11-17-2020, 09:10 AM
Uniswap Liquidity Pool - Was it worth it?
<table> <tr><td> <a href="https://www.reddit.com/r/CryptoCurrency/comments/jva69o/uniswap_liquidity_pool_was_it_worth_it/"> <img src="https://a.thumbs.redditmedia.com/lxJ-5vqdBCiBHV8sEjSvWV43yVg3qNC4rz7yOEX3uE8.jpg" alt="Uniswap Liquidity Pool - Was it worth it?" title="Uniswap Liquidity Pool - Was it worth it?" /> </a> </td><td> <!-- SC_OFF --><div class="md"><p>I provided liquidity to a few of the pools during the UNI lp period (59 days). Here were the results:</p> <p><strong>DAI/ETH</strong></p> <p><a href="https://preview.redd.it/uh6kht6yqmz51.png?width=880&format=png&auto=webp&s=32e15f6750faf5af9c6f2860b9cec284f08cdf79">DAI/ETH Uniswap Liquidity Pool Results</a></p> <ul> <li>Initial Assets at Initial Prices - $4,037.63</li> <li>Initial Assets at Current Prices - $4,879.14</li> <li>Current Assets at Current Prices - $4,849.01</li> </ul> <p>I started with an investment of $4,037 59 days ago and today it is worth $4,849.01.</p> <p>That is a gain of $811.38 (20.1%). However, this is what <strong>permanent loss</strong> looks like. Although I have an overall gain, if I had not provided liquidity to Uniswap and had just <strong>held the assets</strong> then my total gain would have been $841.42.</p> <p>Therefore, the opportunity cost is currently $30.06 if I remove the liquidity.</p> <p><strong>USDC/ETH</strong></p> <p><a href="https://preview.redd.it/kbx9uch8smz51.png?width=842&format=png&auto=webp&s=a48e6ccb20863e720f9e92cffcb267b33e11d182">USDC/ETH Uniswap Liquidity Pool Results</a></p> <ul> <li>Initial Assets at Initial Prices - $3,987.93</li> <li>Initial Assets at Current Prices - $4,804.36</li> <li>Current Assets at Current Prices - $4,812.05</li> </ul> <p>I started with an investment of $3,987 59 days ago and today it is worth $4,812.</p> <p>That is a gain of $824.11 (20.67%). This pool has currently overcome the impermanent loss and is ahead by +$7.72.</p> <p><strong>UNI Yield Farming</strong></p> <p>Uniswap provided UNI for both the DAI/ETH and USDC/ETH liquidity pools. Both pools together earned:</p> <p><a href="https://preview.redd.it/kyu31mfzsmz51.png?width=883&format=png&auto=webp&s=fd559a44705ca05d9ee79eac83de8c6415fdc0b8">UNI Yield Farming Results</a></p> <p>Claimable UNI are the UNI tokens earned by providing liquidity. Currently, that is an additional $317 to the total return. This incentive has greatly reduced the risk of impermanent loss and my overall gain against holding the assets is ~$294.</p> <p>I will have spent ~$25 in gas fees for all of the transactions.</p> </div><!-- SC_ON --> Kind Regards R
<table> <tr><td> <a href="https://www.reddit.com/r/CryptoCurrency/comments/jva69o/uniswap_liquidity_pool_was_it_worth_it/"> <img src="https://a.thumbs.redditmedia.com/lxJ-5vqdBCiBHV8sEjSvWV43yVg3qNC4rz7yOEX3uE8.jpg" alt="Uniswap Liquidity Pool - Was it worth it?" title="Uniswap Liquidity Pool - Was it worth it?" /> </a> </td><td> <!-- SC_OFF --><div class="md"><p>I provided liquidity to a few of the pools during the UNI lp period (59 days). Here were the results:</p> <p><strong>DAI/ETH</strong></p> <p><a href="https://preview.redd.it/uh6kht6yqmz51.png?width=880&format=png&auto=webp&s=32e15f6750faf5af9c6f2860b9cec284f08cdf79">DAI/ETH Uniswap Liquidity Pool Results</a></p> <ul> <li>Initial Assets at Initial Prices - $4,037.63</li> <li>Initial Assets at Current Prices - $4,879.14</li> <li>Current Assets at Current Prices - $4,849.01</li> </ul> <p>I started with an investment of $4,037 59 days ago and today it is worth $4,849.01.</p> <p>That is a gain of $811.38 (20.1%). However, this is what <strong>permanent loss</strong> looks like. Although I have an overall gain, if I had not provided liquidity to Uniswap and had just <strong>held the assets</strong> then my total gain would have been $841.42.</p> <p>Therefore, the opportunity cost is currently $30.06 if I remove the liquidity.</p> <p><strong>USDC/ETH</strong></p> <p><a href="https://preview.redd.it/kbx9uch8smz51.png?width=842&format=png&auto=webp&s=a48e6ccb20863e720f9e92cffcb267b33e11d182">USDC/ETH Uniswap Liquidity Pool Results</a></p> <ul> <li>Initial Assets at Initial Prices - $3,987.93</li> <li>Initial Assets at Current Prices - $4,804.36</li> <li>Current Assets at Current Prices - $4,812.05</li> </ul> <p>I started with an investment of $3,987 59 days ago and today it is worth $4,812.</p> <p>That is a gain of $824.11 (20.67%). This pool has currently overcome the impermanent loss and is ahead by +$7.72.</p> <p><strong>UNI Yield Farming</strong></p> <p>Uniswap provided UNI for both the DAI/ETH and USDC/ETH liquidity pools. Both pools together earned:</p> <p><a href="https://preview.redd.it/kyu31mfzsmz51.png?width=883&format=png&auto=webp&s=fd559a44705ca05d9ee79eac83de8c6415fdc0b8">UNI Yield Farming Results</a></p> <p>Claimable UNI are the UNI tokens earned by providing liquidity. Currently, that is an additional $317 to the total return. This incentive has greatly reduced the risk of impermanent loss and my overall gain against holding the assets is ~$294.</p> <p>I will have spent ~$25 in gas fees for all of the transactions.</p> </div><!-- SC_ON --> Kind Regards R