Recently, I created a post called an interesting income source on Hive – Providing Liquidity and there were plenty of interesting questions in the comment section. I explained similar things several times and I thought it might be a good idea to explain the risks related to liquidity pools in a separate post. It's not an easy task and instead of explaining what impermanent loss is, I try to show the effect through some examples.
For that I use a website that allows you to play with numbers and calculate the loss/gain you would make in different situations.
With
, I'm running the 
project.
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