This opportunity works well for investors who want long exposure to ETH.
Risks include potential bad debt due to untimely liquidations of collateral assets. The protocol has a Reserve Fund to cover a portion of losses in such cases.
Your yield primarily comes from the interest rates paid by borrowers who leverage the assets you've supplied for trading or farming. The more your asset is borrowed, the higher the interest that accrues back to you. The yield can change depending on transaction volume and value.