Author: Yiping Fang
-
Why bother hedging if I can have income just being a LP at Uniswap?
While colleting Liquidity Provider (LP) fees is a pure pleasant process of earning income, by pledging itself a LP’s portfolio value does flatulate along with ETH pricing change. Starting from a 50/50 ETH/USDC holding, when ETH’s price is decreasing, which means most traders are selling ETH, a LP trades against it by buying ETH and…
-
How does Yipingfang get income from Uniswap platform?
Yingpingfang gets income by participating in Uniswap V3 platform as a liquidity provider (LP) – specifically, by being a LP in Uniswap’s ETH/USDC trading pair within certain price range. When ETH price stays in this range, Yingpingfang automatically trade with whoever buys or sells. Such auto trading stops as soon as the price touches our…
-
What is Uniswap?
•Uniswap is a leading and super popular decentralized crypto exchange that runs on the Ethereum blockchain, and currently has over US$5 billon total value locked. In contrast to centralized exchanges governed by single authorities, such as famous Coinbase and Binance, Uniswap runs on a fully decentralized basis via its automated liquidity protocol, eliminating traditional buy/sell…
-
How does Yipingfang generate returns?
Yipingfang generates its return mainly from being a so-called Liquidity Provider (LP) on the Uniswap V3 platform. Being a LP in the crypto marketplace is like a market maker in a traditional financial exchange and always stands ready to trade with a counterparty. In return the LP gets paid by the trading counterparty, and these…