been earning yield on stablecoins for a year – what $10K actually made

keep seeing people talk about stablecoin yield in theory so figured I'd share actual numbers from a full year

deposited $10K USDC in Aave last may. rate at the time was around 3.8% APY. didn't touch it for 12 months except to claim rewards twice

here's what happened quarter by quarter:

Q1 (may-july): APY stayed around 3.7-4.0%. earned about $95. rates were stable, no drama. checked the position once a week out of curiosity more than necessity

Q2 (aug-oct): rates dipped because fewer people were borrowing during the summer slowdown. APY dropped to around 3.9%, briefly lower on some weeks. earned about $98. this was the least exciting quarter

Q3 (nov-jan): market activity picked up, borrowing demand increased, rates went back up to around 3.4-4.0%. earned about $92. this is when I learned that stablecoin lending rates are tied to market cycles even though the stablecoins themselves are "stable"

Q4 (feb-apr): rates got more volatile than expected. APY briefly dropped near 2% during periods of lower utilization, then rebounded above 4% as borrowing demand returned. earned about $86

total earned over 12 months: about $371. gas costs for two claim transactions: about $12. net: roughly $359

that's roughly 3.6% actual yield after fees. not what the dashboard showed on any given day but the real number after a full year

is it exciting? no. did my $10K sit there generating passive income while I lived my life? yes. is that better than the 0.5% my bank offers? significantly

the boring conclusion: stablecoin yield works, the numbers are real, but they're lower than advertised and they fluctuate more than you'd expect from something called "stable"