I used to believe this -- "too good to be true", then I played with the tech and realized the folk borrowing the money at a higher rate (of course) were earning 2x that via various defi contracts.

Most of the defi world is a scam, however, stablecoin<->stablecoin liquidity pools are handling millions of dollars and paying the liquidity providers handsomely at 0.1%. It is then that you understand who exactly is making big money in this space :-)

I'm not saying there is no risk -- indeed, there is considerable risk and no FDIC insurance; BUT, the game is far more complex than looks on the surface.