That is just borrowing against your Bitcoin. That is not yield. There is no yield in that example because the amount of Bitcoin you own is the same. Yes the value of Bitcoin went up in dollar terms, but you did not earn any yield because the Bitcoin is the same. This is classic fiat nonsense.

FTX and the other crypto exchanges that imploded a few years ago were offering yield by “giving” you more Bitcoin. But the yield has to come from somewhere and that’s why it inevitably failed. The yield in treasury bonds increases your dollar amount but decreases your purchasing power. The yield has to come from somewhere. Anytime you play with yield, you take on risks.