Providing liquidity on uniswap


is it profitable to provide liquidity on uniswap?

Problem: High impermanent loss with volatile prices?

Just holding seems like the better solution?

What is the incentive for others to provide liquidity on uniswap with smart contract and impermanent loss risk?

Im also interested in this. I know it is profitable because you have some % you get from lending assets (it depends how much you lend). If you can take it out whenever you like i think is better then just hodl. I dont know, I would love to hear some other opinion on this.

I think that’s a really good question. As I go thru the course, it sounds like a great idea; but according to other experts I see, it’s very risky and nly for experienced investors. Hmm. On the other hand, the 9nly way to become experienced is by doing it :wink: