Skip to content

Commit

Permalink
GITBOOK-425: Improving Proto-Staker section
Browse files Browse the repository at this point in the history
  • Loading branch information
Pilar Rodríguez authored and gitbook-bot committed Aug 4, 2023
1 parent 13f3ad4 commit 10fa45b
Showing 1 changed file with 2 additions and 0 deletions.
2 changes: 2 additions & 0 deletions guides/periphery/proto-staker.md
Original file line number Diff line number Diff line change
Expand Up @@ -14,5 +14,7 @@ This contract also uses '[permits](https://help.1inch.io/en/articles/5435386-per

By engaging with the Proto-Staker contract within Exactly Protocol, users should be aware that they may be exposed to a phenomenon known as **impermanent loss**. This financial risk is prevalent in dApps, where liquidity is provided to automated market makers (AMMs). Impermanent loss can occur when the price ratio of the provided assets changes, resulting in a temporary discrepancy between the current value of the held assets within the liquidity pool and the value if held outside the pool. In the context of the EXA/WETH Liquidity Pool, price changes in either EXA or WETH can trigger this loss, impacting the overall value of the contributed assets. Users should carefully consider this risk and monitor the price movements of the involved assets when interacting with the Proto-Staker.

Users can find out how to calculate impermanent loss by reading [this article](https://medium.com/auditless/how-to-calculate-impermanent-loss-full-derivation-803e8b2497b7).

\
\

0 comments on commit 10fa45b

Please sign in to comment.