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RE: How to Provide Liquidity to the wLEO-ETH Pool and Earn Yield Farming Rewards

in LeoFinance4 years ago

The main risk you have is protocol risk and fluctuations in pool value.

The protocol risk is if Uniswap gets hacked, for example.

The fluctuations could change the amount of wLEO / ETH you own. If the price of WLEO rises rapidly, then you’ll end up with much more ETH and much less WLEO. However, your USD value would also likely increase.

The same can happen on the downs side: if wLEO drops significantly in price, then you would have less ETH and more WLEO and if WLEO’s price is lower, your USD value would also be lower

Posted Using LeoFinance Beta