These days, I’ve seen people tout AMM market making as “lying down and collecting fees,” and I can’t help but laugh a little... Basically, that curve thing is just pushing you back and forth; when the price fluctuates, your position deforms itself. Impermanent loss isn’t just a theoretical concept; it’s real and can eat up the fees you earn.

I’ve done it once before: saw a pool with a pretty attractive APR, got itchy and added liquidity, but the next day the asset skyrocketed, and my money turned into a bunch of “the slower-growing side.” When I withdrew, my mindset totally collapsed. Later, I realized I hadn’t even thought through what the curve looked like or whether I could handle the volatility range.

Now, seeing the staking and shared security yield stacking being called “scammy,” I actually understand. When layers of buffs are added, the risks also stack up. Anyway, my current strategy is very simple: if I don’t understand it, I don’t move. Better to miss out than get educated the hard way. That’s it for now.