I keep seeing a bunch of people talk about “throwing it into the pool to collect transaction fees” like it’s the same as depositing into Yu’e Bao… To be blunt, the AMM curve is just using price volatility to obtain liquidity. What you earn is trading fees, but what you might have to pay for is an impermanent loss bill. Once the price moves in only one direction, your position gets passively rebalanced. In the end, you watch it and think, “The coins didn’t go down, but the money did.” It’s pretty real.

I thought that opening a narrow range and keeping volatility low would make things stable. But then I ran into a sudden spike and got swept out of the range immediately. The transaction fees weren’t even warm yet, and my position structure already started to deform… In any case, market making isn’t “lie back and collect profits”—it’s selling volatility.

By the way, AI Agents / automated trading accounts are going around promoting “fully automated on-chain interactions.” But I care more about how they actually handle authorizations, slippage, and re-entrancy—those old traps. Anyone can tell a story, but security details are where the real money gets spent.