You might dislike memecoins, thinking they are dumb and a net negative to the space.
Yet, memecoins present a great opportunity for DeFi degens.
APRs from providing LP can reach 1,000%+
Obviously, it comes with multiple risks:
• Directional exposure to the memecoins
• Impermanent loss
But YOU are a smart DeFi user!
You know how to manage your risks.
You provide concentrated liquidity, where CLMMs allow you to use it as a take profit or stop-loss mechanism.
For IL you analyze memecoin's implied volatility, monitor memecoin correlation, and optimize on swap fees.
You calculate which pairs to choose, perhaps preferring memecoin-to-memecoin pools vs memecoin-to-SOL.
You can use your yield excel sheets to outsmart memecoin degens who ape without thinking.
Perhaps you build your own code to rebalance positions.
It's like TradFi market makers who entered crypto just for its opportunities, despite not believing in it at all.
And at the end of the day, memecoins use blockspace and the DeFi tech.
They stress-test the system and improves it before the inevitable tokenization of all the world assets.
So memecoins is a great playground to prepare and put your DeFi skills in action.
