# FAQs

<figure><img src="https://1516760468-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2FOX441FzBLMyFjBKZrOZ4%2Fuploads%2FZsY9eLSWDX4UUUsSDsUn%2Ffaq.png?alt=media&#x26;token=7936b62f-133d-4188-8100-bcbe240c5168" alt=""><figcaption><p>Frequently Asked Questions</p></figcaption></figure>

## **What is Builda Yieldfunding?**

Builda yieldfunding, simply put, is a way for users to deposit into their favorite yield strategy or migrate their existing one, and offers the ability to direct their on-going yield to projects that have an active yieldfunding campaign on Builda. This helps fund the project while rewarding the user, without directly investing capital into the project.

## **Why yieldfunding and not direct investing?**

* **No-Loss Contribution**: Because only the yield is donated, participants effectively contribute without risking their original investment.
* **Continuous Control**: Users retain full control over their funds and can withdraw whenever they choose, adding a strong element of flexibility.
* **Broad Inclusivity**: Lower risk makes it accessible to a wider audience, including those who wouldn’t typically invest in riskier early-stage projects.

_Note: participants can withdraw their staked tokens from active crowdfunding campaigns at any time._

## Where does the yield come from on Builda?

Currently, the yield comes from Morpho Vaults & Moonwell's lending & borrowing protocol. Builda Protocol's goal is to have a fully permissionless framework to support any future yield strategies the community wants to enable.

## What chain is Builda on?

Currently Builda supports Base, with the ability to support more chains in the future.

## How are projects sourced?

Currently, projects are sourced by Builda Protocol contributors and the general community.

Eventually, projects can be sourced entirely through the community in a way that allows yieldfunding to operate in a completely trustless way with a community driven decentralized governance.

## What will I receive if I participate in yieldfunding rounds?

* **Builda Bucks**: Protocol-wide points granted to contributors, tracking overall participation.
* **Project-Specific Points**: Reward points from each project that can be redeemed for future token allocations, NFTs, whitelist access, in-game assets, or other perks.
