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Kaloh
@kaloh
Liquidity pools metrics are extremely misleading Seriously - just show REAL metrics, would make adoption much better and not a guessing game 1. Fees APY 2. Impermanent Loss % 3. Expected Earnings or Losses: fees APY %- Impermanet Loss % Also, show a clear Bottom Line Bottom Line: Liquidity provided - Impermanent Loss + Earned Fees Why is no one doing this? 🫤
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Monteluna
@monteluna
As someone who does this for a living... 1. Fees APR is a meme. If you're an LP, you are market making. Historically this was a contracted quant heavy business because marker makers generally borrowed and could lose a lot of money in IL. They were contracted to supply liquidity *during* market events, so they had to be held to a standard to actually show up during downturns. 2. Again the problem is no one wants to supply LP during a downturn or market changing event. We see this at Aero/Velo where the best yields come during options turnover days (before 1st and 15th), and during some weird new information event. What's the point of talking about a global APR when LPs legit get scared and instantly dump positions? Those who stay in get huge yields, so the APR is basically completely not a gauge of your returns if you stay in while others aren't there. 3. So if the APR you get is determined by when you're in the market, it gets worse with CL. You have to be actively providing yield in tick.
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nick
@nickysap
Because no one would LP lol
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maxAPY - DeFi on autopilot
@maxapy
maybe real metrics scares off users🥲
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Brian
@wireframeguy
Have you checked our revert finance? Their platform shows each lp position on uniswap by actual fees earned and the range provided, but still clunky and no way to verify if data is correct.
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tim/vortac
@vortac
That's a problem with almost every financial product and every insurance company, it's always calculated and twisted within the scope of the legal possibilities in order to win over investors. It is always a spiral of lies, if someone were to tell the truth and clearly point out all the dangers and the lower returns, no one would invest. You get the feeling that people also want to be lied to and deceived so that everything remains a beautiful dream.
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