You are viewing a single comment's thread from:RE: Impermanent Loss: The one topic every crypto website somehow explains incorrectly.View the full contextView the direct parentnealmcspadden (74)in LeoFinance • 4 years ago Dunno. My initial thought is that arbitrage volume between stock exchanges will be enough. Posted Using LeoFinance Beta
Arbitrage only benefits the takers/traders.
Gotta have a trading fee to make it worth it for liquidity providers.
Luckily the volatility of the stock market is much lower than crypto,
so the fee would likely be competitive with the legacy system.
Not sure if LPs are going to enjoy having half their assets paired to USD though.
Perhaps two pairs (one to USD, another to BTC) would be in order.
Yes, the AMM system in my mind would have trading fees just like most (all?) crypto AMMs have built in.
Posted Using LeoFinance Beta
Right right it's just that... The trading fees on Uniswap and Pancakeswap aren't really high enough to incentivize the LPs. Yield farming added so much sugar on the top it seems like a no-brainer requirement at this point.