Uniswap v3, UNI, and Liquidity: The Risk Most Traders and LPs Underestimate
A liquidity provider can earn trading fees, make every choice correctly, and still underperform simply holding the same tokens in a wallet. That is not a contradiction in Uniswap; it is the economic cost of supplying a market that continuously rebalances the assets deposited into it. The same protocol that gives traders permissionless access to …
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