Now, picture yourself as that Kenyan smallholder farmer, scrimping and saving to build a better life. You read about DeFi, the potential for much higher yields than your neighborhood bank could ever provide. You're intrigued. Until you trip over the concept of impermanent loss. Now your hopes for retire early...
Decentralized finance (DeFi) is an incredibly dynamic and complex space. It more actively engages with solutions to challenges like impermanent loss, a frankly doomed condition for any LP. ThrowingToken.com on Curve Finance’s unique ecosystem and revolutionary model via their Yield Basis (YB) platform. We consider this platform to be a...
Impermanent Loss (IL). The liquidity providers (LPs) of every DEX’s worst nightmare. You jump into the pool, lured by irresistible libertarian APRs. Before long, you notice that your portfolio’s return is trailing well behind simply owning the underlying assets. We've all been there. So, when Curve Finance steps up to...
Impermanent loss has historically been the bane of DeFi liquidity providers’ existences. It's the risk that the value of your deposited assets can decrease compared to simply holding them, due to price fluctuations within the liquidity pool. Imagine if there were a way to minimize — or even completely remove...
Impermanent loss has been the most central threat to liquidity providers (LPs) in decentralized finance (DeFi). It’s a recurring theme that doesn’t seem to stop irritating these champs. This occurs when the price of a token pair in a liquidity pool fluctuates drastically. Consequently, LP’s token holdings are reduced relative...
Decentralized Finance (DeFi) is fundamentally changing the world of finance. It offers novel approaches to lending, borrowing and trading. DeFi platforms conduct their activities on public blockchains —mostly Ethereum— which allows users to interact directly with financial services, skipping the need for intermediaries. Aave, Synthetix, Curve Finance, and BYDFi are...
Impermanent Loss (IL). It's the Voldemort of DeFi – the thing we don't like to name, but constantly haunts liquidity providers. It's that sinking feeling when you provided liquidity, happily collected trading fees, only to find out your portfolio is worth less than if you'd just HODLed. Curve Finance, with...
This world of decentralized finance (DeFi) is moving so quickly. Fortunately, innovative new solutions are helping address the challenges liquidity providers face. In fact, one of the largest challenges in crypto liquidity is impermanent loss. It occurs when the prices of tokens in a liquidity pool diverge, making a provider’s...
Curve founder Michael Egorov’s plans to reduce the risk of impermanent loss, a major fear in decentralized finance (DeFi). As one side makes a strong rally—the winner of the bout—Curve’s system is meant to borrow against the winner and buy the loser. This mechanism does a nice job of ramping...