Crypto Impermanent Loss Calculator

Estimate impermanent loss in a 50/50 liquidity pool. Enter the price change and compare LP value to a simple HODL.

Inputs

Token B is treated as the quote asset (e.g., stablecoin) for the price ratio.

Positive for a rise, negative for a drop.

Split 50/50 into Token A and Token B.

Auto-updates from % change; editing will adjust %.

Results

Impermanent loss
— %
Relative to simply holding.
LP value
—
After price change.
HODL value
—
If you just held 50/50 tokens.
Difference
—
LP minus HODL.

Formula (50/50 pool): IL = 2√r / (1 + r) − 1, where r = newPrice / startPrice. LP value = HODL value × (1 + IL).

What is impermanent loss?

In a constant-product AMM (e.g., Uniswap v2) with a 50/50 pair, prices move as the pool rebalances. If one asset moves in price, your pool share ends up with a different mix of tokens than a simple HODL. The value difference between providing liquidity and holding the two assets is called impermanent loss. It can be offset (or outweighed) by swap fees, but the loss exists until prices return to the starting ratio.

Assumptions in this calculator

  • Two-asset, 50/50 constant-product pool (no fees included).
  • Token B is treated as the quote asset (e.g., stablecoin), and price change is Token A vs Token B.
  • Outputs show the delta vs holding the same starting amounts outside the pool.

Quick reading of the results

  • IL %: Negative means the LP position underperforms HODL by that percent.
  • LP vs HODL value: If fees earned > |difference|, LP could still come out ahead.
  • Symmetry: IL is the same for +X% and −X% moves (ignoring fees).

This is an educational tool. Real pools include fees, possible rewards, variable weights, and smart-contract risks. Always double-check math and assumptions before making decisions.

5 Fun Facts about Impermanent Loss

Symmetry surprise

A +50% move and a −50% move cause the same IL%. Direction doesn’t matter in a 50/50 pool—only the magnitude of the ratio change.

Magnitude only

Fees can flip it

Enough swap fees can outweigh IL. For small swings, ~0.3% fees on volume can make LPs beat HODL.

Fee offset

IL isn’t realized until exit

Your LP tokens track pool value continuously, but IL only “locks in” when you withdraw—prices could drift back.

Timing matters

Volatility is the villain

Bigger price ratios mean bigger IL. Doubling price causes ~5.7% IL; a 5× move means ~25.5% IL.

Ratio risk

Weights change the curve

70/30 or 80/20 pools dampen IL vs 50/50. This calculator shows the classic 50/50 case.

Pool design