Why is anyone providing liquidity to the SPS-SPT Pool?

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Can anyone explain to me why ANYONE is in this SPS-SPT pool ATM?

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SPS is increasing in value rapidly, while SPT is just kind of stagnant, if you'd have had any SPS sitting in this for the last week, you would have suffered at least a 30% Impermant loss as your SPS is drained for SPT.

And while I do love SPT I certainly WOULDN'T sell any SPS to get anymore. The former has much wider utility already and it's only just starting, and a much better return for just staking it than curating with SPT.

So who on earth is providing $160 000 worth of liquidity to this pool?

The rewards are appalling - $9 a day split amongst LIQUIDITY providers - which at $160 000 gives you something like a 2% APR.

NB I'm sure I saw a mention that 70% of the SPT rewards would eventually be paid out to this SPS-SPT pool, and once that happens, it might be worth pooling, it might WELL be worth it, but probably not when the other coin - SPS is on the rampage!

Posted Using LeoFinance Beta



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3 comments
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Liquidity pools makes more sense now

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