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Impermanent Loss Calculator
Calculate impermanent loss for any AMM pool. Compare LP returns vs HODLing, estimate fee income, and find your break-even point.
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HODL vs LP Comparison
Impermanent Loss Curve
Shows IL at every price ratio. Orange dot = your current position. Blue dashed line = no price change (1:1).
IL Quick Reference (50/50 Pool)
| Price Change | IL % | IL on $10,000.00 | Days to Break Even |
|---|---|---|---|
| 0.25x | -20.00% | $2,000.00 | 667d |
| 0.5x | -5.72% | $571.91 | 191d |
| 0.75x | -1.03% | $102.57 | 35d |
| 1x (no change) | 0.00% | $0.00 | — |
| 1.25x | -0.62% | $61.92 | 21d |
| 1.5x | -2.02% | $202.04 | 68d |
| 2x | -5.72% | $571.91 | 191d |
| 3x | -13.40% | $1,339.75 | 447d |
| 4x | -20.00% | $2,000.00 | 667d |
| 5x | -25.46% | $2,546.44 | 849d |
Understanding Impermanent Loss
What is Impermanent Loss?
Impermanent loss occurs when the price ratio of tokens in a liquidity pool changes compared to when you deposited them. The AMM automatically rebalances your position, which means you end up with more of the cheaper token and less of the expensive one compared to just holding.
When is LP Still Profitable?
LPing is profitable when fees earned exceed the impermanent loss. High-volume pools with stable pairs tend to be most profitable. Stablecoin pairs have minimal IL. Use the break-even metric above to gauge how long it takes for fees to cover your IL.
Weighted Pools Reduce IL
Balancer-style weighted pools (e.g., 80/20) reduce IL exposure significantly. An 80/20 ETH/USDC pool has roughly 60% less IL than a standard 50/50 pool for the same price movement, because less of your capital needs to be rebalanced.
Key IL Facts
- IL is symmetric — 2x up = same IL as 2x down
- IL is "impermanent" only if prices revert
- At 5x price change, IL ≈ 25.5% on a 50/50 pool
- Concentrated liquidity (Uni V3) amplifies IL
- Correlated pairs (ETH/stETH) minimize IL