Stay away from projects with insanely high APY, 100,000% to 500,000% APY, you knew what I'm talking about, Titano, Safuu and others, invest but learn to back your initial investment first, all these defi projects are practising ponzinomic scheme. The latest is Safutinano, just know what you are doing.
That is why we must be always careful to trust a new project. As we know, one of the ways that are used by new projects to promote them and to invite more investors is by offering promises, one of them is the reward like APY. But, as we know that not all ew projects are exactly solid and legit. Many use the Ponzi scheme like what you said. Some use this hype for scamming the investors. And the other thing is only about shit.
Very high APY may be very exciting and tantalizing, but there are always high risks also for high profits. One of them is scam and fraud.
For me,I will prefer to choose saving or staking my coins or tokens only in reputable platforms that has been trusted and popular although it has smaller APY