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Balancer (@Balancer): 1/ What is Loss Versus Rebalancing?

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1/ What is Loss Versus Rebalancing? LVR is a hidden tax that costs LPs an estimated 5–7% of their liquidity. It occurs due to AMMs offering stale and outdated asset prices, which are exploited by arbitrageurs who take the profit at the expense of the LPs. A CoW AMM 101 Mini 🧵

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