I just saw someone discussing that market making is like “lying down to earn,” and I almost couldn’t help laughing. That AMM curve isn’t handed to you for free. Trading stablecoins against each other is one thing, but if you run an ETH-DAI pool, with volatility even a bit higher, it’s more exhausting than your day job. The “impermanent loss” thing, plain and simple, is the price divergence relative to the ratio when you entered—especially in more extreme cases, the worse it gets. As for me, when I see new projects, I first look at the mechanism. If I run into those promotions saying “high APY + zero risk,” I politely push back—have you even calculated depth and slippage?

The recent drama about NFT royalties has been loud too. Creative income and the liquidity focus are different, but the underlying logic is the same: you need to think clearly about which curve your assets will be running on. I just pulled up pool data—stuck me in queue and made me wait for three refreshes—and after finally getting the result… well, same old saying: don’t treat market making as passive income.