SOV/rBtc Balance keeps decreasing

General Commons
1

Hi all,
If someone please could help me get some clarity on a few questions on LP.

  1. How to see LP token in Liquality wallet? I’ve added this custom token with this address:
  • SOV/BTC Pool-Token Address: 0x09c5FAf7723B13434ABdF1A65AB1b667bc02a902
  • Token Symbol: (WR)BTC/SOV

  1. My balance of SOV and rBTC keeps decreasing. Why is this? Monthly I withdraw rewards with the 0,000001 SOV technique. My original balance for SOV was around 10 SOV (April) and is now down to 7.7. Is this because of fees?

  2. What contract do I need to look at to see transactions and rewards related to my LP contract?

Thanks.
Fred

2

With regard to (2), I think you’re experiencing impermanent loss. Pretty important to understand what this is and why it happens when yield farming. This should explain things: Impermanent Loss Explained | Sovryn Wiki

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3

Thanks Martin. I thought it could be related to impermanent loss. I’ll spend some more time to understand it better.

4

once the price of SOV/RBTC reaches the price when you provided liquidity to SOV/RBTC pool you will have exactly same amount of tokens. @Martin_Adriaan has covered very well.

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