I've recently had a "version update" in my mindset: I used to think that providing liquidity in AMMs was just about throwing coins in and earning fees while lying back and relaxing... but impermanent loss is no joke. When the market turns, the fees you earn might not even cover the losses, to put it plainly, it's like doing tasks while water is leaking in.

What's more annoying is that I often look at on-chain data tool tags, trying to follow the smart money. But lately, everyone has been complaining about lagging tags or even being misled by them... Now I just treat them as references, not to be fully trusted. Anyway, I plan to test the market-making with a small position first. Here's a checklist: calculate the worst-case scenario before entering the pool, clearly state the reasons for exiting, so I don't go crazy over tax forms later.