Liquidity Provider Fundamentals: Impermanent Loss Without DEX Fees (Part 7)
Understand impermanent loss (IL) in DEXs: How price changes impact LP returns. Learn the math behind IL & why fees matter.
Understand impermanent loss (IL) in DEXs: How price changes impact LP returns. Learn the math behind IL & why fees matter.
Learn how trading fees impact the constant product (k) in DEXs. Discover why k changes with swaps but not liquidity adjustments.
Learn how liquidity provision affects token prices, including price impact derivations and simplified approximations for DeFi protocols like ghostDAO.
Learn how to calculate individual LP share value in DEXs with step-by-step formulas and real-world examples. Part 2 of our liquidity provider series.
Learn how to value liquidity provider (LP) positions in DEXs, including fee compounding, pool math, and real-world examples. Part 1 of a series.
Discover how DEX fees (0.1%-0.3%) work, their anti-fraud benefits, and the math behind swaps. See a real example comparing fee vs. no-fee trades.
Learn how to calculate DEX price impact & slippage using liquidity ratios. Optimize trades with zero-fee analysis for Token X/Y swaps.
Understand DEX price relativity & slippage mechanics—how Token X/Y ratios define value in decentralized exchanges with real-world examples.
Let’s define all (or almost all) terms that will appear throughout the various formulas used to describe the GHOST Ecosystem. Tokens $latex \text{DAI} = \text{any decentralized stablecoin (e.g. on the…
Recent market turbulence shocked both traditional and crypto investors. On the heels of above expected inflation (CPI = 8.6%) the S&P 500 sold off by more than 10% at the…