Impermanent Loss Calculator & Projector for 50/50 AMM — Professional, verifiable DeFi analytics: discover sustainable yields, stress-test impermanent loss, monitor stablecoin pegs, and track sector rotation—fast UI, on-chain links, no fluff. All pages are server-rendered here for search engines and readable with JavaScript disabled.

Impermanent Loss Calculator & Projector for 50/50 AMM

Impermanent Loss Calculator & Projector for 50/50 AMM

Professional, verifiable DeFi analytics: discover sustainable yields, stress-test impermanent loss, monitor stablecoin pegs, and track sector rotation—fast UI, on-chain links, no fluff. All pages are server-rendered here for search engines and readable with JavaScript disabled.

  • Use filters to surface durable yields (TVL depth, audits/timelocks, APY stability, lockups).
  • Open details to verify contracts via one-click links (explorer, docs, audits, holders).
  • Before farming, sanity-check stablecoin exposure and peg deviation.
  • Model LP paths in the Impermanent Loss Projector (fees vs. IL under scenarios).
  • Cross-check sector context in Category Pulse and macro in Market Synoptic.

Impermanent Loss Calculator & Projector for 50/50 AMM Liquidity Pools

Use this impermanent loss calculator and projector to model how your
LP value evolves over time in a 50/50 AMM (e.g., Uniswap-style pools).
Enter a fee APY and choose end-price scenarios for the secondary asset to visualize:
LP value vs HODL baseline, the absolute difference, and the relative impermanent loss
— all in a fast, client-side experience. Perfect for DeFi traders, LPs, quant researchers, and protocol teams.

What this Impermanent Loss Tool Does

  • Projects LP performance across multiple end-price scenarios (−100% to +1000%).
  • Applies your chosen APY (fees) as (1 + APY)months/12.
  • Shows LP vs HODL at each time step (HODL = 50% base + 50% secondary, no fees).
  • Surfaces Δ vs HODL (absolute difference) and IL vs HODL (relative %), on hover.
  • Clean, readable axes, visible crosshair, wide hover targets, and rich tooltips.
  • No RPC or wallets required — privacy-friendly and blazing fast.

How to Use the Calculator

  1. Set APY: Enter your annualized fee APY (e.g., 200 for 200%).
  2. Pick Horizon: Drag months (1–36) to define the projection window.
  3. Select Scenarios: Toggle end-price outcomes (e.g., −90%, −50%, 0%, +100%, +500%).
  4. Compare to HODL: Keep the HODL baseline on to gauge real opportunity cost.
  5. Read the Tooltip: Hover lines to see r = P/P0, LP value × initial, HODL value, Δ vs HODL, and IL vs HODL (%).

Why Model Impermanent Loss?

In automated market makers (AMMs), LP returns depend on both price path and
fee capture. This tool helps you understand when fees can offset IL and when simple holding (HODL) wins.
By testing bearish, flat, and explosive bullish outcomes, LPs can set realistic expectations and size positions
with better risk management.

Key Formulas (Simplified)

  • Price ratio: r(t) = P(t) / P(0)
  • LP value (relative): LP(t) = √r(t) × (1 + APY)t/12
  • HODL baseline (relative): HODL(t) = (1 + r(t)) / 2
  • Absolute vs HODL: Δ(t) = LP(t) − HODL(t)
  • IL vs HODL (relative): IL(t) = LP(t) / HODL(t) − 1

Who Is This For?

Liquidity providers, market makers, portfolio managers, and DeFi analysts who need a clear,
scenario-based impermanent loss simulator to evaluate LP vs HODL outcomes under different fee environments.

Related Tools

Explore more quantitative DeFi tools:
Category Pulse (Coin Sectors) ·
DeFi Yield Screener ·
Token Supply Telemetry

Disclaimer: This content is for informational and educational purposes only and does not constitute financial advice.

Impermanent Loss Calculator — FAQ

What is impermanent loss?

Impermanent loss is the opportunity cost LPs incur in AMMs when asset prices move relative to simply holding the assets.
Fees can offset or exceed IL depending on trading volume and volatility.

Does this tool support different pool weights?

This projector focuses on the common 50/50 AMM case. Support for other weights can be added in future versions.

Are fees compounded in the model?

Yes. Fees are modeled via your APY input as (1 + APY)months/12. Real-world fee flows and volatility may differ.

Is wallet connection required?

No. The tool is fully client-side and does not require a wallet or RPC access.


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