Jinse Finance reported that the report issued by 1inch showed that 83% - 95% of the liquidity in major decentralized funding pools such as Uniswap and Curve is inactive, with tens of billions of Dollars generating no revenue from fees or any returns.
The impact of this ineffective issue on individual liquidity providers is the most severe: 50% of individuals suffer losses due to impermanent loss, with total net losses exceeding 60 million Dollar. 1inch proposed a solution to this problem through its Aqua protocol - this protocol allows decentralized finance applications to share a unified load of funds, aiming to improve liquidity utilization, reduce fund fragmentation, while increasing returns for liquidity providers.
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Jinse Finance reported that the report issued by 1inch showed that 83% - 95% of the liquidity in major decentralized funding pools such as Uniswap and Curve is inactive, with tens of billions of Dollars generating no revenue from fees or any returns.
The impact of this ineffective issue on individual liquidity providers is the most severe: 50% of individuals suffer losses due to impermanent loss, with total net losses exceeding 60 million Dollar.
1inch proposed a solution to this problem through its Aqua protocol - this protocol allows decentralized finance applications to share a unified load of funds, aiming to improve liquidity utilization, reduce fund fragmentation, while increasing returns for liquidity providers.