What is a liquidity provider (LP) and shall I be one?

In general, liquidity providers are those who earn passive income by providing tokens (liquidity) to a trading pool. They earn passive incomes by obtaining a share of the trading fees for each transaction in the pool to which they provide liquidity. On Iotabee, 5/6 of the trading fees go to liquidity providers.

Liquidity Provider Explained:

The gains of being a liquidity provider - APR explained:

The riskes of being a liquidity provider - Impermanent Loss Explained

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