yes there are dozens of decentralized protocols that claim to offer high yield. but few can really sustain that in reality. safer to not chase such high yield.
this is bad thing for all depositors who are losing money. but good for overall progress of crypto. centralized custodians should be regulated, and users should be educated about the benefits of choosing self custody and decentralized exchanges over unregulated and opaque services.
contagion will spread more after this, so expect more centralized services to fall.