Impermanent loss happens when the prices of assets in a liquidity pool change relative to each other, causing a temporary dip in value compared to simply holding the assets. Liquidity provision in ...

Alexis Direr, a researcher at the University of Orleans in France, has released a paper summarizing the mathematical underpinnings of Uniswap and other exchanges based on Automated Market Makers.

A new study by Bancor, a decentralized trading protocol, has shown that more than 50% of Uniswap liquidity providers are losing money due to a phenomenon known as impermanent loss (IL). The study’s ...

Impermanent loss is a key but often overlooked risk in decentralized finance (DeFi). It happens when you put two assets into a liquidity pool and their values change relative to each other. While ...