Mitigate Impermanent Loss

[trentmc]

Impermanent Loss is a fact of life with AMMs. However, there are tactics that we can do to help users avoid big losses from it. This epic manages those tactics.

Done

In Progress

Agreed-upon, in near-term backlog

Agreed-upon, not scheduled yet

• Implement Ocean Data Farming (airdrops to LPs), which contributes to LPs' bottom line. MultiRepo-38

Possible tactics, to discuss more, only add to backlog if agreed

• User has option to stake DT at same time as staking OCEAN. Market-236
• Balancer V2 will be efficient enough that we likely don't need our own friendly-forked version, we can use the "official" Balancer deployment. This may make datatoken pools eligible for BAL rewards, which contributes to LPs' bottom line.
• Balancer, Uniswap, Bancor etc. continually roll out new tactics. So, make it easy for users to exploit the innovations from within Ocean Market, via a plug-in architecture for datatoken markets Market-232
• Auto-trigger automated liquidations based on users' maximum acceptable loss. E.g. Stoploss Protocol, which was done in EthOnline hackathon Oct 2020
• More stats, like Balancer predictions.exchange, Bancor tool, and CoinGecko tool. Maybe use Croco Finance code, which gives stats on Balancer pools liquidity using TheGraph.
• Visualizations on the actual data to help users understand. E.g. this image, referenced in our staking blog post. There are almost certainly great tools built by others for visualizing this.

[trentmc]

We have many complementary plans in our 2021 roadmap to handle this, along with zenhub epics. E.g. "Better Staking" and "Data Farming". Therefore closing this issue.