mlsanityData to 14 Oct 2026

Benchmarking Classical and Quantum Models for DeFi Yield Prediction on Curve Finance

arXiv 2508.02685 ↗First posted 22 Jul 2025q-fin.ST cs.LG q-fin.TRcited by 4

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Abstract (arXiv)

The rise of decentralized finance (DeFi) has created a growing demand for accurate yield and performance forecasting to guide liquidity allocation strategies. In this study, we benchmark six models, XGBoost, Random Forest, LSTM, Transformer, quantum neural networks (QNN), and quantum support vector machines with quantum feature maps (QSVM-QNN), on one year of historical data from 28 Curve Finance pools. We evaluate model performance on test MAE, RMSE, and directional accuracy. Our results show that classical ensemble models, particularly XGBoost and Random Forest, consistently outperform both deep learning and quantum models. XGBoost achieves the highest directional accuracy (71.57%) with a test MAE of 1.80, while Random Forest attains the lowest test MAE of 1.77 and 71.36% accuracy. In contrast, quantum models underperform with directional accuracy below 50% and higher errors, highlighting current limitations in applying quantum machine learning to real-world DeFi time series data. This work offers a reproducible benchmark and practical insights into model suitability for DeFi applications, emphasizing the robustness of classical methods over emerging quantum approaches in this domain.

Key facts. Cited by 4 papers in the map (data through 14 Oct 2026). Builds on 3 of its 9 references that are in the map. First posted on arXiv 22 Jul 2025.

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3 of 9 references.

References · 3

  1. 2017Attention Is All You Needcited by 60,361
  2. 2016XGBoost: A Scalable Tree Boosting Systemcited by 5,166
  3. 2022NumHTML: Numeric-Oriented Hierarchical Transformer Model for Multi-task Financial Forecastingcited by 16

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4 papers.