Why #STON.fi Impermanent Loss Protection Is a Game Changer for DeFi

Why do liquidity providers hesitate to engage in DeFi pools? The answer lies in impermanent loss (IL)—the risk of losing value when token prices fluctuate. I faced this challenge when I added liquidity to a promising pool, only to watch my token value drop due to market volatility. Despite farming rewards, I ended up with less than if I had simply held the tokens.

That’s why STON.fi’s Impermanent Loss Protection (ILP) is revolutionary. Designed for the STON/USDT V2 pool, this feature provides up to 5.72% coverage of losses caused by a 50% price drop in $STON. Running from January 1 to 31, 2025, the program offers a $10,000 budget, with automatic compensation of up to $100 per user.

For example, if you provide liquidity when $STON is $10 and the price drops to $5, ILP cushions part of the loss, giving you peace of mind.$TON

In my experience, ILP transformed my approach to farming. It removed the fear of Impermanr loss, allowing me to focus on rewards confidently. If IL has been holding you back, now’s the perfect time to join the STON/USDT V2 pool and farm smarter.

https://app.ston.fi/pools/EQBbsMjyLRj-xJE4eqMbtgABvPq34TF_hwiAGEAUGUb5sNGO

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