The point isn’t how much would you want — it’s what could they possibly be doing on the other side of that debt instrument to yield more than that.

Flash loans is one thing that I have no idea how I could get as a typical retail tradition finance customer, but are readily available on crypto. In the ideal (impossible) case they are riskless. Executing just 200 of them yields ~20%.

What could possibly go wrong.

I could pay 40% for keeping your cash near a roaring fire, doesn’t mean I can sustain that forever.

More than any legitimate enterprise in that space could possibly provide.

20% per annum isn't close to enough, as today's market demonstrates. I'd have needed probably 20% per month, if not per week.

But why would anyone be willing to pay it?