Liquidity Management Strategies

Providing liquidity in DeFi is perceived as risky and unprofitable. This is especially true with pools that use “Concentrated liquidity” - Uniswap V3 pools - and it’s known the majority of liquidity providers are losing money. That is quite surprising when the V3 pools have the biggest share of the DeFi market - for Uniswap it’s V3 $3.2bn vs. V2 $1.3bn.

Besides that, managing the pools requires a lot of manual work and good market understanding as we explained in our guide to concentrated liquidity pools. And while you provide liquidity, you’re vulnerable to impermanent loss that eats a big portion of your yield because the liquidity is provided in two assets. And on top of that, you experience losses from rebalancing the position.

Brokkr Liquidity Management Algo Strategies

We're confident in their long-term performance. All strategies have transparent results, are benchmarked against HODL, and backtested on long timeframes.

Transparency & Benchmarking

  • We always display the current and historical performance

  • There is no limit on the performance history and one can check the progress

  • All strategies are benchmarked against HODL

Short term, or in certain market movements, the strategies might underperform HODL, but in the long run, they crush it.

Extensive backtesting

Before any strategy gets to production, it is heavily backtested. We test various timeframes and market movements to understand how strategies behave under different circumstances.

On Arbitrum ETH-USDC 0.05% pool, the strategy beat HODL by 15% on a 2-year timeframe.

Strategies are crafted from historical data and there is no guarantee they deliver the same results in the future. But we're constantly monitoring and upgrading them to sustain their performance

The Strategies

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