When crypto tries to behave like an annuity

- The article describes a new type of crypto product — sometimes called "crypto annuities" — that promises regular, predictable payouts (e.g., daily or monthly) in stablecoins or other tokens, mimicking the structure of a traditional annuity. - Unlike traditional annuities (sold by insurance companies, regulated, backed by bonds or other safe assets), these crypto versions are typically unregulated and funded by yield from DeFi protocols, staking, or algorithmic trading strategies — meaning the underlying risk is far less transparent. - The key tension: crypto is built on volatility and speculative returns, while an annuity is a low-risk, predictable income product meant for retirement. Bridging the two raises serious questions about sustainability, counterparty risk, and whether the promised yields can survive a market downturn. - Notable prior examples of "yield-bearing" crypto products that blew up include Celsius Network and Anchor Protocol, both of which collapsed when their supposed "safe" high yields proved unsustainable — readers should be aware of this track record.