all the Elrond projects, I decided to do what they advised us, I put my 10.000 Ride in farming with EGLD, now i have 2346 Ride instead of 10.000 Ride. I don't have experience in this kind of transaction. This is a normal process?
This is impermanent loss, type it in your search bar it is well explained on internet
Did your EGLD balance increased , right ? Meaning the IL kicked in and you ended up with less Ride and more EGLD.
That is Wrong. IL requires arbitrage. With $RIDE there is no Arbitrage. Please type impermanent loss in your search bar
It is IL. Because the price of the 2 coins are moving up and down. Doesnt matter that you can buy/sell ride only on maiar. Its like the egld/nex pool, there is also IL
Wrong. What happened here is, that Liquidity was provided. That means if other people buy RIDE, they are going to buy from LP
Yes, they are buying from LP but putting egld instead. Its the same thing as somebody from outside maiar is making arbitrage. By selling/buying ride or mex on maiar you move the price up and down. The value of the 2 coins in your lp must remain equal = IL. Arbitrage from outside just lever the price of one coin to the level of entire market. Pretty the same
If raids dumps now to 0,04 (hope not) the lp will look exactly the same as the moment you provides the liquidity (except the up and down of egld since then)
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