BTC$86,528.57+1.30%ETH$2,757.71+0.86%BNB$790.46+0.37%XRP$1.62+6.55%SOL$118.57+1.42%TRX$0.3438−1.40%ZEC$1,612.08+7.92%FIGR_HELOC$1.03+1.77%HYPE$97.30+3.51%DOGE$0.1014+1.18%XMR$572.82−0.13%WBT$86.96+1.23%LINK$13.02+0.58%ADA$0.257+5.08%
wardcrest

Impermanent loss

The shortfall a liquidity provider suffers compared with simply holding the two tokens, because the pool sells the one that rises and buys the one that falls. It disappears if prices return to where they started.