle PT positions at 12.5% to higher-risk syrupUSDT loops at 13.5%, calculated as LTV multiplied by the spread between stablecoin yield and borrow cost. Morpho offers the highest 77% LLTV with 5% borrow costs for both PAXG and XAUT, though with thinner liquidity, while Aave provides XAUT with 75% LLTV, 3-6% borrowing rates on USDC/USDT/USDe, and billions in available liquidity across Ethereum and Plasma, making it the deepest market.