Part 4/8:
To illustrate how users can optimize Metrics Finance, the user outlines his own methodology. He primarily utilizes popular networks and exchanges such as Uniswap, Orca, and Radium. His approach focuses on finding high-conviction investment opportunities rather than diversifying across numerous pools, aiming to limit exposure to only three high-potential pools at a time.
Some key indicators he observes include:
Total Value Locked (TVL): Establishing a minimum TVL of $1 million while capping maximum TVL at $50 million to filter out low-liquidity pools.
Annual Percentage Rates (APR): Rather than chasing unrealistically high APRs, the user suggests focusing on rates above 40% while factoring in market fluctuations and trends.