Skip to main content
Back to Learn
Provider guide2026-05-0310 min read

LP & Impermanent Loss

Understanding liquidity provision and impermanent loss

Use this when

Use this when LP value, impermanent loss, or pool exposure needs context before a withdraw decision.

Open LP dashboard

What is an LP?

A liquidity provider adds assets to a THORChain pool and earns a share of pool fees. In Heimdall, LP views should be read with source checks because historical entry data and current price data can arrive from different systems.

Impermanent Loss Explained

Impermanent loss appears when the price ratio between pooled assets changes. It becomes realized only if you withdraw at that changed ratio, so the useful question is whether the current estimate has enough source context to support an action.

What to Inspect

  • Source-loaded values: Current pool/member data that returned from Heimdall source checks; loaded data still needs freshness and completeness review.
  • Estimated values: Derived entry, price, or IL calculations that depend on historical data.
  • Data confidence: Source freshness and degraded calls before interpreting return metrics.

Using the IL Calculator

Use the LP Page to inspect source-loaded LP rows, source freshness, and impermanent-loss estimates. Treat calculator output as a decision aid, not a source-confirmed balance.

Next inspection paths

Related Articles