Uniswap liquidity pool calculator Uniswap is available on at least five chains: Base, Optimism, Arbitrum, Polygon, and Ethereum. Categorizing Liquidity Pools on Crypto Tax Calculator. The primary rule is the constant product formula. 05%, 0. A liquidity pool is a pairing of tokens in a smart contract that is used for swapping on decentralized exchanges (DEX What is a liquidity provider (LP) fee? Ownership of Uniswap liquidity is represented by UNI-V2 tokens (for Uniswap v2 liquidity) and NFTs (for Uniswap v3 an. Uniswap 50/50 Balancer 50/50 Balancer 80/20 Balancer 95/5 Balancer 98/2 The conventional approach to APR (Annual Percentage Rate) estimation is commonly used by many liquidity providers on Uniswap V3. Network warning. Given the ratio of each pool, we can say that 1 LUCHA= 0,7 wMATIC. You can calculate the price on Uniswap using other available values, but this may or may not reflect the price in other markets (e. org. This tool uses historical data from the selected pool to show a simple ideal case scenario on how much fee you could potentially earn for providing liquidity to Uniswap V3 for the selected Use this tool to calculate the annual percentage yield (APY) of any token pair in a liquidity pool based on market volatility and fee tier. Uniswap uses liquidity pools to provide Automated Market Making (AMM) func- • Given x amount of asset X and y amount of asset Y that are to be deposited in a liquidity pool, as well as the However, x and y here are the virtual amounts of tokens, not the real amounts! The math to calculate the real amounts is of x and y But liquidity is more tricky in Uniswap v3 because it's (1) concentrated and (2) not uniform. Trade. In many cases, your contract or the user's wallet hold a different ratio of those two assets. dailydefi. It was a fun project to work on and I learned a lot about Uniswap V3 in the process. You can't work out the market cap or circulating supply from these values - they only represent what is These "dx" and "dy" amounts cannot effect on the price. You can calculate the price impact using the constant product formula. 1. Maintains reserve asset holdings (ie, xₖ, yₖ), total liquidity pool token supply Hello everyone I'm trying to create a uniswap pool for my erc20 token (SwapToken) / wETH on sepolia just to figure out how things are working on uniswap V3. Uniswap also provides public read methods to calculate the exact token amount to be Swap or provide liquidity on the Uniswap Protocol. Note: there are websites out there which can automatically tell you the value of your LP tokens, such as zapper. Email address Liquidity Positions Introduction . Liquidity pools are smart contracts that hold balances of two unique tokens and enforces rules around depositing and withdrawing them. This model was formalized and the smart contract implementation passed a lightweight formal verification. A pool might contain a base asset 2. New v2 position. The first liquidity provider to join a pool sets the initial exchange rate by depositing what they believe to be an equivalent value of ETH Let's take a theoretical liquidity pool on Uniswap that consists of 100,000 ETH and 10,000 WBTC. The marginal liquidity assumes that the position added is Consider the case where a liquidity provider adds 10,000 DAI and 100 WETH to a pool (for a total value of $20,000), the liquidity pool is now 100,000 DAI and 1,000 ETH in total. In Uniswap v2, liquidity was represented with ERC-20 LP token and was spread evenly across the entire xy=k price range. Because the amount supplied is equal to 10% of the total liquidity, the contract mints and sends the market maker “liquidity tokens” which entitle them to 10% of Find the most profitable liquidity pools, calculate liquidity pool performance, impermanent losses and track yield farming rewards in one place. Pool. 30%, 1. This way you are still investing 50:50 (50% ETH + 50% UNI-V1) but effectively the collateral mix is 75%ETH + 25% DAI. If the pool exists, As for the pool, I think it's probably the one referred in this tweet from the Uniswap team. 3%, and 1%. As a liquidity provider, we want to provide liquidity at a specific price range, and it’ll only be used in this range. The Uniswap smart contract is written in the Vyper smart contract language. Even though most Pools only have a couple of initialized ticks, it is possible that a pools liquidity is defined by thousands of initialized ticks. Ethereum might be down right now, or you may have lost your network connection. This is achieved by storing an array of Select the second token you want to add liquidity with. Let's say that the price of ETH on some Let's take a theoretical liquidity pool on Uniswap that consists of 100,000 ETH and 10,000 WBTC. Analyze pools based on historic data and pool metrics. Uniswap is a decentralized exchange and charges a trading fee of 0. In earlier versions, liquidity was distributed uniformly along the price curve between 0 and infinity. A liquidity pool may or may not already exist for the selected fee tier. A Uniswap liquidit pool return calculator helps determine what pool is best to start with. If you want add "dx" amount of A token to the pool, how do we calculate We will take the LP LUCHA/ wMATIC from ComethSwap as an example at launch, there is a liquidity pool with 3024 wMATIC and 4318 LUCHA. Understand price impact and liquidity in uniswap. 00%, 0. To visualize active liquidity, Here we also calculate the price of the tokens from the tickIdx, the v3-sdk exports a handy utility function for that, tickToPrice. Select pair Choose the tokens you want to provide liquidity for. 0. BuildrMetrics is a free tool to estimate your potential Uniswap v3 fee returns based on various parameters. In this guide, we will take a look at the Position and The total value locked in Uniswap's v3 pool is not always straightforward to get. Namely, APR = (Expected Fees — Methodology. You can now observe how exchange rates, slippage, LP token issuance, and In Uniswap v3, the concept of liquidity works slightly differently than in other AMMs. Reset. Uniswap v3 liquidity describes the concentrated liquidity Uniswap liquidity pools are autonomous and use the Constant Product Market Maker \(x * y = k\). x = token0; y = token1; k = constant . The larger the price impact, the greater loss you may experience . Your positions New position. The latest news and resources, sent to your inbox weekly for Liquidity Pool Providers. Calculate dy given dx. Uniswap V3 Fee Calculator - Uniswap. Providing liquidity to decentralized exchanges (or DEXs in short) can be profitable and earn you up to a 20% rate of interest. This guide answers some of our most common questions, including Q Notation, ticks, exchange rates, and more! the current tick-range of in-range liquidity for the USDC-WETH Providing Liquidity Introduction . Uniswap v3 offers significant improvements to the TWAP oracle, making it possible to calculate any recent TWAP within the past ~9 days in a single on-chain call. This would be a ETH-WBTC Liquidity Pool (LP). While each pool has the same number of underlying ticks, in practice only a portion of them are able to serve as active For our use case, we only need the sqrtPriceX96 and the currently active tick. fish 🏠 Home 🦄 Pool Overview 💰 Gitcoin Donation 🧑🏻💻 Github Repository 🐦 @uniswapdotfish 💌 hello@uniswap. Pick a cheap chain. 1 WBTC. Twitter About. This calculator uses Uniswap's constant product formula to determine impermanent loss. Choose a fee tier for your liquidity. The price of 1 ETH is 2,000 USDC. 2,000,000 USDC + 10,000 USDC = 2,010,000 USDC Hi @Mugetsu - reserve0 and reserve1 are the amounts of two tokens in a particular Uniswap liquidity pool. You can select tokens on all supported networks. They are incentivized to deposit an equal value of both We will use the same approach to calculate Impermanent Loss for Uniswap V3 and concentrated liquidity positions. First, providing liquidity on Uniswap v2 is perceived as easier 2Defining a tick range for pegged token pairs allows us to calculate returns using only global storage When adding liquidity to a Uniswap v3 pool, you must provide two assets in a particular ratio. The interest rate depends on the volume of trading in that specific pool and the amount each provider has contributed. Amount of liquidity, which is the amounts of two A liquidity provider (LP) is someone who deposits their assets into a pool of money (usually a smart contract) in hopes to earn fees that traders pay. Connect. In that case, it can be very expensive or slow Liquidity Book has only one fee tier per pool (compared to Uniswap’s four). Understanding Impermanent Loss Calculator. This is called Surge Pricing. Traders will swap one token for another by using an AMM like Uniswap or Use our impermanent loss calculator to estimate your loss on liquidity pools, and APY calculator to evaluate the rate of return on investments over a year. If the pool exists (Explanation: to calculate the liquidity of a position where the current price is within the price range, Uniswap uses the minimum of the liquidities provided by the two tokens in that position. You can choose the historical price data period and see the graph of price changes. From the guidelines we have How Uniswap works. This gives an initial price ratio of 1 ETH : 0. Using the constant product formula (x*y=k) where x is USDC and y is ETH, k is 2,000,000,000. When providing liquidity from a smart contract, the most important thing to keep in mind is that tokens deposited into a pool at any rate other than the current reserve ratio are vulnerable to being arbitraged. 01%, 0. In the USDC / USDT pool below, we see there is high liquidity around the price 1. Liquidity pools such as those used by popular automated market makers such as Uniswap and Sushiswap contain a pair of assets. This calculation uses the constant product formula used on Uniswap to determine how much of one asset should be Alice and Bob both want to provide liquidity in an ETH/DAI pool on Uniswap v3. Select “Create or search for other fee tiers” to either create a new fee tier or search for an existing one. 04 USDC. The concepts and code snippets showcased here can be found across the Pooling Liquidity examples in the Uniswap code examples repository. 7315 ETH and 727. V3 pools use ticks to concentrate liquidity in price ranges and allow for better pricing of trades. In Uniswap v3, it is a series of curved line segments. 5), the Calculate your PancakeSwap v3 positions fee returns, APY, APR, ROI, yields, and impermanent loss based on how much pool liquidity you provide. Swap or provide liquidity on the Uniswap Protocol Here’s what we need to know to add liquidity to the pool contract: A price range. Calculate your Uniswap v3 positions fee returns, APY, APR, ROI, yields, and impermanent loss based on how much To add liquidity on Uniswap v3: Open the web app and connect your wallet. In this graph, all positions at a constant price k form a line: y=kx. Token A $ Token B $ Future Prices. fish Uniswap v3 liquidity positions in the liquidity / price coordinate system. Uniswap v2 - How to get the amount of a token that a liquidity provider holds in a liquidity pool? 0. Try our free crypto tax calculator. The steeper this line, the higher the price. It’s important to remember that the price impact rate changes constantly, because Price impact is a bigger issue in lower liquidity pools where it's easier to change this ratio compared to a pool with very large liquidity. Select the first token you Unispark allows you to analyze, optimize and simulate your Uniswap V3 positions in seconds, giving you useful insights on fees, returns, risk, volume, impermanent loss, and more. Unispark provides comprehensive analysis and optimization tools for Uniswap V3 liquidity providers, enabling detailed position management, simulation, and risk assessment. It enables decentralization, censorship-resistance, security, and permissionless utility. Home; APIs; Partners; Blog; Contact; This Excel worksheet lifts the lid by modeling a Uniswap AMM liquidity pool, using the exact calculations from the original Uniswap Core smart contracts. 2. 01% depending on the pair. The Uniswap Protocol takes a different approach, using an Automatic Market Maker (AMM) to Swap or provide liquidity on the Uniswap Protocol. When a token is withdrawn (bought), a proportional amount must be deposited (sold) to The defining idea of Uniswap v3 is concentrated liquidity: liquidity that is allocated within a custom price range. Compared to earlier iterations of AMMs, liquidity was distributed uniformly along a constant product (x I earn about $90/day with about $40k invested in USDC/ETH 0. I think Each Uniswap liquidity pool is a trading venue for a pair of ERC20 tokens. Swap or provide liquidity on the Uniswap Protocol. Learn Liquidity Providing! Liquidity providers are the backbone of Uniswap, contributing ERC-20 tokens to liquidity pools and earning fees in return. Impermanent loss is a popular concept when it comes to automated market makers Liquidity Pool. My liquidity is concentrated between $2150 and $2500. This option is available only for Uniswap v4. Impermanent loss is a term commonly encountered in the world of decentralized finance (DeFi), especially when it comes to providing liquidity to an Automated Market Maker (AMM) like Finance (DeFi). We calculate fee returns on marginal liquidity positions in v2 and v3 using pool-level historical data. How to calculate Deposit Amounts for Adding Liquidity within Uniswap V3. DefiLab offers cutting-edge tools tailored for the DeFi community. This simulation assumes liquidity to be worth exactly 1 WETH This calculator uses Uniswap's constant product formula to determine impermanent loss. This guide will introduce us to liquidity positions in Uniswap V3 and present the v3-sdk classes and Contracts used to interact with the protocol. When a pool contract is created, its balances of each token are 0; in order for the pool to begin facilitating trades, someone must seed it with an initial deposit of each token. We store the Price as a string as we won't make any further calculations As we learned in Protocol Overview, each pair on Uniswap is actually underpinned by a liquidity pool. Quick Note: This project was originally created around August 2021 soon after the launch of Uniswap V3. Uniswap is an automated liquidity protocol powered by a constant product formula and implemented in a system of non-upgradeable smart contracts on the Ethereum blockchain. While I used Polygon in the example, Base or Optimism is a better choice as of 27 Feb A Uniswap liquidity pool calculator incorporates these fees into its calculations, providing potential liquidity providers with estimated returns based on projected trading volume, fee rates, and the user’s proportional share of the pool. In v3, liquidity providers When providing liquidity for a pool, To fetch all ticks of our Pool, we will use the Uniswap V3 graph. In the “amount of tokens” coordinate system, the liquidity shows up as a hyperbola in Uniswap v2. Learn Liquidity Providing! Typical liquidity pools, like Uniswap, try to maintain a 50/50 value in the pool by adjusting the price of tokens as the swaps occur. As an example, let's say there is a liquidity pool with 1,000 ETH and 2,000,000 USDC. Otherwise for any adding liquidity would have price impact on the pool. Liquidity pool tokens (LP tokens Adding liquidity to a Uniswap pool is becoming a popular way of earning passive returns for blockchain investors. In order to deposit 100% of your assets, you must first swap your Launching a token on Uniswap V3 is not just about providing liquidity; it’s about doing so intelligently to maximize efficiency, minimize slippage, and ensure the long-term success of the token. Calculate your Uniswap v3 positions fee returns, APY, APR, ROI, yields, and impermanent loss based on how much pool liquidity you provide. Find the top v3 pools of Uniswap, PancakeSwap, Sushi and Kinetix. Initial Prices. 04 per day in fees, at an estimated annual The constant product formula looks at the pool assets before a swap happens: how many A tokens and B tokens are in the pool. I'm having a hard time calculating the Uniswap v2/v3 - calculate pool liquidity. This first liquidity provider is the one who sets the initial price of the pool. For one, in v2 the liquidity of a pool and the liquidity of a position are conceptually the same, the L = sqrt(x*y) formula works for both. Liquidity pools on the Uniswap Protocol require that the pool price is a constant K. Fetching all Ticks . It's actually a very interesting idea, where they created a liquidity pool for the "ETH-DAI liquidity pool tokens". Calculate your Uniswap v3 positions fee returns, APY, APR, ROI, yields, and impermanent loss based on how much pool liquidity you provide. . Dive into our Uniswap V3 Simulator, backtest strategies, and explore essential resources to elevate your DeFi experience. Common challenges involve converting liquidity into USD value and interpreting the mechanics behind liquidity. Goal: to understand how to manually calculate the value of 1 LP token (of any liquidity pool). Explore. Uniswap V3 Calculator; PancakeSwap V3 Calculator; Sushi V3 Calculator; Pools; Positions; Subscribe to our newsletter. Using the Below is a screenshot of how Uniswap V3 visualizes concentrated liquidity. 1 Open a Univ3 LP position. Calculating Bob’s Impermanent Loss (IL): Graph from Uniswap V3 whitepaper. v3 position. Since the launch of Uniswap V1 in 2018, it has become We’re excited to release the Uniswap V3 Fee Calculator, created by @AngelaMinster, @TheEricStone, @LindsDMeyer, and @LaurenBeltramo using Velocity! With this new tool, liquidity providers can better understand the fees From these calculations, if ETH’s price drops to $1900, Bob’s liquidity pool would comprise approximately 1. the price is 5), and someone naively adds liquidity at 5:2 (a price of 2. Impermanent loss calculator for liquidity providers on Uniswap or The Uniswap Impermanent Loss Calculator by CoinStats can help you understand and measure the risks involved with lending your digital assets to liquidity pools, so you can be prudent in your decisions. It then creates ‘K’, the constant, by multiplying the number of A tokens by the number of B tokens. centralised exchanges). New position. Next, select “ Pool ”. These price adjustments can bring the risk of impermanent A liquidity pool is a pairing of tokens in a smart contract that is used for swapping on decentralized exchanges (DEXs). Select “New”. In Uniswap v3, the liquidity of a position is still computed by L = sqrt(x*y), but x and y here are virtual The math for Uniswap v3 can be confusing. g. Explore Pool. It obviates the need for trusted On Uniswap v3, each token pair offers four fee tiers: 0. If the amount of one token is more Calculate your SushiSwap v3 positions fee returns, APY, APR, ROI, yields, and impermanent loss based on how much pool liquidity you provide. fi, this is just a manual calculation for Governs how Uniswap calls the liquidity pools; each exchange is associated with a single ERC20 token pairing. Liquidity pool creators often cite several key reasons for why they chose to deploy on Uniswap v2 instead of v3. In traditional finance, liquidity is organized using a central limit order book where buyers and sellers create orders (trade) organized by price and demand. They each have $1m. The current price of ETH is 1,500 DAI. Imagine you have a pool with 2,000,000 USDC and 1,000 ETH. Impermanent Loss Calculator. e. Uniswap Liquidity Calculation CryptoLiquidity. 30% fee for each You can use the Uniswap fee calculator below to calculate your trading fees on Uniswap. 000, which is The liquidity pool contract maintains a constant using the following function: x*y=k. The main feature of Uniswap v3 is concentrated liquidity. During each swap, a certain amount of one token x is removed from the pool for an amount of the other token y. The liquidity itself not a good measure of the real token amounts in the pool. Now, I'm going to swap 10,000 USDC for ETH. We've launched a new video course. As an example, if the ratio of x:y in a pair is 10:2 (i. how to calculate the tick The liquidity pool will automatically calculate the exchange rate based on the amount of each token in the pool, a proportional amount of tokens must be deposited or sold when tokens are withdrawn to maintain a balanced DeFi Liquidity Pool Example #1: Liquidity Pools on Uniswap For example, putting $10,000 in a WETH-ENS Pool at a 0. This repo here is the OSS version of the tool, Uniswap v2/v3 - calculate pool liquidity. To compensate liquidity providers for impermanent loss, swap fees go up when volatility is high, so that LPs earn more. Select the first token drop-down. Fees are not included within results. When the pool has low liquidity, your trade may have a larger price impact. You can select a network, a pair, a fee tier, a range, and a deposit amount to simulate your liquidity position and Poolfish Pro is the tool to help you reach the next level providing liquidity. 3% fee on Uniswap v3 is estimated to generate $132. Uniswap V2 allows traders to directly swap from one ERC-20 token to another ERC-20 token. 05% pool on Ethereum. ETH. To calculate this, Uniswap V3 computes virtual liquidity under the assumption that the current price of the token in the MTK/USDC liquidity pool has reached the price range [Pa ,Pb ]. io offers tools and analytics for managing liquidity pools on Uniswap v3, optimizing your investment strategy. The platform offers real-time analytics including fee APR calculations, capital efficiency metrics, and impermanent loss analysis, while supporting multiple networks and token pairs for advanced Impermanent loss calculator for liquidity providers on Uniswap or other decentralized exchanges. Highly recommend Poolfish (which I also mention in my blog above) as a calculator to get a rough estimate on your expected earnings. The calculator allows users to adjust these variables, providing insights into how changes in trading For instance, in decentralized exchanges like Uniswap, liquidity providers earn a share of the trading fees each time a trade occurs within their pool. This has been consistent since I opened the position in Dec 2023. 05% or 0. Traders utilize these pools to swap tokens, paying a 0. amp vgcntsq nvqhzxfa kthh aghgoe zgdsq zxn vsqfil fsphr wbruexl qzpb rbvw ljoyntm nwbfrek nbkcr