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Pool

What is V2 AMM?
What is V3 AMM?
What is concentrated liquidity?
How do I pick the fee tier?
How To Create A Concentrated Liquidity Pool
How To Create Positions Within Existing Concentrated Liquidity Pools
How To Remove Your Liquidity From A Concentrated Liquidity Pool
Managing Your Position in Concentrated Liquidity Pools
What are the considerations when I set the price range i.e. min and max price?
If the price moves out of range, what does that mean and what can I do?
What does the APR consist of?
How do I provide liquidity?
How can I earn on Sushi?
What is the difference between APR and APY?
My Farm Disappeared... Where Did It Go?
Why Can't I Withdraw Or Harvest From My Farm?
What Is Impermanent Loss?
How Does A Liquidity Pool Benefit xSUSHI Holders?
Manually Withdrawing From Farm Contracts
How To Calculate The Fees I've Earned?
Why Is My Pool Different Than The Market Rate?
I Added Liquidity & Got Arbitraged... What Happened?
Zap Mode FAQ
Managing Your Position in Concentrated Liquidity Pools
What is V2 AMM?
What is V3 AMM?
What is concentrated liquidity?
How do I pick the fee tier?
How To Create A Concentrated Liquidity Pool
How To Create Positions Within Existing Concentrated Liquidity Pools
How To Remove Your Liquidity From A Concentrated Liquidity Pool
Managing Your Position in Concentrated Liquidity Pools
What are the considerations when I set the price range i.e. min and max price?
If the price moves out of range, what does that mean and what can I do?
What does the APR consist of?
How do I provide liquidity?
How can I earn on Sushi?
What is the difference between APR and APY?
My Farm Disappeared... Where Did It Go?
Why Can't I Withdraw Or Harvest From My Farm?
What Is Impermanent Loss?
How Does A Liquidity Pool Benefit xSUSHI Holders?
Manually Withdrawing From Farm Contracts
How To Calculate The Fees I've Earned?
Why Is My Pool Different Than The Market Rate?
I Added Liquidity & Got Arbitraged... What Happened?
Zap Mode FAQ

Providing liquidity in a pre-defined price range has its benefits, the main one being that it is much more capital efficient and you can earn more yield (percentage-wise) off of fees than other pool types with less capital. However, this also means that the position needs to be more actively monitored than a traditional LP position does; remember that if the price deviates outside of the range that you will not earn fees and that portion of your position (half the pair) will be sold and converted to the other half of the pair. Vigilance is the best policy when it comes to concentrated liquidity positions.

Providing liquidity in a pre-defined price range has its benefits, the main one being that it is much more capital efficient and you can earn more yield (percentage-wise) off of fees than other pool types with less capital. However, this also means that the position needs to be more actively monitored than a traditional LP position does; remember that if the price deviates outside of the range that you will not earn fees and that portion of your position (half the pair) will be sold and converted to the other half of the pair. Vigilance is the best policy when it comes to concentrated liquidity positions.