CoinProfitTools
Crypto profit, fee & risk calculators
Estimate rewards, trading-fee income, impermanent loss and the net result for your liquidity provision in an AMM pool.
Yield farming (liquidity provision) means depositing tokens into an automated market maker (AMM) pool (e.g., Uniswap, PancakeSwap, SushiSwap) to earn rewards. Providers earn two types of income: protocol rewards (often additional tokens) and a share of trading fees generated by swaps that use the pool.
This tool gives an evidence-based estimate of:
1. Enter the USD value you will deposit as liquidity (your liquidity).
2. Enter the pool’s total liquidity (the full pool size in USD).
3. Enter the pool APR or rewards % (annualized rewards from the protocol).
4. Optionally enter the pool’s estimated annual trading volume (used to compute fees you’ll earn). If unknown, leaving the default gives a rough estimate.
5. Enter the pool trading fee percentage (e.g., 0.3% for many Uniswap V2 pools).
6. Enter an expected price change (±%) to estimate impermanent loss—this is how much one token might diverge in price. Enter 0 if you expect no divergence.
7. Choose the time period and whether rewards compound. Click Calculate.
Fee income = (your share of pool) × (estimated annual trading volume) × (pool fee %) × (time period fraction). This models real AMM behavior: more trading volume → more fee income for LPs.
Impermanent loss (IL) happens when token prices change relative to each other. For a 50/50 pool, an approximate IL formula is used (see Uniswap docs). This calculator estimates IL using the common 50/50 AMM formula: IL ≈ 1 − (2 * sqrt(r)) / (1 + r) where r = price ratio after change. IL is shown as a percentage and USD amount based on your liquidity.
Yield farming can be highly profitable but also complex. This calculator helps you quantify both upside (rewards + fees) and downside (impermanent loss), so you can make a more informed decision.
Official AMM docs and authoritative resources:
This calculator provides an estimate based on the inputs you provide. Rewards and fees are forecasted assuming steady APR and volume; real-world conditions fluctuate. Impermanent loss is approximated using the standard 50/50 AMM formula — actual IL may differ if pool composition or token behavior is asymmetric. Use estimates to compare scenarios and not as guaranteed returns.
Impermanent loss (IL) is the loss in USD value that an LP might experience compared to simply holding the tokens, caused by price divergence. It is "impermanent" because if prices return to their original ratio before you withdraw, IL disappears. However, if you withdraw after divergence it becomes realized. This calculator estimates IL for symmetric pools; be conservative when tokens are volatile or when one side is an unstable asset.
Trading fees are earned each swap and are distributed pro-rata to LPs. High trading volume increases fee income and can offset or exceed impermanent loss. The break-even point depends on token volatility, APR rewards, and trading volume — this tool helps you model those trade-offs for your deposit size and time frame.
Time horizon varies by strategy. Short campaigns for high APRs (e.g., reward multipliers) can last weeks; long-term LP positions often last months to years. Longer horizons allow rewards and compounding to accumulate, but also increase exposure to impermanent loss and price risk. Always set a plan and monitor pools regularly.
Auto-compounding increases returns by reinvesting rewards, which benefits from compounding. However, compounding may incur gas or transaction fees (especially on Ethereum). Consider chain, gas, and platform costs before auto-compounding; on low-fee chains auto-compound is usually beneficial.