Trader JoeπŸ”ΊπŸ’™ | Live on Arbitrum πŸŒŠπŸ“˜
Trader JoeπŸ”ΊπŸ’™ | Live on Arbitrum πŸŒŠπŸ“˜

@traderjoe_xyz

10 Tweets 5 reads Jan 04, 2023
The Power of Liquidity Book πŸ“˜πŸŒŠ
β€’ Zero slippage swaps and low trading fees
β€’ Concentrated liquidity provisioning
Unsure what it all means? ...
Dive down for a breakdown and guide πŸ‘‡
βœ… Trading with Trader Joe is easy
You can effortlessly swap tokens in just a few clicks and at low cost, thanks to Smart Routing that picks the optimal route for your Trade.
What is slippage? What does Price Impact mean? How much will I actually receive? Check the graphic πŸ‘‡
πŸ”“ Want to access LB Pools?
Get to any Pool in as little as two clicks...🀯
Head to the Pool page and select the desired Pool, you may need to filter the Pools between V2 / V1 or you can search using the page category tabs.
πŸ“˜ Provide Liquidity
To deploy Liquidity you have to select a Liquidity Shape, below is a breakdown:
β€’ Spot: Max efficiency/risky (IL)
β€’ Normal: Efficient but may need re-balancing
β€’ Bid-Ask: Captures volatility
β€’ Max: Low efficiency/less risky (IL)
support.traderjoexyz.com
🍊 LB = Concentrated Liquidity
Capture more fees with significantly less liquidity. The trade-off is the added impermanent loss (a.k.a divergence risk).
When you deposit Liquidity, it is fixed at the price range you choose. However, prices are fluid and will change...
⚑ Divergence Risk (Impermanent Loss)
If your Liquidity has converted to one color, that means the price of an asset has moved and your Liquidity is now out of range, this means you need to re-balance.
Read more about IL:
support.traderjoexyz.com
🌊 Monitor and Manage
To avoid IL and maximize your earning potential, you must monitor + manage your position.
The UI makes it easy by showing your current shape and token ratio. The aim of the game is to keep your Liquidity balanced around the active bin...🎯
πŸ† Active Bin = Win
Only the active bin earns trading fees...
Keep your liquidity inside the active bin , the more Liquidity you have in the active bin, the more fees you share, increasing your earning potential.
🚦 Re-balance or Remove
If your position is in need of a re-balance, you can either add more liquidity OR you can remove your liquidity and re-deposit.
You have a number of potential options for this process highlighted below.
Have more questions?
Make sure you check out our support centre: support.traderjoexyz.com
Or you can drop into the Trader Joe discord and speak to the community or open a dedicated ticket for private assistance.
πŸŒŠπŸ“˜

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