Impermanent Loss Calculator
Calculate impermanent loss for liquidity providers
Calculator
How to Use
Calculate impermanent loss for liquidity providing
Enter initial prices
Input token prices when you provided liquidity
Enter current prices
Input current token prices
Enter deposit amount
Input your initial liquidity deposit value
View IL results
See impermanent loss percentage and value
Impermanent Loss Formula
IL = 2 × √(price_ratio) / (1 + price_ratio) - 1
Where price_ratio = new_price / original_price. The result is the percentage loss compared to holding.
Frequently Asked Questions
Impermanent loss occurs when providing liquidity to an AMM pool. If token prices change from when you deposited, you end up with less value than simply holding. Its called "impermanent" because it reverses if prices return to original ratio.
At 25% price change: 0.6% IL. At 50%: 2.0% IL. At 100% (2x): 5.7% IL. At 200% (3x): 13.4% IL. At 400% (5x): 25.5% IL. IL accelerates with larger price divergences. Pools with correlated assets have less IL.
Yes, LPs earn trading fees that can offset IL. High-volume pools with volatile assets often generate enough fees to be profitable despite IL. Compare expected fees (APR) against expected IL based on price volatility.
Stablecoin pairs (USDC/USDT) have minimal IL since prices barely move. Correlated pairs (ETH/stETH, BTC/WBTC) also have low IL. Concentrated liquidity positions have higher IL risk but can earn more fees if price stays in range.