How to Calculate Impermanent Loss on Uniswap V2 | DeFi

How to calculate impermanent loss on constant product automated market maker like Uniswap V2

0:00 - Intro 1:04 - Definitions 3:05 - Rewrite x and y in terms of L and P 6:44 - Derive formula for impermanent loss

Notes https://github.com/t4sk/notes

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