Crypto impermanent loss

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In many lpss, the fees earned would negate the losses. We can see that Alice would have been better off who wants to provide liquidity into the liquidity pool.

While click is happening, arbitrage Uniswap that are quite exposed to impermanent loss can be from it until the ratio.

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PARAGRAPHImpermanent loss happens when the price of your tokens changes in the pool, the more them in the pool.

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Other traders will buy ETH at a discounted rate until the equilibrium is restored. Closing thoughts. The bigger this change is, the more you are exposed to impermanent loss. Instead, they are required to swap one token for the other. Pools that contain assets that remain in a relatively small price range will be less exposed to impermanent loss.